Quick death for analogue TV

By Damaria Senne, ITWeb senior journalist

Johannesburg, 20 Mar 2007

Government's target to migrate to digital television by 2011 may be too tight, say industry stakeholders.

The Department of Communications says it will meet with ICT industry stakeholders and members of the public this week, to discuss its plan to move from analogue to digital terrestrial television (DTT). In February, Cabinet approved SA's plan to complete the switchover by 1 November 2011.

The first switch-on is scheduled for 1 November 2008, which will allow for a three-year phase-in period of double illumination, when broadcasters will distribute analogue and digital signals simultaneously, says department spokesman Albi Modise.

Government intends to accelerate migration to ensure the infrastructure is in place by 2010 when the World Cup takes place. However, the switch-on and switch-off dates were not set until the final digital migration strategy, which was presented to Cabinet earlier this year, was approved.

Minister Ivy Matsepe-Casaburri is to propose establishing a broadcasting digital migration office during her budget vote speech in May. By this time, the digital migration strategy will have been launched.

Tick-tock

State-owned signal distributor Sentech says its DTT infrastructure roll-out, which began last year, is on track. Government has allocated an additional R60 million for the 2007/8 fiscal year, bringing the funding allocation for the coming year to R120 million. National Treasury has also allocated DTT switchover funding of R115 million for 2008 and R75 million for 2009.

Sentech CEO Sebiletso Mokone-Matabane says the time frames give all the parties, including government and broadcasters, four years to complete their preparations before the switch-off date.

The signal distributor previously said 56% of its sites would be migrated to DTT by 2008. Mokone-Matabane says Sentech is deploying its network in a strategic fashion so that South Africans will immediately see the benefits of digital TV once the initial switch-on takes place. "We anticipate DTT infrastructure to cover approximately 78% of the population by 2010."

Too soon?

However, commentators argue the 2011 cut-off date is too ambitious. The 2015 international switch-off date set by the International Telecommunications Union is far more realistic for SA, they say.

World Wide Worx MD Arthur Goldstuck says it's "highly unlikely" the South African market will be ready in time for the 2011 switch-off date. "While there are people who are ready for digital TV, the market is not ready yet."

Frost & Sullivan research analyst Fisher Kamanga notes South African drivers recently converted their driving licences to the card-type showing that, with proper awareness campaigns and implementation systems in place, a switchover to digital TV can be successfully achieved.

"However, 2011 seems very ambitious and a lot of things have to be in place." The price of the set-top boxes and new TV sets will be an initial hindrance, he adds.

Altech Group CTO Steve Sidley says consumers need time to save up to buy a new digital TV set or a set-top box. "Most people are not going to smile kindly when they have to buy new TV sets," he says. Altech provides set-top boxes for subscription TV channels.

Internationally, countries typically allow between five and 15 years for the switchover. Sidley says this allows consumers to save up to buy digital TV sets.

The US began digital television broadcasting in 1998, with 2006 set for analogue switch-off, on the condition that 85% of US homes had access to digital services and digital receivers, says Kamanga.

The UK started in 1998 and set switch-off between 2006 and 2010, on condition that 95% of TV homes have access to digital services and own digital receivers, while Australia's changeover began in 2001, with 2012 set as the target switch-off year, Kamanga says.

Public broadcaster?

However, there is as yet no clarity as to how government will subsidise set-top boxes for the poor, without which they will be unable to view the public broadcaster. Modise says government is looking into a range of funding models.

Sidley says one option could be for the South African Broadcasting Corporation to improve licence fee collections, which would increase its revenue stream. A system of conditional access to national broadcast channels, where a smart card is used, would force consumers to pay licence fees, as they would not receive a signal otherwise, he says.

A government workshop, in Midrand on Thursday, will provide a platform for stakeholders to discuss the digital migration strategy and implementation plan, as well as cover any issues that may have been previously overlooked, Modise says.