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APPLICATION TO FOR THE DAB MULTIPLEX OPERATORS LICENCE

BY

SMALL DIGITAL PLANET LTD

PUBLIC VERSION Part A

July 2019

SDP – Channel Islands DAB Multiplex Application. Page 1/46 Executive summary

Please provide a summary of your application, of no more than four pages in length.

Small Digital Planet (“SDP”) is a company formed by a consortium of Channel Islands' businessmen and radio managers in order to operate the Channel Islands DAB multiplex. The company is well funded and will easily be able to meet it's licence commitments to provide the multiplex service under all eventualities.

Our philosophy and strategy over the 12 years of the licence period concerning the use of DAB is twofold:

Firstly that DAB is primarily a transmission medium for mobile reception. It is our belief, and generally that of the radio industry and regulators, that DAB will be the primary method of transmission for digital radio services to mobile and portable receivers over the coming decade. Although 5G and other technologies will come into use in the Channel Islands over the licence period, we believe that there will still be bandwidth issues regarding the use of many thousands of receivers upon the mobile network at any one time. Therefore DAB transmissions will be of great benefit in easing these potential network problems. Coincidentally we do envisage that dedicated DAB receiver take-up in homes with a permanent fibre connection will be lower proportionally due to consumers high usage of devices such as 'smart speakers' to listen to digital radio services in fixed locations.

Secondly we also believe that '2nd Generation' DAB services, and in particular the use of DAB+ will offer better perceived audio quality to consumers, which, along with more capacity being made available, will enable a larger number of radio services to be broadcast. We make note of the fact that OFCOM have now revoked the previous upper limit of 30% of capacity on a commercial multiplex being DAB+ services.

The BBC have indicated to us that they wish the local BBC Radio and services to be broadcast on DAB+ to take advantage of the higher audio quality available. These would be the first regular BBC services to be broadcast on DAB+ anywhere in the British Isles.

It is our intention to facilitate the broadening of listener choice in the Islands by expanding the number of English language radio stations currently available on FM and DAB, which at present is extremely limited in choice compared to most areas of the U.K.

Small Digital Planet aims to actively encourage the purchase and use of DAB receivers within the Islands, which is currently at a very low base level due to the current non-availability of commercial DAB services within the Channel Islands.

Capacity has been allocated from launch to accommodate the existing AM and FM services in the Islands, namely BBC Radio Jersey, BBC Radio Guernsey, Island FM and . These stations account for 56.6% of all listening in Guernsey and 50.5% in Jersey. We have also arranged for the Islands' only OFCOM licenced Community Radio station Quay FM to be carried on the multiplex.

Capacity has also been allocated for new local and UK digital services to cater for the wide range of interests and tastes of local listeners and visitors. 14 non-BBC services are envisaged, with additional services to launch during the licence term.

SDP – Channel Islands DAB Multiplex Application. Page 2/46 Our technical proposals are to match and improve on local heritage commercial FM stations and local BBC services coverage areas from launch, using four transmitters to deliver 'outdoor coverage' (in car receivers) to greater than 96% of roads within the islands and also greater than 92% of indoor coverage in homes and business premises..

In summary:

Small Digital Planet will deliver robust local DAB coverage across the archipelago, and will be using primarily DAB+ technology to deliver higher audio quality and a greater number of new radio services to the Bailiwicks.

SDP will deliver services that appeal to Channel Islanders and will help commercial radio improve its market share.

SDP is well resourced and although a newly established Channel Islands company it has all of the necessary licences to trade within the Bailiwicks in force, due to being locally owned and operated.

SDP believes that the Channel Islands multiplex should be owned and operated by Channel Islanders, as too many decisions made in the UK in the past have resulted in the situation that no broadcasting medium or transmission operators are locally owned and controlled, and therefore not accountable to the Channel Islands populace and local governmental bodies.

SDP will be a 'facilitator' to Service Providers and will not operate any radio services itself, thus ensuring 'fair access' for both local and U.K. stations to the multiplex.

1. General information

(1) Name of Applicant,

Small Digital Planet Ltd

Registered in Jersey. Co Number: 128989

Certificate of Incorporation and Jersey Financial Services Commission Licence attached.

(2) Address,

Bond Street Chambers, 1 Bond Street, St. Helier, Jersey, Channel Islands, JE2 3NP.

(3) Telephone No. and Email Address

01534 748632 [email protected]

2. Main contact (for public purposes)

(4) Name: Christopher Bee

Telephone (daytime): 01534 748632 or 07700 749749

Address: Bond Street Chambers, 1 Bond St, St. Helier, Jersey, Channel Islands, JE2 3NP

SDP – Channel Islands DAB Multiplex Application. Page 3/46 Email address: [email protected]

3. Main contact (for Ofcom purposes) :

(5) Name: Christopher Bee

Telephone (daytime): 01534 748632 or 07700 749749

Address: Bond Street Chambers, 1 Bond St, St. Helier, Jersey, Channel Islands, JE2 3NP

Email address: [email protected]

Section 51(2)(a) and (b): Extent of proposed coverage area and timetable for coverage roll-out

4. Summary of coverage proposals

Provide a summary, fully consistent with the more detailed information about transmission sites supplied separately (see Q.6 below), of the coverage areas proposed to be achieved by the applicant's technical plan, and an estimate of the percentage of Channel Islands households, Channel Islands major roads and/or the Channel Islands adult (aged 15+) population which will be served by this local radio multiplex service for both indoor and outdoor coverage.

(6) Our transmission plan has been designed in conjunction with Arqiva, Bitstream Broadcast Ltd and our own extensive technical and local knowledge to provide the best available coverage to the three main islands of the Channel Islands.

At launch we will use 4 transmitters to replicate and improve on BBC FM and current local FM commercial coverage across both Bailiwicks.

(7) It is acknowledged that the Channel Islands as a geographic entity are unusual in defining coverage by normal OFCOM coverage parameters. In particular we are dealing with a very small, highly densely populated land mass of three quite distantly separated islands (and some minor outlying islands.). The total land mass to be covered under this licence is 76 sq. miles, which is just over half the size of the City of Glasgow in the U.K. As far as we are aware this Channel Islands licence is the smallest commercial multiplex licence to ever be offered by OFCOM in terms of area covered and population.

(8) The percentage of road coverage calculation is a challenge using OFCOM definitions of 'A and Motorway' coverage. In the all roads are 'unclassified' i.e. there is no road numbering system at all. In the Bailiwick of Jersey there is a rudimentary form of road numbering including some 'A' category roads. However, these road numbers are not in everyday use, and we have decided to base our coverage on the total amount of road mileage in Jersey which is 500 miles, Guernsey 250.2 miles and 26.1 miles. (Source: Digimap (Gsy) Ltd).

(9) The topography of the three main islands varies considerably in regard to radio coverage planning:

Alderney at 3 sq miles is a flattish island which a single transmitter can cover 99% of the population from a single transmitter site.

Guernsey (26 sq miles) is primarily an island with steep cliffs in the south and a gently north- sloping plateau to sea level where the vast majority of the population resides, and we estimate that around 90% of the population of Guernsey, and can be covered from a single transmitter site in the centre of Guernsey. Outlying (population 500) might receive coverage

SDP – Channel Islands DAB Multiplex Application. Page 4/46 from Guernsey particularly on its western side, but this is not guaranteed.

Jersey, the largest of the Islands at 45 sq. miles and the most populous at 106,500 (Source: States of Jersey 2019), is also a sloping island with high cliffs in the north, sloping to sea level along the south coast. Our proposed main transmitter site at Les Platons, Trinity is situated on the highest part of the island and gives good robust coverage across most of the island with a few topographic anomalies. The area around St Ouen's Bay on the west coast (pop <250); Greve de Lecq on the north coast (pop <150), St Brelade's Bay (pop <250) and Portelet Bay (pop <100) on the south coast, and St. Peter's Valley (pop <200) in the centre of the island are the main rural areas that will have coverage problems from Les Platons. There will also be a coverage 'hole' on the south east side of St. Helier and into adjoining St. Clements caused by the land mass of Fort Regent overlooking St Helier and blocking the signal from Les Platons. To negate this problem we are proposing a second low power transmitter situated at La Collette Power Station covering 2-3 sq miles of land in the lea of Fort Regent. The population that would directly benefit from this relay transmitter would be c. 10,000.

(10) In their licence advertisement OFCOM have stated that they will assess all technical plans using the commercially available ICSTelecom software. On enquiry to the software vendor we found the software licence to use this software was extraordinarily expensive, in the region of £13,000, and in our opinion, the preferred data sets that OFCOM wish to use were not available or relevant for the Channel Islands. We have therefore decided not to use this software in the preparation of this application.

(11) Therefore, to verify our primary coverage plans we have undertaken 'on the ground' listening tests across Jersey and Guernsey using the BBC National DAB multiplex transmitters sited at Les Platons and Les Touillets. These transmitters use the same antenna systems as our proposed transmitters so coverage should be primarily the same for the Small Digital Planet commercial multiplex from these sites. The results of these surveys are attached in an appendices. Arqiva have also supplied prospective coverage maps for the two Arqiva transmitter sites that we will use.

(12) Our commitment from launch is to deliver 'outdoor coverage' (in car receivers) to 96% of roads within the islands and also to be receivable in 92% of indoor premises and homes.

(13) Our transmitter sites are:

Les Platons, Jersey.

A medium power transmitter sharing the existing BBC National DAB antenna array on an Arqiva site.

This transmitter will give good indoor coverage to nearly all parts of Jersey, matching the BBC FM coverage which is broadcast from this site.

Robust outdoor coverage to nearly every part of the 500 miles of road in the island. As there are no main 'A' road classifications used in the Islands on a daily basis, there is no point in listing by road number. We do anticipate a small number of roads leading to bays in the north-west and south- west of the island to have poor coverage due to topology.

Les Touillets, Guernsey.

A medium power transmitter sharing the existing BBC National DAB antenna array on an Arqiva site.

SDP – Channel Islands DAB Multiplex Application. Page 5/46 This transmitter will give good indoor coverage to nearly all parts of Guernsey, as this Arqiva site is roughly in the centre of the island. Outlying islands of the Bailiwick including Herm, Jethou and parts of Sark will also be covered from this transmitter.

Robust outdoor coverage to nearly every part of the 250.2 miles of road in the island. As there are no road number classifications used in the Bailiwick under UK criteria, it is impossible to list by road number or type. Listening tests to current BBC National DAB output from this site has shown that outdoor coverage is nearly universal across the island even extending to a number of roads leading to bays in the south and south-east of the island which we expected to have poor coverage due to topology.

Fort Albert, Alderney

A low power transmitter using a new DAB antenna sited at Quay FM's transmission facilities.

Robust indoor and outdoor coverage will be achieved from this site to cover the island's area of 3 square miles (2 x 1.5) and it's population of 1,800. The island has 21.6 miles of road and we predict coverage to be >99%.

La Collette Power Station, St Helier, Jersey.

A low power transmitter using a new DAB antenna sited on the La Collete Power Station Chimney.

This will be an 'in-fill' transmitter to cover the east and south-east of St Helier and parts of St Clements where reception from Les Platons is poor due to the Fort Regent massif in the centre of St Helier.

This will be used to give robust indoor coverage to an area of around 3 miles by 1 mile and covering approximately 20,000 residents.

SDP – Channel Islands DAB Multiplex Application. Page 6/46 (Figure 1. SFN 4 Transmitter Indoor Coverage)

SDP – Channel Islands DAB Multiplex Application. Page 7/46 (14) Standalone Coverage.

Due to the geographic constraints of the area and the distances between the main islands, there will be very little overlap of signal between each individual transmitter. For example it is 33 miles from the Les Platons transmitter in Jersey to the Alderney transmitter, and local knowledge shows that even the commercial FM signals from Jersey do not reach Alderney or Guernsey, so DAB ensemble transmissions at a higher frequency and lower power will be unlikely to be above the 34dB threshold for measurement.

The one exception will be the Les Platons, Jersey, and La Collette, St Helier, Jersey transmitter pairing. Should either transmitter be off air, some signal will be receivable in most parts of the island. The south coast of Jersey from St Aubins in the west to St Clements in the east would receive a signal from St Helier should the main transmitter at Les Platons go off-air. Estimated population coverage in this instance would be around 50,000.

5. Timetable for coverage roll-out

Outline the timetable in accordance with which the coverage proposed at Q.4 would be achieved, and the technical means by which it would be achieved. This should also be fully consistent with the more detailed information provided in response to Q.6.

(15) We plan to formally launch the Channel Islands multiplex in late Quarter 2/early Quarter 3 2020. Assuming a licence award in October 2019, following OFCOM's statutory requirement to consult with the Economic Development Committee and the States of Jersey over the suitability of the proposed licensee. These consultations are mandated in the Wireless Telegraphy (Jersey) Order 2006 and the Wireless Telegraphy (Guernsey) Order 2006 and the provisions of Section 5 of those Orders. As a locally based and owned company we do not foresee any problems in regard to approval by both States bodies.

We would look to run test transmissions in late May/early June 2020.

(16) This timescale is constrained by Arqiva's contractual insistence of a minimum of six month’s notice period to install equipment. The Alderney site would be operational by May 2020, and subject to current refurbishment works at La Collette Power Station being completed by the end of Quarter 2 2020, we would look to be in a position to have this transmitter operational by June 2020.

(17) Antenna Systems/Combiners/Filters

Arqiva are the owner and installer of the two main antenna systems. Discussions have already taken place with Arqiva and we are advised that there are no foreseeable problems regarding these timescales. Radio Structures Ltd will supply the antenna systems for the other two low power sites and again there are no issues regarding timescales. Delta Meccanica srl will supply the necessary cavity filters for the two non-Arqiva sites and again no problems are envisaged with supply and installation.

(18) Transmitter equipment

SDP proposes to be the owners of the main transmitter equipment, and our appointed transmission contractors Bitstream Broadcast Ltd intend to use Mier transmitters for the two main sites and TXDigicast transmitters for the two low power sites. Timing equipment for the Single Frequency Network (SFN) configuration will be installed and tested by Bitstream Broadcast Ltd, who are an OFCOM approved installer and tester. No problems regarding timescales for purchase and

SDP – Channel Islands DAB Multiplex Application. Page 8/46 installation are envisaged.

(19) Distribution.

Multiplexing of the ensemble will take place at our physical multiplexing/playout centre in Jersey, with a back up multiplexer also being sited at an alternative Data Centre in the island. We feel that the distances involved in multiplexing the Service Provider contributions on equipment in the U.K. and distributing the encoded ETSI stream to the local transmitters from the U.K. are open to potential problems, and SDP wish to keep it's infrastructure based in the Channel Islands.

The distribution between the multiplex centre at CTV House (the former ITV studios) in Jersey and the transmitters will be via VPN IP circuits from Jersey Telecom (JT) and Sure (Cable & Wireless), The telecoms infrastructure in the Islands is very advanced by UK standards with dedicated fibre being available in most households and business premises in the islands.

(20) We did explore the possibility of using the existing Arqiva SHF 13GHz link for the distribution of the ETI signal between Les Platons, Jersey to Les Touillets in Guernsey, however we were informed that this would not be available as we did not wish to take Arqiva's Full Managed Transmission Services option.

We do not envisage any problems regarding timescales.

(21) Power and Accommodation,

Arqiva, Quay FM and the Jersey Electricity Company (La Collette transmitter) have all confirmed they can supply suitable accommodation, telecoms and power supplies.

6. Detailed coverage proposals

Provide, in an electronic text file, details of the technical plan, which should consist of the following components: assignment details, implementation table, and implementation data. a) The first part of the technical plan is a table of assignment details. This gives the relevant technical detail of each transmitting station which the applicant is undertaking to provide as part of its network. It will be used to enable Ofcom to estimate the coverage which will be achieved by the applicant, on a basis consistent with other applicants. It will also enable confirmation of the plan's compliance with Ofcom's various technical requirements. All files must be supplied in text format which is in accordance with the ITU format defined for digital sound broadcasting assignments, details of which can be found at: https://www.itu.int/en/ITU- R/terrestrial/tpr/Documents/GE06_BS/BS-GE06_Guide.pdf

(22) The assignment details accompanying this application are supplied as a separate electronic file. (CI-SDP-GE06Assignment.txt) b) A separate table, the implementation table, should also be provided for the technical plan. This should list, for each proposed transmitter, the date of implementation promised with the parameters promised in the transmission plan, the owner/lessor of aperture space on the mast/tower, and any relevant accompanying notes. If it is proposed to introduce a transmitter with different parameters (typically lesser power or height) for an interim period, then on both lists there should be one entry for the initial assignment, and a second entry for the one which replaces it, with a note stating which transmission assignment is replaced.

SDP – Channel Islands DAB Multiplex Application. Page 9/46 Table No: 1 Implementation Table

Site Name NGR – Site Antenna Antenna New or ERP kW Implemen Lat/Long Owner Height Existing tation agl(m) Antenna Date Les XD 92699 Arqiva 55 Share into Existing 2 June. 2020 Platons, 27692 existing Jersey BBC 49.247805N National 2.109219W antenna Les XD 58005 Arqiva 42 Share into Existing 0.5 June. 2020 Touillets, 51010 existing Guernsey BBC 49.457877N National 2.578865W antenna Fort Albert, WA 864 798 Quay FM 15 Radio New 0.1 May. 2020 Alderney Structures 49.726397N CDF195-2 2 2.193617W stack dipole array La Collete WV 649 472 Jersey 61 Radio New 0.1 June. 2020 Power Electricity Structures Station, 49.176050N Company CDF195-2 2 Jersey 2.111876W stack dipole array

c) Each transmission assignment should also be represented by site implementation data, specific to each transmission site. This detail is intended to elicit the practicability of the technical plan. For each site name (corresponding to assignment details and implementation table): ii) If existing aerials are to be used, this needs to be stated and an explicit reference made. If not, then applicants should provide a photograph or scale diagram (or set of photographs or diagrams), showing the portion of the supporting structure on which the radiating aerials are to be mounted. Show the radiating aerials, and the aerials of other services mounted immediately above, below, and at the same level as, the radiating aerials of the applicant's service.

(23) Existing aerials are being used at Les Platons and Les Touillets. It is not possible at this time to supply details of supporting structures at Fort Albert, Alderney, and La Collette Power Station in Jersey, due to remedial building work taking place over the next six months. iii) Provide details of the location of the building in which the transmission equipment is required (or describe what modifications to buildings and infrastructure will be required, if relevant). iv) Provide confirmation from each of the relevant parties that they have seen and agreed the applicant's proposals (to the extent that this includes new works) in respect of: * aerial mounting on the supporting structure, as proposed in the sketch diagram; * running of feeder cable from transmission system to aerial(s); * sharing of aerials and insertion/use of combiners, where relevant; * siting of transmission equipment; o supply of power; * building works (if any).

The relevant party in each case, namely whoever controls the infrastructure (mast, cableways, building, power), should be named explicitly.

Note: submission of this information does not imply that Ofcom will validate the design of the aerial system. The

SDP – Channel Islands DAB Multiplex Application. Page 10/46 licensee will be required to adhere as far as is reasonably practicable to the antenna pattern proposed in the assignment details, and in all cases to limit the maximum radiated power in any given direction as may be required by Ofcom.

(24) Note: The Channel Islands are not part of the U.K. Ordinance Survey National Grid. Map references given here are based on UTM Grid Zone 30N and local Grid Codes. In the GE06 Assignment Tables Longitude and Latitude readings of the transmitter sites have been used as per standard. Transmitter sites are also listed by Longitude and Latitude.

Site Name Les Platons Les Touillets Fort Albert La Collette NGR XD 92699 27692 XD 58005 51010 WA 864 798 WV 649 472 Existing DAB Site Yes Yes No No Site Owner Arqiva Arqiva Quay FM Jersey Electricity Company. Site Owner Yes via Reference Yes via Reference Yes via Board Yes, subject to Third Approval Offer Offer Decision party access arrangements Antenna Height agl 55 42 15 61 - metres Antenna Proposed Share into existing Share into existing Radio Structures Radio Structures 4 x Dipole array on 2 x Dipole array on CDF195-2 2 x CDF195-2 2 x 240 degree ETN 127 degree ETN dipole stack array dipole stack array New or existing Existing Existing New New antenna ERP (kW) 2 0.5 0.1 0.1 Drive arrangement Dual Dual Single Single ACI Issue None – co-sited with None – co-sited with None – No DAB Not foreseen – only other services other services signals receivable in BBC transmitter at area Les Platons within range. TX Location Notes New transmitter to New transmitter to New transmitter to New transmitter to be sited within be sited within be sited within be sited within existing site existing site existing FM existing DTT TV accommodation accommodation transmitter site relay using existing power using existing power accommodation accommodation and ventilation and ventilation using existing power using existing power infrastructure infrastructure and ventilation and ventilation infrastructure infrastructure Transmitter size 900w Dual Drive 300w Dual Drive 100w Single Drive 100w Single Drive required

d) Provide the following details regarding transmission arrangements: i) Any transmission contracts that have been agreed ii) The status of these agreements.

(25) Small Digital Planet Ltd has an initial offer from Arqiva based on their published Reference Offer for Network Access. A number of SDP's Directors have concluded a number of contracts with Arqiva in the past and are used to negotiating with Arqiva. Our current Arqiva Relationship Manager and ourselves do not see any issues in concluding arrangements. Provisional agreement has been met with Quay FM (Alderney Broadcasting Co LBG) regarding facilities in Alderney and a

SDP – Channel Islands DAB Multiplex Application. Page 11/46 formal contract will be entered into upon award of the licence. Jersey Electricity have provisionally agreed a third-party access arrangement for the La Collette power station site. Again we do not foresee any problems with concluding access arrangements.

7. Other technical proposals a) Supply a network diagram, with associated tables and labels as necessary, showing in terms of functionality and (in principle) location: the source of each proposed digital sound programme service, digital additional service or television licensable content service, the point(s) of multiplexing, the point(s) of control of the elements of the multiplex (both FIC and MSC) and the distribution circuits to the transmitters. State the nature of the bearer circuit in each case, and its possible provider.

FIGURE 1 – MULTIPLEXING AND TELEMETRY

SDP – Channel Islands DAB Multiplex Application. Page 12/46 FIGURE 2 - TRANSMISSION DISTRIBUTION

SDP – Channel Islands DAB Multiplex Application. Page 13/46 FIGURE 3 - MULTIPLEX CONFIGURATION

SDP – Channel Islands DAB Multiplex Application. Page 14/46 TABLE 3 - SERVICE PROVIDER CONTRIBUTION DETAILS

Service Service Address Service Type Main Ingress Back Up Provider Circuits Contribution Circuit BBC Radio Jersey 18 Parade Road DSPS VPN IP Circuit to Secondary VPN JT and Sure St Helier CTV House, St. IP Circuit to CTV (C&W) Jersey Helier, JE2 3TP House, St Helier, JE2 3PL JE2 3TP BBC Radio Bulwer Avenue DSPS VPN IP Circuit to Secondary VPN GT and Sure Guernsey St Sampson CTV House, St. IP Circuit to CTV (C&W) Guernsey Helier, JE2 3TP House, St Helier, GY2 4LA JE2 3TP Island FM 12 Westerbrook St DSPS VPN IP Circuit to Secondary VPN GT and Sure St Sampson CTV House, St. IP Circuit to CTV (C&W) Guernsey Helier, JE2 3TP House, St Helier, GY2 4QQ JE2 3TP Channel 103 6 Tunnell St, DSPS VPN IP Circuit to Secondary VPN JT and Sure St Helier CTV House, St. IP Circuit to CTV (C&W) Jersey Helier,JE2 3TP House, St Helier, JE2 4LU JE2 3TP Quay FM Braye Studio DSPS VPN IP Circuit to Internet Feed to GT and Sure Braye Road CTV House, St. CTV House, JE2 (C&W) Alderney Helier,JE2 3TP 3TP GY9 3XX Radio Channel Playout Centre DSPS Direct Ethernet Alternative Not applicable Islands. (RCI) CTV House. connection to Ethernet La Pouquelaye multiplexer centre connection to St Helier at CTV House. multiplexer centre JE2 3TP JE2 3TP at CTV House, JE2 3TP Bailiwick Radio 5 Bond St DSPS VPN IP Circuit to Secondary VPN JT and Sure St Helier CTV House, St. IP Circuit to CTV (C&W) Jersey Helier, JE2 3TP House, St Helier, JE2 3NP JE2 3TP Timeless Radio Studio Centre DSPS Direct Ethernet Alternative Not Applicable CTV House. connection to Ethernet La Pouquelaye multiplexer centre connection to St Helier. at CTV House. multiplexer centre Jersey JE2 3TP at CTV House, JE2 3TP JE2 3TP Premier Christian 22 Chapter St DSPS VPN IP Circuit to Secondary VPN BT/JT/Sure London CTV House, St IP Circuit to CTV SW1P 4NP Helier, JE2 3TP House, St Helier, JE2 3TP Visitor Radio Playout Centre DSPS Direct Ethernet Alternative Not Applicable CTV House connection to Ethernet St Helier multiplexer centre connection to JE2 3TP at CTV House. multiplexer centre JE2 3TP at CTV House, JE2 3TP

SDP – Channel Islands DAB Multiplex Application. Page 15/46 Lusitana Radio Playout Centre DSPS Direct Ethernet Alternative Not Applicable CTV House connection to Ethernet St Helier multiplexer centre connection to JE2 3TP at CTV House. multiplexer centre JE2 3TP at CTV House, JE2 3TP Gallery Radio 10 Minden St DSPS VPN IP Circuit to Secondary VPN JT and Sure St Helier CTV House, St. IP Circuit to CTV (C&W) Jersey Helier, JE2 3TP House, St Helier, JE2 4NR JE2 3TP Station A UK Studio DSPS VPN IP Circuit to Secondary VPN BT/JT/Sure Location, TBC CTV House, St IP Circuit to CTV Helier, JE2 3TP House, St Helier, JE2 3TP Station B UK Studio DSPS VPN IP Circuit to Secondary VPN BT/JT/Sure Location, TBC CTV House, St IP Circuit to CTV Helier, JE2 3TP House, St Helier, JE2 3TP Station C UK Studio DSPS VPN IP Circuit to Secondary VPN BT/JT/Sure Location, TBC CTV House, St IP Circuit to CTV Helier, JE2 3TP House, St Helier, JE2 3TP Station D UK Studio DSPS VPN IP Circuit to Secondary VPN BT/JT/Sure Location, TBC CTV House, St IP Circuit to CTV Helier, JE2 3TP House, St Helier, JE2 3TP

b) For each of the data services proposed in Q.11(d) and Q.12, outline how compliance will be achieved with the requirement that no more than the statutory proportion of the total multiplex capacity will be devoted to non- programme related data services (see paragraphs 4.46-4.47; the figure excludes Synchronisation, MCI and SI). See also Q.19, about audio services.

(26) The following table summarises data services:

TABLE 4 – DATA SERVICES

Radio Transport Stream/ Average Protection Service Encryption Use Service mechanism Packet Net data Level Type Mode rate (kbs) BBC Radio Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Jersey BBC Radio Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Guernsey Island FM Short X-PAD Stream 1.33 UEP3 Ancillary No DLS Channel 103 Short X-PAD Stream 1.33 UEP3 Ancillary No DLS RCI Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Bailiwick Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Radio Timeless Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Radio

SDP – Channel Islands DAB Multiplex Application. Page 16/46 Radio Transport Stream/ Average Protection Service Encryption Use Service mechanism Packet Net data Level Type Mode rate (kbs) Premier Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Christian Visitor Radio Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Quay FM Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Station A Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Station B Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Station C Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Station D Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Lusitana Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS Radio Gallery Radio Short X-PAD Stream 1.33 EEP-3A Ancillary No DLS

(27) The multiplex system will be engineered to ensure that all requirements of ETSI EN 300 401 can be implemented, including the use of Linkage Set Numbers and Service Identifiers.

We propose to implement service linking to existing FM services in our line-up, and will request each FM service provider to arrange to carry DAB transmission link information for their services within their FM RDS transmissions, in order to give seamless continuity for receivers that have that capability. In practice we believe that this will be mainly redundant due to our proposed coverage matching or bettering the local FM coverage.

All such links would be in accordance with OFCOM Codes of Practice.

Section 51(2)(b): Timetable for commencement of services

8. Commencement of services

If it is envisaged that any of the digital sound programme services or their related ancillary services will not begin broadcasting from the start of the radio multiplex licence period, provide details of which service(s) will not commence from the launch of the radio multiplex service, the reason(s) for this, and an indication of the expected timescale for the commencement of the service(s).

(28) It is proposed that all services will begin broadcasting from the start of the licence period.

SDP – Channel Islands DAB Multiplex Application. Page 17/46 Section 51(2)(c): Ability to establish and maintain proposed service

9. Ownership and control of company which will hold the licence

(a) Board of Directors i) Provide the name, occupation, other directorships, other media interests, background and relevant media experience of each director (executive and non-executive), including the proposed chairperson.

Directors of the Company:

(29) Position: Non Executive Chair.

Name: Mark Sumner

Occupation: Non Executive Director and Financial Consultant

Other Directorships: Butterfield Bank (Jersey) Ltd – NED and Chair of Audit Committee.

Background:

My banking career spanned 25 years with Barclays and HSBC in the UK and Jersey, operating in the areas of personal and business lending, credit control, sales and line management, followed by 15 years in financial services regulation with the JFSC (Jersey Financial Services Commission).

The latter included 14 years at director level, and involved the supervision of regulated firms, policy development, staff management, stakeholder liaison (government, industry, other regulators, the press and public), corporate governance, leadership, change management and developing an enterprise wide approach to risk management.

I am a Jersey resident and retired from full time employment in May 2018. I am a Chartered Director, Associate of the Chartered Institute of Bankers and a Fellow of the Institute of Directors. My main focus is now on corporate governance and financial services consultancy.

(30) Position: Managing Director

SDP – Channel Islands DAB Multiplex Application. Page 18/46 Name: Christopher Bee

Occupation: Managing Director, Hub Europe Ltd

Other Directorships: BeeSeen Group Ltd

Background:

A local Jersey businessman with over 30 years experience of ‘Island Business’. A 2014 finalist in the Jersey Business Awards for Entrepreneur of the Year and SME Business of the Year and winner of the Application of Technology award, I am no stranger to the drive and effort required to see ideas through from conception to successful implementation. A keen interest in broadcasting has seen me being part of the consortium that bid to win the 1991 Channel Islands ITV franchise, as well as some local radio license applications over the ensuing years.

My main business interest is based around the Logistics industry. Owning and operating the airport freight and cargo operations at Jersey and Southampton airports, both of which are HMRC and CAA approved facilities. We also have a Postal License from the Channel Islands Competition Regulatory Authority to compete in the bulk mail arena. We handle secure deliveries for the British Passport Office and handle approximately 5 million other items per year.

The group turnover is approximately £7 million per annum.

(31) Position: Marketing Director

Name: John Dingle

Occupation: Managing Director. Fortuna Ltd

Other Directorships: None

Background:

My family heritage can be traced back for many centuries in Jersey. We have been involved in the radio engineering business since the early 1900's when my great uncle was the sole installer of wet battery radios in Jersey. My grandfather worked for the Jersey Electric Light Company in the late 1920's. My father was arrested by the German occupying forces for producing crystal radios, to listen to the BBC, during the Islands' occupation in 1943. In 1954 my father opened an electrical and engineering company called Fortuna. Since then the company has been in the forefront of the Island’s electronics market and comprises Jersey's largest service and support company, with associated companies in all of the Channel Islands.

We were recently involved with the planning and roll out of the terrestrial digital TV changeover with Digital UK, where we also worked with the BBC under the 'BBC Help' programme. More recently we have worked

SDP – Channel Islands DAB Multiplex Application. Page 19/46 with the local Channel Islands' regulator to clear the Interference issues with the 4G telecoms roll-out and have more recently been employed through the UK Government and SCCI Alphatrack to clear out the 700 Mhz band ready for 5G implementation. Our large locally-based engineering team look after aerial headend equipment for all the major social housing companies, private dwellings, hotels and commercial premises.

We are the only Sky Broadcasting appointed service and support centre in Jersey, managing all of their installation and servicing requirements for multi dwellings as well as domestic units. We have obtained all major compliance certificates and have a vast knowledge of all aspects of broadcast. We are members of the CAI. Our team also work with the Jersey Department of Electronics to help with the aerial installations for the police TETRA Comms service. Our network teams look after microwave links, point to point, wired network , home and business wifi installations.

Our business also includes a digital marketing company which installs, hosts and networks digital signage across all the major businesses in Jersey, and abroad, with a creative team to support our clients.

Our large retail unit is perfectly placed in St. Helier selling all types of home electronics including DAB Radio receivers. Our staff are trained to the highest standards, and because of our engineering experience, we have in depth knowledge to be able to contribute towards the successful launch and implementation of the new DAB multiplex.

(32) Position: Director & Company Secretary

Name: Rudiger Falla

Occupation: Retired Company Secretary and Trust Company Director.

Other Directorships: Rumi Ltd – Guernsey Private Investment Company.

Background:

I am a local market Guernsey resident living in St. Peter Port. I was articled to Coopers & Lybrand Accountants (now PWC) in 1973. In 1980 I was invited to join The Bachmann Group Limited, at the time one of the Channel Islands leading independent trust operations. During my 23 years there I acted as company secretary, financial controller and for the last thirteen years as a director of this regulated trust company, also being a Registered Trust and Estate Practitioner and a member of the Institute of Directors.

I resigned as a director at the end of 2003 and with two other former Bachmann directors I established Confiance Limited which is also a regulated trust company. Confiance Limited was sold in 2015 to Praxis (IFM) Group Limited.

After a short period of acting as a consultant to Praxis I retired from the Trust industry to maintain and pursue investment opportunities.

SDP – Channel Islands DAB Multiplex Application. Page 20/46 In my spare time I am a keen tennis and bridge player, and also enjoy music and cycling alongside the canals in France.

(33) Position: Director

Name: Spencer Pryor

Occupation: Retired Radio Manager

Other Directorships: C.I. Broadcasting Ltd - UK. Timeless Radio Ltd - UK.

Background:

I was born in St. Helier and educated in Jersey and have an MSc in Media Management from the University of Stirling. I have been involved in media and broadcasting in the Channel Islands since the late 1970s. I worked as a journalist for Channel Television (ITV) and BBC Radio Jersey, as well as Island newspapers and magazines. I was the holder of the very first Radio Authority licence issued for the Channel Islands in 1990 (Europower FM), and was also an instrumental part of the CI3 ITV franchise application in the franchise round of 1991.

Over the following 25 years I pursued a successful career on the mainland (UK) whilst retaining my Jersey family home. My specialist broadcast and telecoms engineering company Brave Broadcasting Ltd undertook a long term (8 years) contract for the Royal Navy/MoD and also a long term contract with the Scottish emergency services in respect of secure telecoms provision.

In 2015 my company was awarded the licence to operate the Glasgow small scale DAB multiplex licence covering 600,000 people by OFCOM. This multiplex was technically innovative and started broadcasting with 5 stations in 2015 and at the time of my retirement in September 2018 the multiplex carried 20 stations with the majority broadcasting in DAB+. During this time, I consulted with several policy committees and working parties for OFCOM, DigitalRadioUK and the Department of Culture, Media and Sport concerning the future of DAB Broadcasting.

I also owned the commercial FM radio licences for Helensburgh and Dunbartonshire in Scotland which operates as YOUR Radio. These were sold to Nation Broadcasting in September 2018. I have now retired from full time work, although I do undertake some radio consultancy work for a number of UK radio companies, along with some journalism. I am a member of the Chartered Institute of Journalists.

For relaxation I enjoy dinghy sailing and catching waves at St. Ouen's Bay.

SDP – Channel Islands DAB Multiplex Application. Page 21/46 ii) If there are firm plans to appoint any further directors, provide information (with details of any specific individuals in mind). This information may be submitted in confidence.

(34) There are no plans to appoint any further Directors.

(b) Proposed Investors and Shareholding Structure Full details of the proposed shareholding structure should be provided, including:

Shareholder No of Shares - £1 Ord. % Shareholding % Loan Stock Christopher Bee 3000 30.00% 55.00% St Brelade Jersey

Mark Sumner 500 5.00% 5.00% St Clement Jersey John Dingle 2000 20.00% 20.00% St Brelade Jersey Rudiger Falla 2000 20.00% 20.00% St Peter Port Guernsey Spencer Pryor 2250 22.50% St Brelade Jersey Steven Falle 250 2.50% St Martin Jersey

Table 5. (NOTE: Full addresses of investors submitted in confidence.) ii) Total number, class/classes of shares and issue price of shares (specify voting, nonvoting, preference, other etc.).

(35) 10,000 £1 Ordinary Shares issued at par. iii) All voting shareholders and holders of 5% or more of non-voting shares and loan stock should be named. State the number, class/classes and price of shares to be issued to each investor.

(36) See above – Table 5. iv) Outline any shareholders agreements or arrangements which exist.

(37) A shareholder’s agreement will be entered into after the licence is awarded. The shareholders have agreed terms and conditions covering issues of corporate governance, shareholdings, pre-emption and dilution of shares, board composition, funding requirements and confidentiality. v) Where a corporate body other than a current Ofcom licensee will be providing 30% or more of the required funding, details should be given of its directors and main shareholders, and of its activities.

(38) Not applicable. vi) Where the applicant is an existing company or subsidiary of an existing company, the applicant should provide the last three years’ statutory accounts and management accounts for the last financial year for the applicant and/or the parent company.

SDP – Channel Islands DAB Multiplex Application. Page 22/46 (39) The Company is newly formed and has not commenced trading. vii) Ofcom may request additional information (e.g. a banker's letter, statutory/management accounts) regarding the shareholders, or any other providers of finance, listed in the application.

(40) The company and shareholders would supply any further information or Letters of Comfort to OFCOM upon request.

(c) Involvement of the Applicant in Specified Activities

Details are required of the involvement by the applicant and its participants (including shareholders or other subscribers of more than 5% of the applicant's total funding requirements) in any of the activities listed below, and the extent of the interest.

For these purposes, the applicant includes associates of the applicant (i.e. directors and their associates and other group companies). i) Advertising agencies;

(41) None ii) Newspapers;

(42) None iii) Other broadcasting interests;

(43) Mr Pryor is currently a 25% shareholder and a Director of Timeless Radio Ltd, an OFCOM DSPS licence holder. iv) Bodies whose objects are wholly or mainly of a religious nature;

(44) None v) Bodies whose objects are wholly or mainly of a political nature;

(45) None vi) Local authorities;

(46) None vii) Other publicly-funded bodies.

(47) None

* Applicants should note that this information is required for the purposes of checking compliance with the ownership rules and is not relevant to an applicant's ability to establish and maintain its proposed service. If none of the categories above apply to the application this should be clearly stated.

SDP – Channel Islands DAB Multiplex Application. Page 23/46 10. Financial and business plan

(a) Overall Financial Strategy

Explain how the applicant considers it is able to establish and maintain, throughout the licence period, its proposed service. This explanation should include an assessment of each of the following, but is not restricted to these factors: a) The network construction phase b) The operational start-up phase c) Marketing d) Ongoing operation of the service

(48) The company strategy for Small Digital Planet Ltd is:

To operate an efficient and profitable business that increases opportunities for existing and future broadcasters to utilise a local DAB platform to broadcast to the Channel Islands.

(49) As a Channel Islands owned and operated company Small Digital Planet Ltd wishes to play a part in the continued financial success of the Channel Islands. SDP has established it's fiscal domicile as the Bailiwick of Jersey, and as such will register with the local authorities regarding Corporation Tax and Jersey Social Security/ITIS payments. The company will also register for GST as projected turnover will bring the company into scope for this tax.

(50) In regard to corporate governance the board of Directors has the following responsibilities:

• Formulating the company's business strategy • Monitoring and reviewing trading performance • Appointing and contracting with Service Providers and transmission facilities providers • Developing multiplex bandwidth policies • Developing revenue structures • Regulatory compliance with both OFCOM and the two Bailiwicks in respect of local legislation.

(51) The Network Construction Phase.

SDP believes that the Network Construction phase delineates into three sections:

SDP will use Asana Project Management Software to manage the many strands required to plan, build and operate the multiplex.

After award of the licence, frequency planning will be finalised and clearance for the 12B block will be confirmed, along with international clearance. In conjunction with our installation contractors, Bitstream Broadcast Ltd, we will finalise technical plans and equipment will be ordered with deposits being paid.

Contracts will be entered into for premises for transmitter sites and office/multiplex centre, with occupation expected in April 2020. Telecom and IP VPN circuits will be ordered from various suppliers and installation. Normal installation criteria of IP circuits is in the region of 12 weeks from ordering to commissioning.

A working timetable will be established between all parties, and SDP will subscribe to Arqiva's Third Party 'Keyholder' scheme which will give SDP 24/7 access to the two Arqiva sites which are part of our transmission network. Arqiva no longer man these sites on a continuous basis.

Installation and testing will take place in the late part of Quarter 2 2020. Bitstream Broadcast Ltd, who are an approved OFCOM installer and commissioning tester, will oversee all transmitter installation and testing during this period

(52) Operational Start Up Phase.

When we are ready to commence operations, this phase will include liaising with Service Providers to ensure

SDP – Channel Islands DAB Multiplex Application. Page 24/46 that DSPS licences have been issued in order for them to broadcast. 'Sink-testing' of all systems, including back-ups, will be undertaken to ensure robustness of the multiplex. Company administration functions will be put into place and Service Provider Carriage Agreements and Service Level Agreements will be completed.

(53) Marketing

SDP will market and promote the forthcoming multiplex from the time of licence award, and aiming to build interest throughout the early part of 2020. This activity would culminate in an Islands-wide launch promotion with most of the electronics retailers across the Islands. This promotion would probably offer discounted DAB receivers for sale to stimulate an increase in DAB receiver penetration throughout the Channel Islands. There would be no financial commitment from SDP for this promotion, the costs being borne by the retailers.

We would also get DigitalRadioUK involved with information posted on their website and their 'Postcode Checker' would also now cover the JE and GY postcode areas. SDP will also actively encourage our Service Providers, especially those also transmitting on analogue wavebands, to actively promote their DAB services by on-air announcements and promotions.

(54) Continuing Operations.

Once operational SDP will undertake day-to-day operations including fault monitoring, and ensuring Service Providers each record and log their output for a rolling 42 day period for regulatory compliance. SDP would also handle requests from Service Providers concerning bit rate changes and/or service splitting and would liaise with OFCOM by way of 'Multiplex Variations' to it's licence to facilitate these changes. SDP's administration department would undertake all normal commercial tasks including accounts receivable and payable, and the payment of GST to the local tax authority.

SDP would continue to seek out new business opportunities for the multiplex, including the licencing and provision of new, temporary and permanent services on the multiplex, both audio and data driven.

(55) By the nature of things SDP will always remain a 'Small and Medium Enterprise' (SME) due to the highly regulated nature of it's business and the finite number of Service Providers that can take carriage space upon the multiplex. The Directors believe that in part, they are providing a public and social good in operating this multiplex, and although operated as a commercial entity, profit margins are not paramount in the operation of the multiplex.

(56) There is no corporate 'Exit' strategy for the company. SDP intends to remain locally Channel Islands owned and operated throughout the multiplex licence period. We see no operational or financial benefits to be part of a larger U.K. multiplex owning conglomerate. This is due in part to the size and remoteness of the Channel Islands and the different legal and regulatory regimes that SDP must operate under.

(b) Funding

Detail the sources of finance that will be used to fund the licence, under the following headings:

Source of Finance £ Share Capital 10000 Loan Stock 50000 HP/Leasing facilities (Capital Value) 0 Bank Overdraft 0 Grants and Donations 0 Other 0 Total 60000

SDP – Channel Islands DAB Multiplex Application. Page 25/46 Applicants should provide evidence that sufficient funds are available to each investing shareholder to cover their proposed investments.

(57) Each shareholder of more than 5% shareholding has supplied Letters of Comfort to an independent accountant confirming availability of funds for investment.

For incorporated investing shareholders, applicants should provide a copy of the most recent statutory accounts. Where relevant, provide information on: Loan terms (e.g. interest rate, repayment terms, redemption/conversion terms); Assets leased.

(58) Not applicable – No incorporated shareholders.

All of the funding identified above should be confirmed to the applicant. If any funding has not been confirmed, or if there are any pre-conditions that have not yet been met that need to be met before the funding is released to the applicant, provide an explanation of what needs to be done, the dates by which it needs to be carried out, and any steps the applicant needs to take to ensure the funding is confirmed and/or released.

(59) Small Digital Planet Ltd is a newly formed company and has not commenced trading.

(c) Financial Projections

The purpose of this question is to allow the applicant to demonstrate its understanding of the market. The forecasts should be based on reasonable assumptions that are logically applied and justifiable. A letter should be provided from a firm of Independent Accountants, addressed to the board of directors of the applicant, confirming the results of agreed-upon procedures carried out under the International Standard on Related Services (ISRS) 4400; Engagements to Perform Agreed- Upon Procedures Regarding Financial Information. The letter should confirm: g) Whether the projections contained in the financial model have been accurately compiled on the basis of the assumptions listed and explanatory notes accompanying the projections; and h) Whether the assumptions listed and explanatory notes follow International Financial Reporting Standards and Generally Accepted Accounting Policies. The applicant should provide financial projections for the pre-operational period and on an annual basis for the subsequent 12-year licence period. The projections must include: Profit and loss accounts; Balance sheets Cash-flow forecasts Appropriate supporting schedules

The forecasts should be supplied on an Excel spread-sheet or similar and guidance notes should be provided. The applicant must also complete and submit the spreadsheet entitled “Financial Template for DAB Local Radio Multiplex Licence Applications” at: https://www.ofcom.org.uk/manage-your-licence/radio-broadcast-licensing/apply-for-a-radiobroadcast-licence using information from its business model. Guidance notes for completion of the Template can be found in Annex 2 to this Notice. This section must include a full listing of the underlying assumptions on which the financial projections are based.

The application should detail how revenue figures were derived, distinguishing between: i) Access fees ii) Fees based on audience or revenue shares iii) Other fees (please specify) Revenue forecasts should also distinguish between digital sound programme, digital additional and television licensable content services. The application should clearly set out the fee structure for each service provider, and explain the reasons for any differences in fees paid between providers. Where the applicant expects to receive fees based on audience or revenue shares of the services carried on the multiplex, forecasts of the audiences and revenues of those services should be provided. The response to Q.10(c) may be submitted in confidence.

(60) The Financial Projections are supplied 'In Confidence' as a separate attachment to this application.

(d) Risks

The financial information submitted by applicants should demonstrate that the business plan has sufficient resilience for the service to be maintained despite adverse movements in revenues and costs arising from more difficult trading conditions than expected.

The business plan must therefore: i) Incorporate a set of sensitivity tests, and; ii) Provide details of the main operational and financial risks to the business plan and explain how the applicant proposes to address these risks. The response to Q.10(d) may be submitted in confidence.

(61) The risk and sensitivity tests are supplied 'In Confidence' as a separate attachment to this application.

SDP – Channel Islands DAB Multiplex Application. Page 26/46 Section 51(2)(d): Catering for local tastes and interests

11. Proposed local digital sound programme services i) Provide, for each local digital sound programme service for which capacity is to be allocated, a description of the service. This description should encapsulate the nature and characteristics of the proposed service (e.g. type(s) of music and speech to be provided, target audience, etc.). The number of hours each day that the service will be broadcast must also be included. These service descriptions will form part of the licence. Therefore, questions of clarification may be asked prior to licence award and the wording amended to reflect this, if necessary.

(62) The multiplex will carry the following services from launch:

BBC Radio Jersey Analogue FM Simulcast (Reserved Capacity) BBC Radio Guernsey Analogue FM Simulcast (Reserved Capacity) Island FM Analogue FM Simulcast Channel 103 Analogue FM Simulcast Quay FM Analogue FM Simulcast Radio Channel Islands (RCI) New Local Digital Service Bailiwick Radio New Local Digital Service Visitor Radio New Local Digital Service Timeless Radio Local version of UK Digital Service Premier Christian Simulcast of UK National DAB Service Station A Simulcast of UK DAB Service Station B Simulcast of UK DAB Service Station C Simulcast of UK DAB Service Station D Simulcast of UK DAB Service Lusitana Radio New Local Digital Service Gallery Radio New Local Digital Service

NOTE: Stations A, B, C, and Ds service names and details have been supplied in confidence to OFCOM, due to the Service Provider(s) requesting Confidentiality due to ongoing commercial and regulatory concerns in the UK.

Non BBC Services:

Name Island FM Format Contemporary Hit Music Licence Description A simulcast of Island FM (Licence No: AL000142); a contemporary and chart music station for mainly 25-44 year olds in the Bailiwick of Guernsey Broadcast Hours 24 hours a day

Name Channel 103 Format Contemporary Hit Music Licence Description A simulcast of Channel 103 (Licence No: AL000143); a contemporary and chart music station for mainly 25-44 year olds in the Bailiwick of Jersey Broadcast Hours 24 hours a day

Name Quay FM Format Full service Community Radio Station serving Alderney Licence Description A simulcast of Quay FM (OFCOM Community Radio Licence); a full service station for the

SDP – Channel Islands DAB Multiplex Application. Page 27/46 inhabitants of Alderney Broadcast Hours 24 hours a day

Name Radio Channel islands (RCI) Format Classic Hits/Gold Licence Description A new digital station playing the Greatest Hits from the 1960s to the 1980s, with pan-Channel Islands news, information and entertainment. Broadcast Hours 24 hours a day

Name Bailiwick Radio Format AOR Licence Description A new digital station providing a locally focused service of news, sport and entertainment from the publishers of Bailiwick Express and appealing mainly to 25 -44 year olds in both Bailiwicks Broadcast Hours 24 hours a day

Name Timeless Radio Format Easy Listening Licence Description A local Channel Islands version of the UK digital station playing mainly ballads and smooth easy listening melodic music from the 1940s to the present day. The station's target audience is listeners aged 50+ Broadcast Hours 24 hours a day

Name Visitor Radio Format Tourist Information Licence Description A digital station broadcasting Tourist Information to the over 1 million visitors to the Channel Islands each year. Broadcast Hours 24 hours a day

Name Premier Christian Radio Format Christian Music and Talk Licence Description A simulcast of the UK National DAB service. The station's target audience is listeners interested in the Christian faith and music. Broadcast Hours 24 hours a day

Name Station A (Service Name supplied in confidence to OFCOM) Format Contemporary Hit Radio Licence Description A simulcast of a UK DAB service, broadcasting a fast paced contemporary music mix aimed at 15 – 30 year olds. Broadcast Hours 24 hours a day

Name Station B (Service Name supplied in confidence to OFCOM) Format Adult Orientated Music

SDP – Channel Islands DAB Multiplex Application. Page 28/46 Licence Description A simulcast of a UK DAB service, broadcasting a contemporary and classic hit music mix aimed at 24 – 45 year olds. Broadcast Hours 24 hours a day

Name Station C (Service Name supplied in confidence to OFCOM) Format Classic Hits and Melodic Music Licence Description A simulcast of a UK DAB service, broadcasting an easy listening and classic hits service from the last five decades aimed primarily at 45 – 64 year olds. Broadcast Hours 24 hours a day

Name Station D (Service Name supplied in confidence to OFCOM) Format News and Talk Licence Description A simulcast of a UK DAB service, broadcasting a speech based service covering news, current affairs and talk based phone ins. Broadcast Hours 24 hours a day

Name Lusitana Radio Format Portuguese language and music orientated station. Licence Description A locally originated station aimed at the tastes and interests of the Channel Islands' largest ethnic minority comprising 8% of the population. Broadcast Hours 24 hours a day

Name Gallery Radio Format Contemporary Hot Radio/Top 40 Licence Description A locally originated station aimed at adults aged between 15 and 25 with a mainly fast paced music-based format. Broadcast Hours 24 hours a day j) Outline the expected target audience of each local digital sound programme service to be accommodated on the multiplex, in terms of demographic profile (i.e. age-range, gender, socio-economic background), ethnic composition, and/or any other relevant characteristics. To what extent will each of these services cater for local tastes and interests, general or particular?

Service Name Island FM Target Audience RAJAR TSA: 53,000 adults 15+ Listeners per week: 31,000 Reach Percentage: 59% Listening Hours per week: 380,000 Market Share in TSA: 39.7%

Local tastes and interests The Bailiwick of Guernsey's heritage local commercial radio station. On air since 1992 Island FM is proportionally one of the most listened to stations that is measured by RAJAR, in part due to its duopoly status (with the BBC) within the Bailiwick.

Its broad range of music coupled with an in depth coverage of local, Bailiwick-wide, and UK national news is reflected in its extremely high listenership. Summary Once pre-eminent in Guernsey broadcasting Island FM has shown a small decreasing

SDP – Channel Islands DAB Multiplex Application. Page 29/46 market share over the last few years (Source: RAJAR). We believe that being on the SDP CI mux will help reverse that trend due to the additional facilities available to DAB listeners.

Service Name Channel 103 Target Audience RAJAR TSA: 89,000 adults 15+ Listeners per week: 48,000 Reach Percentage: 53% Listening Hours per week: 514,000 Market Share in TSA: 35.1%

Local tastes and interests The Bailiwick of Jersey's heritage local commercial radio station. On air since 1992 Channel 103 is proportionally one of the most listened to stations that is measured by RAJAR, in part due to its duopoly status (with the BBC) within the Bailiwick.

Its broad range of music coupled with an in depth coverage of local, Bailiwick-wide, and UK national news is reflected in its extremely high listenership. Summary Pre-eminent in Jersey FM broadcasting Channel 103 has shown a small increasing market share over the last few years (Source: RAJAR). We believe that being on the SDP CI mux will help improve that trend due to the additional facilities available to DAB listeners.

Service Name Quay FM Target Audience The inhabitants of the Island of Alderney c. 2,000.

Local tastes and interests Quay FM is the Channel Islands' only OFCOM licenced Community Radio station.

Its broad range of music coupled with an in depth coverage of local, Bailiwick-wide, and UK national news is reflected in its extremely high listenership.

Summary SDP believe that the addition of Quay FM would enhance the bouquet of services being offered to Channel Islands listeners and would enable listeners in both Bailiwicks to hear Quay FM output outside of its current small FM TSA.

Service Name Radio Channel Islands (RCI) Target Audience The Service Provider states that Radio Channel Islands (RCI) will have the following audience profile:

Principal listening amongst those aged 34 – 64 Slight female bias and slight C2DE bias

Local tastes and interests Radio Channel Islands (RCI) is an unashamed 'Good Time' station that broadcasts Classic Hits/Gold from the 1960s to the1980s coupled with being the Channel Islands' first pan- Channel Islands station with news, sport and information of interest to all Islanders.

Summary RCI is a welcome addition to the local multiplex in that it is the only station that will broadcast Classic Hits/Gold from those particular decades, thus broadening listener choice amongst the services available.

SDP – Channel Islands DAB Multiplex Application. Page 30/46 Service Name Bailiwick Radio Target Audience The Service Provider has stated that:

Bailiwick Radio appeals mainly to listeners in the 25 - 54 age range

Local tastes and interests Bailiwick Radio is run by Bailiwick Publishing, the Channel Islands' fourth biggest media outlet.

Its broad range of music coupled with an in depth coverage of Channel Islands and UK national news is reflected in its extremely high readership on it's websites, which is reflected in its online listening figures to it's radio service.

Summary The only current online broadcaster of note in the Channel Islands, Bailiwick Radio will be a useful addition to the multiplex in terms of broadening listener choice. A number of cross- promotion activities with Bailiwick Publishing's existing outlets would increase the uptake of listeners to the multiplex.

Service Name Timeless Radio Target Audience The Service Provider has stated that:

The target audience is listeners aged 50+ The station appeals to all demographic groups as a 'community of interest' station.

Local tastes and interests Timeless Radio is a predominately music based service playing easy melodic music from the 1940s to the present day with an emphasis on ballads from the likes of Frank Sinatra to Michael Buble. A four hour weekday show tailored to Channel Islands' listeners will be presented. It is not envisaged that news will be covered, but local information will be broadcast during the local output.

Summary Timeless Radio has been broadcasting as a digital DAB station in the UK on the Glasgow, Manchester, Birmingham and Portsmouth small scale multiplexes. It has carved out an appreciative niche audience that is not served by any of the mainstream broadcasters.

Service Name Visitor Radio Target Audience The Service Provider has stated that:

Visitor Radio appeals to the 1 million visitors to the Channel Islands per year, who on average stay 4 nights per visit.

Local tastes and interests This service is mainly a speech based service broadcasting 'magazine type' programming consisting of local 'What's On' type features and local history and information.

Summary The only broadcast medium in the Channel Islands aimed at the large number of visitors and tourists to the Islands. Nearly all Hire Cars within the Islands are fitted with DAB radios as standard due to being new vehicles.

Service Name Premier Christian Radio Target Audience The Service Provider has stated that:

The target audience is listeners who want to hear relevant, informative and challenging content from a Christian perspective. The station appeals to all demographic groups as a 'community of interest' station.

SDP – Channel Islands DAB Multiplex Application. Page 31/46 This station is surveyed on RAJAR in the London area where it achieves 118,000 listeners per week and 999,000 listening hours per week. (Source: RAJAR Qtr 2 2019)

Local tastes and interests Premier Christian Radio will appeal to the large number of residents of the Islands who identify with the Christian religion. There are a large number of church-goers to the Established churches and the Non-Conforming sects within both Bailiwicks due to historical reasons stretching back to the time of the Reformation.

Summary An established UK national radio station which is currently not available in the Channel Islands, Premier Christian Radio will enhance and broaden choice to local listeners.

Service Name Station A Target Audience The Service Provider has stated that:

The target demographic is 15 – 24 year olds

The station subscribes to RAJAR in the UK. Local tastes and interests This service is primarily a fast paced contemporary music mix aimed at 15 – 30 year olds.

Summary A well regarded and successful station in the UK, this station will extend listener choice across the Channel Islands as no equivalently formatted station is currently available on either FM or DAB.

Service Name Station B Target Audience The Service Provider has stated that:

The target demographic is primarily females aged between 18 – 35 years old.

The station subscribes to RAJAR in the UK. Local tastes and interests The station has a pacey presentation style with celebrity presenters with a format of upbeat contemporary and recurrent hits that will appeal to local listeners interested in showbiz gossip.

Summary A well regarded and successful station in the UK, this station will extend listener choice across the Channel Islands as no equivalently formatted station is currently available on either FM or DAB.

Service Name Station C Target Audience The Service Provider has stated that:

The target demographic is mature adults aged 35+

The station subscribes to RAJAR in the UK. Local tastes and interests A station that plays melodic music from the past 5 decades in a relaxed easy style. Summary A well regarded and successful station in the UK, this station will extend listener choice across the Channel Islands as no equivalently formatted station is currently available on either FM or DAB.

SDP – Channel Islands DAB Multiplex Application. Page 32/46 Service Name Station D Target Audience The Service Provider has stated that:

The station subscribes to RAJAR in the UK. Local tastes and interests A UK-wide news, talk and information station which will appeal to local listeners who currently have very limited non-BBC services of this format available within the Channel Islands Summary A well regarded and successful station in the UK, this station will extend listener choice across the Channel Islands as no equivalently formatted station is currently available on either FM or DAB.

Service Name Lusitana Radio Target Audience The Service Provider has stated that:

Lusitana Radio will appeal to the 8% of Channel Islands residents who have Portugeuse as a first or second language. Portuguese and Madeiran nationals are the largest ethnic minority within the Channel Islands, due to the close historical ties between the Islands and Portugal, especially Madeira.

Local tastes and interests This locally originated service will cater to the Islands' largest ethnic minority and aims to be the number one source in the Islands for Portuguese speakers. The station will broadcast news and information concerning both the Channel Islands and Portugal, along with Portuguese music, both current and certain genres such as fado.

Summary The only broadcast medium in the Channel Islands aimed at Portuguese speakers, with daily music and speech programming.

Service Name Gallery Radio Target Audience The Service Provider has stated that:

Gallery Radio will appeal to the young adult market in the Channel Islands.

Local tastes and interests This locally originated service will cater to the Islands' youth market with a contemporary music mix highlighting local performers.

Summary The only locally originated service that is specifically aimed at young adults throughout the Islands. k) If agreement has been reached (either firmly or provisionally; state which) with particular providers of some or all of the local digital sound programme services to be accommodated on the multiplex, identify these programme providers. For each one, state whether it has already been issued by Ofcom with a licence to provide a local digital sound programme service.

Service Service Provider Status DSPS Held Island FM Tindle Radio Group Provisional No Channel 103 Tindle Radio Group Provisional No Quay FM Alderney Broadcasting Co Confirmed No LBG Radio Channel Islands (RCI) C.I. Broadcasting Ltd Confirmed No Bailiwick Radio Bailiwick Publishing Ltd Provisional No

SDP – Channel Islands DAB Multiplex Application. Page 33/46 Service Service Provider Status DSPS Held Timeless Radio C.I. Broadcasting Ltd Confirmed No Premier Christian Radio Premier Christian Radio Provisional Yes Visitor Radio C.I. Broadcasting Ltd Confirmed No Station A Confidential to OFCOM Provisional Yes Station B Confidential to OFCOM Provisional Yes Station C Confidential to OFCOM Provisional Yes Station D Confidential to OFCOM Provisional Yes Lusitana Radio T Marshall & H. da Costa t/a Confirmed No Lusitana Radio Gallery Radio Sixbynine Ltd Confirmed No

l) Details of any arrangements with particular providers which the applicant considers to be commercially sensitive may be submitted in confidence.

(63) The details of Station A, B, C and D and their respective Service Providers have been supplied to OFCOM on a Confidential Basis due to the Service Provider(s) currently being subject to UK regulatory concerns. m) Give details of any programme-related 'data' or other services to be provided to enhance the audio elements of the local digital sound programme services proposed to be provided. List separately those provided by the relevant local digital sound programme licensees themselves (as 'ancillary' services) and those, if any, provided by other parties under a digital additional services licence.

(64) At launch the multiplex will support Dynamic Label Services (DLS) and MOT carousel using off the shelf interfaces and software packages for generating data content. DLS scrolling text information provides a clear advantage over FM transmissions and listeners to DAB value these services highly. As technology evolves we will work with our Service Providers to provide other data services such as an EPG and traffic information.

(65) Although not 'enhancing' the audio elements being transmitted, SDP will enable the Channel Islands' Civil Emergency Organisations access to the multiplex to over-ride all audio output with emergency information during a major civil emergency. Contingency planning over the past years suggest that this would probably only be called into use following a major nuclear catastrophe at the nearby Flamanville nuclear re- processing plant on the French coast eight miles from Alderney. n) If it is intended to use an encryption system, state that this is so, and make clear to which local digital sound programme services it will apply, and how listeners will subscribe to the service.

(66) There are no plans to encrypt any services or data.

12. Digital additional services and television licensable content services

Provide details of any digital additional services and/or television licensable content services planned, other than programme- related data services (see Q.11(d) above), and the proportion of the total multiplex capacity which will be allocated to each of these. * Applicants should note that this information is not relevant to section 51(2)(d), which relates only to digital sound programme services, but this question is positioned here for convenience.

(67) No Digital Additional Services and TLCS are proposed at this time.

SDP – Channel Islands DAB Multiplex Application. Page 34/46 Section 51(2)(e):

Broadening of local commercial DAB choice

13. Broadening of choice

Outline how the programming provided by the local digital sound programme services (other than BBC services) proposed will broaden the range of local digital sound programme services available in the area, and describe the extent to which the proposed local digital sound programme services will cater for tastes and interests different from those catered for by local digital sound programme services already available in the area. If the licence applied for is the first local radio multiplex licence to be advertised in an area, detail the breadth of programming which will be delivered by the range of local digital sound programme services to be provided on that local radio multiplex alone.

(68) The new Channel Islands multiplex is the first non-BBC multiplex to transmit in the Channel Islands and as such is regarded as a 'white area' regarding DAB transmissions i.e. none currently available. By definition the adding of any non-analogue services broadcasting in the Channel Islands is going to be broadening listener choice.

With 14 new non-BBC services proposing to broadcast on DAB we believe that we are offering a compelling and interesting 'bouquet' of new services to listeners across the Islands. Ranging from stations broadcasting to young adults to several serving listeners of more mature years, and coupled with a complete gamut of musical genres being covered by other stations, we believe that musically nearly all tastes are covered.

(69) We do recognise that there are two main musical genres that are not represented on the multiplex, Classical and Rock music. We have approached several potential operators of these genres of services, both in the U.K. and in the Channel Islands, and in all cases they have said that at the moment they cannot justify the additional costs in broadcasting these types of services. We would re-visit these missing musical genres once the multiplex is operational.

(70) We also believe that we have a good balance between locally-based stations, complimented by a number of well-known stations from the U.K., in allowing local news and information to be broadcast.

(71) Whilst we are confident that the vast majority of stations that have committed, provisionally or definitely, to broadcast on the multiplex are genuine in their intentions, it should be borne in mind that the proposed on- air date of June 2020 could mean that plans change by the potential Service Providers in the interim, or that we are approached by new potential Service Providers wanting to offer additional new services.

As an example, the last U.K. commercial multiplex to be licenced by OFCOM – , which was won by MuxCo Suffolk Ltd, saw only 50% of their proposed new digital stations actually make it 'on-air'. However SDP believes that with it's expertise and guidance all of the proposed new stations can be brought to launch by the projected target date.

(72) In summary SDP believes that it's proposals massively broaden listener choice in the Channel Islands in respect of new stations broadcasting that were unavailable on Free-To-Air transmissions before the launch of this DAB multiplex.

SDP – Channel Islands DAB Multiplex Application. Page 35/46 Section 51(2)(f): Local demand or support

14. Audience requirements

Summarise the main findings of any original market research undertaken, or any analysis of existing audience research information, or any other form of evidence which demonstrates demand for the types of programme service and/or programme-related data or other data services proposed, or has otherwise influenced the applicant's proposals.

If original market research has been undertaken, please provide the detailed research. a) A statement of the key objectives of the research b) The specific questions that the research sought to answer c) How the research was conducted: d) The size and composition of the sample(s); e) When and where the research was conducted; f) A summary of the main findings from the research, showing how these demonstrate evidence of demand for the service proposed – this summary should represent a fair and accurate summary of the full results; g) A copy of any detailed audience research report or analysis, from which the summary provided in the main application document has been derived, full data tables for any quantitative research undertaken, and any questionnaire used (these may be submitted in confidence).

Please provide your responses to (a) – (e) in tabular format.

a) Key Objectives b) Specific c) How d) Size and e) Period Questions Research was Composition Conducted conducted Desk To gain an overview To review resident Analysis of latest N/A May – June 2019 Research of current population population data from States of the Bailiwicks. demographics of Jersey and Guernsey concerning population demographics.

To understand the To ascertain DAB Ad hoc interview current level of DAB receiver ownership with a major N/A and other digital within the Channel electronics retailer delivery methods Islands, and in the Channel within the Bailiwicks. breakdown of current Islands ownership of devices concerning the i.e. portable or in-car. current level of ownership of DAB receivers, coupled with desk research of car ownership levels. RAJAR To understand the To confirm our Using publicly N/A May – June 2019 current RAJAR understanding of the available RAJAR measured local radio current radio market. Data. market.

SDP – Channel Islands DAB Multiplex Application. Page 36/46 f) Main Findings of Research:

The Local Channel Islands Market for DAB Receivers.

(73) Currently the market penetration for home based and portable DAB receivers (kitchen radio type) is very low, due to only one available DAB multiplex – BBC National – being available throughout the two main islands. This assumption is based on anecdotal evidence from electronics retailers throughout the Islands. We estimate that there are c. 5,000 portable receivers currently within the Channel Islands.

(74) Conversely the market penetration for in-car DAB receivers is extremely high. The Channel Islands have one of the highest levels of car ownership in the world. Indeed, there are more vehicles registered than inhabitants with 1.5 cars registered per private household. At the end of 2017 125,146 vehicles were registered with Jersey's DVS with 7,197 new registrations in that year alone. In Guernsey at the end of 2017 83,681 vehicles were registered with 4,508 new registrations in that year.

Therefore in 2017 alone 11,705 new vehicles were registered in the Channel Islands of which we estimate 87% were fitted with DAB receivers as standard. (Source: Arqiva). This would give 10,183 new cars registered with DAB receivers in 2017 alone.

Historically new car ownership has always been very high throughout the Islands due to favourable taxation conditions and Channel Islands' companies shipping cars to the UK as 'slightly used' with low mileages after only several years of ownership. This results in the base number of vehicles being of newer models than in the UK with a higher number of DAB receivers fitted. We would estimate that there are approximately 50,000 in-car DAB receivers throughout the Channel Islands.

(75) As part of Small Digital Planet's rationale, we would actively promote the purchase and ownership of both portable and in-vehicle DAB receivers through our close connections with Channel Islands' electronics retailers, and we would encourage our Service Providers to lend marketing support to these retailers in order to grow the receiver base.

Current RAJAR Analysis of Local TSAs.

(76) RAJAR in the Channel Islands is based on two Survey Areas: The Bailiwick of Jersey with a TSA of 89,000 adults 15+ and The Bailiwick of Guernsey with a TSA of 53,000 adults 15+. These surveys are undertaken using a rolling panel of 500 in each Bailiwick over the course of 12 months. Therefore the sample base is 0.56% of adults 15+ in Jersey and 0.94% in Guernsey. The Channel Islands RAJAR surveys make up 0.26% of the total UK RAJAR survey area of 54.75 million adults, and therefore on a national UK proportional basis the Channel Islands hardly register.

Historically 4 stations from the two Bailiwicks have taken part in RAJAR surveys and their headline data is summarised below:

RAJAR Analysis Qtr1 2015 Qtr1 2017 Qtr1 2019 Channel 103 – Weekly Reach Adults 45,000 52,000 48,000 Channel 103 - Weekly Reach % 53.00% 61.00% 53.00% Channel 103 – Listening Hours per week 522,000 488,000 514,000 Channel 103 – Market Share in TSA % 34.20% 30.40% 35.10% BBC Radio Jersey – Weekly Reach Adults 30,000 32,000 25,000 BBC Radio Jersey - Weekly Reach % 35.00% 37.00% 28.00% BBC Radio Jersey – Listening Hours per week 271,000 299,000 226,000 BBC Radio Jersey – Market Share in TSA % 17.80% 18.60% 15.40% Island FM – Weekly Reach Adults 33,000 31,000 31,000

SDP – Channel Islands DAB Multiplex Application. Page 37/46 RAJAR Analysis Qtr1 2015 Qtr1 2017 Qtr1 2019 Island FM – Weekly Reach % 62.00% 59.00% 59.00% Island FM – Listening Hours per week 491,000 483,000 380,000 Island FM – Market Share in TSA % 45.30% 43.50% 39.70% BBC Radio Guernsey – Weekly Reach Adults 23,000 17,000 17,000 BBC Radio Guernsey – Weekly Reach % 43.00% 32.00% 33.00% BBC Radio Guernsey – Listening Hours per week 234,000 184,000 167,000 BBC Radio Guernsey – Market Share in TSA % 21.60% 16.50% 16.90%

(77) Over a period of four years the two Guernsey stations taking part in RAJAR have seen their adult weekly reach decline by 8,000 listeners a week representing a 15% decline in listening to these stations across the Bailiwick. However, they still account for 56.6% of all radio listening within the Bailiwick. In Jersey listening is steadier with only a 2,000 drop in weekly listeners between the two stations. There has been a 1% increase in market share for Channel 103, which looks like it has been achieved at the expense of BBC Radio Jersey whose market share has reduced by 2.4% over a four-year period. In Jersey the two stations participating in RAJAR have a combined market share of 50.5% of all listening. The other 49.5% of all other listening will be made up of BBC National FM and DAB stations (BBC Radio 2 has a particularly strong listenership within the Islands) and a number of French FM stations which have good coverage across Jersey. There will be some listening to un-surveyed stations broadcasting via the internet, but there are no additional over-the-air stations available within the Channel Islands.

15. Local support

Provide any evidence which has been gathered of local support for the provision of the proposed local radio multiplex service.

(78) Small Digital Planet has not consciously sought any local support for our application, as we believe that the multiplex operator is in effect the facilitator to enable radio services to be broadcast on DAB and that it is primarily the Service Providers who should be garnering support for their broadcasting proposals.

(79) We believe that RAJAR figures for the four main services that are proposed to be simulcast demonstrate their popularity within the Channel Islands, and new services will garner support in the period leading to launch through marketing throughout the Islands.

(80) SDP will undertake a large marketing role in the period leading to launch to encourage the purchase of DAB receivers from its current very low base. One of the company's Directors, John Dingle, is Managing Director of the Channel Islands' largest electronics retailer chain and SDP will be marketing the advantages of DAB receiver ownership through his and other retailers throughout the Islands. We have already sounded out a number of retailers to take part in a launch promotion and as of the application date the following have agreed to take part: Soundtrack, Guernsey; Sound & Vision, Guernsey; London House, Alderney and Fortuna, Jersey.

(81) SDP will also run a website that promotes DAB usage across the Islands with content from our Service Providers. This website would also be used as a point of contact with listeners to the multiplex for them to pass comment on technical issues or content provision by Service Providers. The website would also list the regulatory information that SDP is required to publish as the Multiplex Operator.

(82) Unlike other multiplex operators, SDP will have a physical presence in the Islands with a playout centre, multiplexer operations and office provisionally at CTV House, La Pouquelaye, St. Helier. Members of the public would also be able to contact us through these premises.

(83) Although not part of the UK, we would liaise with DigitalRadioUK, with whom some of our Directors already have a working relationship.

SDP – Channel Islands DAB Multiplex Application. Page 38/46 Section 51(2)(g): Fair and effective competition

16. Measures taken to ensure fair and effective competition

Detail the measures that have already been taken, and will be taken before and during the licence period, to demonstrate that "in contracting or offering to contract with persons providing digital sound programme services or digital additional services or television licensable content services, the applicant has acted in a manner calculated to ensure fair and effective competition in the provision of those services".

(84) SDP's intention to bid for the licence was first made public in an article in the , the island's daily newspaper, on February 21st 2019. As a result of this article two potential new service providers made contact with the company.

(85) Following OFCOM's advertisement of the licence on 17th April 2019 we made contact with all the current analogue broadcasters within the Islands on a confidential, but non-exclusive basis. As a matter of company policy our contacts with Tindle Radio Group were limited to a brief exchange of information, because of Eire- based Tindle Radio announcing that they were also going to bid for the multiplex licence with Folder Media/MuxCo from the U.K.

During May and June 2019, we had formal discussions with the BBC and Quay FM, and a number of UK operators of radio services concerning their currently unavailable services being extended to the Channel Islands.

(86) As a local Channel Islands company with a huge amount of contacts in the media, political and business spheres within the Islands we have been talking to a number of possible new entrants into the field, and actively encouraging potential new Service Providers to prepare plans to broadcast on the multiplex.

(87) During the 12-year licence period we will continue to act in an open and transparent manner, and as part of company policy Small Digital Planet Ltd will not be a Service Provider to the multiplex. We believe in the separation of areas between being the technical and engineering facilitator and multiplex operator to the actual provision of content services, which should be left to the contracted Service Providers. We believe that this is the correct stance to take having seen a number of multiplexes in the U.K. being owned by the large radio broadcasting groups, and these having an inordinately large number of company-owned stations running on these particular multiplexes to the detriment of smaller Service Providers who are unable to gain access to these multiplexes on an equitable basis.

(88) Operationally all Service Providers will enter into a Service Provider Agreement, with most terms and conditions being identical to all Service Providers. Fees will be based on a rate card based on capacity usage. At our discretion we may offer a discounted rate to Service Providers based in the Channel Islands, and also to Service Providers who are a registered Channel Islands charity.

(89) Industry-standard Service Level Agreements will be entered into with each Service Provider regarding technical standards and the availability of the multiplex once the multiplex licence has been awarded..

17. Contacts with prospective service providers

Provide a comprehensive list of all prospective providers of digital sound programme services and/or digital additional services and/or television licensable content services with whom the applicant has had contact prior to and during the preparation of this application, at the initiative of either party, and in whatever form. Summarise the nature of the proposals discussed and, for each proposal which is not among those planned for inclusion on the multiplex (as per Q.11 and Q.12 above), state the reason(s) why the prospective provider and/or the service(s) proposed by that provider has not been included. The response to this question may be submitted in confidence.

(90) A detailed timetable of contacts and information regarding this question has been submitted.

18. Contractual and other arrangements with service providers in confidence

For each digital sound programme service provider and/or digital additional service provider and/or television licensable content service provider named in this application:

SDP – Channel Islands DAB Multiplex Application. Page 39/46 a) Supply details of the terms of access, including financial agreements. b) To what extent are any or all of these terms of access conditional? Clarify any conditions that exist. c) In respect of each named service provider for which details of terms of access are provided, supply a letter from the service provider confirming its agreement with the account of the terms of access provided above, and in particular with the fees it expects to pay. The response to this question may be submitted in confidence.

(91) Information in relation to this question has been supplied in confidence.

Technical quality

19. Division of multiplex capacity

Show, by means of a pair of clearly-labelled tables, the proposed division of the available multiplex capacity into digital sound programme services and other services during all time periods. The tables should depict the proportion of the total available capacity (in kbits/sec) which it is proposed to allocate individually to each of the digital sound programme services listed in response to Q.11, plus any capacity reserved for expansion, inclusive of any ancillary services. It should also show the total proportion of the available multiplex capacity which it is proposed to allocate to digital additional services and television licensable content services. Please also indicate what proportion of these services will be programme-related (see paragraph 4.35). One of the tables should refer to the capacity units taken by each service (i.e. inclusive of capacity used for error protection), and the other table should refer to the bitrate net of error protection capacity, together with the associated protection level (1 to 3) which it is proposed to use, in accordance with EN 300 401. The tables should make clear which of the coding standards (stipulated in paragraphs 4.57 to -4.59) the applicant proposes adopting for each sound programme service (ie which will be broadcast using DAB and which using DAB+).

Radio Service Broadcast Capacity Units inc. % of total Maximum Hours per of error protection. multiplex capacity proportion of day multiplex capacity Total available CUs 864 allocated to D.A.S. BBC Radio Jersey 24 72 8.33% 0.10% BBC Radio Guernsey 24 72 8.33% 0.10% Island FM 24 96 11.11% 0.10% Channel 103 24 96 11.11% 0.10% Quay FM 24 24 2.77% 0.10% Radio Channel Islands 24 36 4.16% 0.10% (RCI) Bailiwick Radio 24 36 4.16% 0.10% Timeless Radio 24 36 4.16% 0.10% Premier Christian Radio 24 24 2.77% 0.10% Visitor Radio 24 24 2.77% 0.10% Station A 24 30 3.47% 0.10% Station B 24 30 3.47% 0.10% Station C 24 30 3.47% 0.10% Station D 24 24 2.77% 0.10% Lusitana Radio 24 24 2.77% 0.10% Gallery Radio 24 24 2.77% 0.10%

The following table shows the division of multiplex capacity by bitrate net of error protection.

SDP – Channel Islands DAB Multiplex Application. Page 40/46 Radio Service Service Capacity Percentage of total ETSI 300401 Error Coding Standard net of Error multiplex capacity Protection Level DAB/DAB+ Protection (kbs) BBC Radio Jersey 96 8.33% EEP-3A HE AAC v2 (DAB+) BBC Radio 96 8.33% EEP-3A HE AAC v2 (DAB+) Guernsey Island FM 128 11.10% UEP3 MPEG 1 Layer II (DAB) Channel 103 128 11.10% UEP3 MPEG 1 Layer II (DAB) Radio Channel 48 4.16% EEP-3A HE AAC v2 (DAB+) Islands (RCI) Bailiwick Radio 48 4.16% EEP-3A HE AAC v2 (DAB+) Timeless Radio 48 4.16% EEP-3A HE AAC v2 (DAB+) Quay FM 32 2.77% EEP-3A HE AAC v2 (DAB+) Premier Christian 32 2.77% EEP-3A HE AAC v2 (DAB+) Visitor Radio 32 2.77% EEP-3A HE AAC v2 (DAB+) Station A 40 3.47% EEP-3A HE AAC v2 (DAB+) Station B 40 3.47% EEP-3A HE AAC v2 (DAB+) Station C 40 3.47% EEP-3A HE AAC v2 (DAB+) Station D 32 2.77% EEP-3A HE AAC v2 (DAB+) Lusitana Radio 32 2.77% EEP-3A HE AAC v2 (DAB+) Gallery Radio 32 2.77% EEP-3A HE AAC v2 (DAB+)

20. Basis of allocation of multiplex capacity

On what basis have technical decisions on the allocation of multiplex capacity to each of the proposed digital sound programme services been made? How has the balance been determined between the number of services to be accommodated and the audio quality and robustness of reception which each will enjoy?

(93) In line with the recent relaxation of OFCOM criteria in the proportion of DAB+ services that can be offered on commercial multiplexes, we have been in discussions with all potential service providers concerning the pros and cons of 'original DAB' MPEG Layer II encoding against DAB+ HE-AACV2 encoding. Given the small number of DAB only legacy receivers within the Islands, most Service Providers are in favour of launching DAB+ services.

(94) We have agreed with the BBC that they will take a 96kb DAB+ allocation for each of their two Channel Islands services, with the possibility of being able to dynamically adjust the bit rates to enable additional opt- out services to mimic their current AM opt-outs, for occasions such as States' coverage or sports commentaries which are currently carried on AM.

(95) Other Service Providers, with the exception of Tindle Radio Group, have confirmed the amount of capacity they wish to take upon the multiplex. Concerning Tindle Radio Group and their two Channel Islands stations, as they are part of a competing application and we have had limited interaction with them during the application preparation period, we have arbitrarily allocated them 2 x 128kb DAB channels, with further negotiations to take place upon the outcome of the licence award.

SDP – Channel Islands DAB Multiplex Application. Page 41/46 (96) We aim to provide an affordable and robust platform for smaller broadcasters to broadcast on DAB+. For the sake of quality we do not intend to offer any bitrates lower than 32k DAB+ HE-AACV2 encoding. For error protection levels we have stated that UEP3 and EEP-3A will be the standard upon which the multiplex operates.

(97) We are also aware of OFCOM current guidelines concerning station data and transmitter data refresh rates (FIC) on the mux which effectively limit the number of stations carried on the multiplex to 20 in total.

21. Audio characteristics For each local digital sound programme service proposed to be provided, state whether it will be broadcast in 'stereo' or 'mono', and whether it will operate at 'full-rate coding' or 'half-rate coding'. The response to this question should be consistent with the proposed division of multiplex capacity set out in response to Q.19.

Radio Service Stereo/Mono Coding BBC Radio Jersey Stereo Full Rate BBC Radio Guernsey Stereo Full Rate Channel 103 Stereo Full Rate Island FM Stereo Full Rate Quay FM Stereo Full Rate Radio Channel Islands (RCI) Stereo Full Rate Bailiwick Radio Stereo Full Rate Timeless Radio Stereo Full Rate Premier Christian Stereo Full Rate Visitor Radio Stereo Full Rate Station A Stereo Full Rate Station B Stereo Full Rate Station C Stereo Full Rate Station D Stereo Full Rate Lusitana Radio Stereo Full Rate Gallery Radio Stereo Full Rate

SDP – Channel Islands DAB Multiplex Application. Page 42/46 Declaration

Applicants are required to conclude their submission by making the following declaration:

I hereby apply for and on behalf of Small Digital Planet Ltd (the “Company”) to the Office of Communications (“Ofcom”) for the Local Radio Multiplex Licence for the Channel Islands (as specified in Ofcom’s Notice dated 17 April 2019) in order to provide the local radio multiplex service proposed in this application.

I confirm that the appropriate payment has been submitted for this application.

I further confirm that the Company consents to Ofcom publishing this application on its website or otherwise disclosing this application to any person, together with the Company’s responses to any request by Ofcom for the Company to furnish additional information about its proposal. This consent does not extend to any part of this application or such responses that the Company has requested that Ofcom should keep confidential by including such information in a separate annex (or other agreed form) that is clearly marked ‘confidential’.

I declare that the information given by the Company in this application form is accurate and up to date to the best of my and the Company’s knowledge and that any matters which might influence Ofcom’s judgement as to whether the directors and substantial shareholders involved in the application are fit and proper persons to participate in a radio licence have been made known to Ofcom.

I further declare and warrant that the Company is not a disqualified person within the meaning of that expression as defined in Part II of Schedule 2 to the Broadcasting Act 1990 or as a result of a disqualification order under section 145 of the Broadcasting Act 1996, and that having made all reasonable enquiries neither the Company nor any person by which the Company is controlled will, as a result of this application, be in breach of any other requirement of Schedule 2 to the 1990 Act as amended.

References to UK statutes above are to the law as it applies to the Bailiwicks of Jersey and Guernsey pursuant to any relevant secondary legislation.

Applicant Signature:

Name (BLOCK CAPITALS): MARK SUMNER

Position: Chair.

Date: 15th July 2019

SDP – Channel Islands DAB Multiplex Application. Page 43/46 Appendice 1 - DAB Survey Jersey Monitored Block 12B 225.648MHz Date: 23/06/2019 Frequency: Barometri 1014.3 milibars c pressure:

No Location Longitude Latitude Signal Quality 1 Gorey Hill (Top) 49o 12’ 10” 2o 1’ 52” 3 2 Gorey (Pier) 49o 11’ 59” 2o 1’ 16” 2 3 Gorey (between Pier & Welcome 49o 11’ 59” 2o 1’ 16” 1 Slip 4 La Rocque Harbour 49o 9’ 55” 2o 1’ 54” 3 5 La Hocq 49o 10’ 4” 2o 3’ 50” 2 – 1 (on hill) 6 Green Island 49o 9’ 49” 2o 4’ 26” 2 7 South Pier 49o 10’ 55” 2o 6’ 28” 2 8 St Brelades Bay 49o 11’ 8” 2o 11’ 44” 1 (no signal most of the way and up La Marquanderie Hill) 9 Corbiere 49o 10’ 53” 2o 14’ 18” 2 10 Mont Du Grouet 49o 11’ 1” 2o 14’ 21” 1

11 La Pulente 49o 11’ 23” 2o 13’ 45” 1 12 5 Mile Road (whole length and 49o 13’ 48” 2o 14’ 2” 1 up the hill to St Ouen’s Village) 13 St Ouen’s Village 49o 13’ 58” 2o 12’ 1” 3 14 Greve de Lecq 49o 14’ 47” 2o 8’ 28” 1 15 St Lawrence Village 49o 12’ 51” 2o 12’ 1” 3 16 Les Grande Vaux 49o 11’ 53” 2o 15 45” 3 17 5 Oaks 49o 1’ 54” 2o 4’ 49” 3 18 Town Area 3 19 Red Houses 3

Key Good Signal (No Loss) 3 Weaker Signal (No Loss) 2 Poor Signal (frequent dropouts 1 or permanent loss)

SDP – Channel Islands DAB Multiplex Application. Page 44/46 Appendice 2 - DAB Survey Guernsey Monitored Block 12B Date: 01/07/2019 Frequency: Barometric 1025 millibars pressure: (Guernsey Airport)

No Location DLS Text Signal Quality 1 Les Traudes St Martins Yes 3 2 Hotel Jerbourg St Martins Yes 3 3 Fermain Bay by Martello St Yes 2 Martins 4 Les Terres (bottom) St Peter Port Yes 3 5 Castle Pier St Port Yes 3 6 La Salerie St peter Port Yes 3 7 Northside St Sampsons Yes 3 8 Bordeux Harbour St Sampsons Yes 3 9 Fort Doyle Vale Yes 2 10 Royal Guernsey Golf Club Vale Yes 3 11 Rousse Tower Vale Yes 3 12 Les Grandes Rocques Vale Yes 3 13 Fort Saumarez St Pierre du Bois Yes 3 14 Portelet Harbour St Pierre du Bois Yes 3 15 La Pointe de Pleinmont St Pierre Yes 3 du Bois 16 Les Watch House Torteval Yes 3 17 Torteval Church Torteval Yes 3 18 Guernsey Airport Forest Yes 3 19 The farmhouse St Saviour Yes 3 20 Little Chapel St Andrew Yes 3 21 Princess Elizabeth Hospital St Yes 3 Andrew 22 Queens Road St Peter Port Yes 3 23 Beau Sejour St Peter Port Yes 3

Key Good Signal (No Loss) 3 Weaker Signal (No Loss) 2 Poor Signal (frequent dropouts or 1 permanent loss)

SDP – Channel Islands DAB Multiplex Application. Page 45/46 SDP – Channel Islands DAB Multiplex Application. Page 46/46