The boost to digital television uptake required to allow analogue switch-off could be provided via a subsidy on equipment from licence-fee money, said BBC director-general Greg Dyke yesterday. Speaking at the Commons media select committee, Dyke is reported to have said that the corporation was considering whether to use licence-fee money to fund a large-scale giveaway of digital set-top boxes.
The deadline for analogue switch-off is set to happen between 2006 and 2010 (see Chris Smith Sets Out Digital Agenda), but in order to avoid the potential outcry which would occur if many people were left with obsolete TVs at this point, the government has said that 95% of households must have digital equipment before switch-off can happen.
There are many who feel that this target is unlikely to be achieved within the decade, especially considering the cost of digital equipment (see Report To Government Says Speed Up Digital Changeover) – hence the call for subsidies. Broadcasters also point out that manufacturers are continuing to make and sell non-digital TVs, rather than encouraging consumers to buy into the new technology. Yesterday ONdigital called for a “digital champion” to be named within the government, to help facilitate a successful switch-off (see ONdigital Calls For Appointment Of Digital TV “Champion”).
Despite the challenge of the wider channel choice provided by digital television, the terrestrial channels all have an interest in its growing popularity. ITV has already launched a digital sister channel, ITV2, while Channel 4 has added digital entertainment channel E4 to its portfolio. For Channel 5 the platform would eliminate some of its coverage problems and therefore open up a wider potential audience, while the BBC is not only relaunching its two digital offerings BBC Choice and BBC Knowledge as BBC 3 and BBC 4, but is planning a host of other digital ventures, including a children’s channel.
Sky Digital this week reported that over 5m of its customers have taken up its digital services (see BSkyB Hits Digital Target But Losses Grow), ONdigital recently hit its 1m mark (see ONdigital Hit 1 Million Subscriber Target In Time For New Year) and NTL reports half a million digital customers. At the moment digital take-up rate is healthy, but it is possible that a plateau will be reached, especially if prices are not lowered or subsidies provided.
At the same meeting, commercial broadcasters ITV and Channel 4 urged culture secretary Chris Smith to bring the BBC under the jurisdiction of OFCOM, the new communications regulator, which is to be created as a result of last year’s Communications White Paper (see Chris Smith Unveils Ofcom).
BBC: 020 8743 8000 www.bbc.co.uk ONdigital: 020 7819 8000 www.ondigital.co.uk NTL: 01252 402 000 www.ntl.co.uk Sky Digital: 020 7705 3000 www.sky.com
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