The use of frequency space that can be released upon the switch-off of the analogue broadcasting - PTS-ER-2006:35

01/09/2006

The Riksdag (Swedish Parliament) has decided that terrestrial television should switch over completely to digital technology. The analogue terrestrial television broadcasting is being switched off in stages and will have ceased completely on 1 February 2008. As digital technology is significantly more frequency efficient than analogue technology, frequency space can be released upon the switch-off of the analogue broadcasting.

Band I (47 – 68 MHz) will not be used for television or other broadcasting following the switch-off of analogue television broadcasting.

Band III (174 – 230 MHz) will not be used for television broadcasting following the switch-off of analogue television broadcasting.

Bands IV and V (470 – 862 MHz) are used for the five operational DVB-T networks for terrestrial digital television.

PTS’s conclusions:

• At least 189 MHz can be released through the switch-off of analogue television broadcasting.
• There is a large hidden resource in reusable frequency space – both as regards usage and financially.
• There are several realistic alternatives to the use of bands I, III, IV and V following the switch-off of the analogue television broadcasting.
• Frequency space has substantial financial and social value.
• International coordination has very great value.
• Future technological development should not be impeded through a decision today.
• Deliberations must be conducted concerning whether the frequency space that has been previously used for broadcasting radio and television can be used in other ways that provide increased value for society and the consumer.

Radio frequencies are a limited resource and should be used in the most efficient manner possible so that the benefit to society from their use is the greatest possible. PTS considers that technology- and service-neutral licences, which provide licence holders with the opportunity to adapt to the ongoing development of technology and demand in the market, should be a guiding principle when allocating the licences for the use of radio frequencies.

Within the band I (47 – 68 MHz), 21 MHz can be released for new systems after switch-off of the analogue television broadcasting. PTS considers that there is little commercial interest in the use of band I. However, the Armed Forces have expressed an interest in this band. There is also interest from amateur radio users.

Following the International Telecommunication Union’s Regional Radio Communication Conference (RRC-06) in Geneva in 2006, there is internationally coordinated space within band III (174 – 230 MHz) for a nationwide and three regional T-DAB networks and a nationwide DVB-T network. The Government has decided not to further extend digital sound radio in Sweden. Band III, i.e. 56 MHz, would therefore be entirely available for new systems.

The Armed Forces have expressed to PTS their interest in the use of the frequency band 230 – 240 MHz, which forms part of Band III, but which may be affected by possible future decisions on the development of digital sound radio (T-DAB).

Following RRC-06, there is coordinated space in bands IV and V (470 – 862 MHz) for seven nationwide DVB-T networks. Currently there are five DVB-T networks for terrestrial digital television in bands IV and V. There will then be frequency space corresponding to two nationwide internationally coordinated DVB-T networks, i.e. 112 MHz, remaining.

Following RRC-06, there is coordinated space in bands IV and V (470 – 862 MHz) for seven nationwide DVB-T networks. Currently there are five DVB-T networks for terrestrial digital television in bands IV and V. There will then be frequency space corresponding to two nationwide internationally coordinated DVB-T networks, i.e. 112 MHz, remaining.

The frequency channels that are planned for terrestrial digital television but where there is no transmitter in a particular geographical area are subject to some interference from neighbouring channels. However, these frequency channels could possibly be reused for other applications, subject to the precondition that the technical criteria for co-existence can be established (reusable frequency space).

PTS estimates that the reusable frequency space can amount to as much as 200 MHz.

The frequency space in bands III, IV and V can, following the switch-off of analogue television broadcasting, be used for several different kinds of services.

1. More SDTV programmes (television in standard resolution) in terrestrial digital television
2. HDTV (television in higher resolution) in terrestrial digital television
3. Mobile television
4. FWA – wireless broadband for fixed reception
5. Mobile broadband/mobile telephony.

In addition to the above-mentioned services, other areas of application may be contemplated within bands I, III, IV and V. These may involve digital sound radio, short-range devices that can be used without a licence and military systems.

It follows from the outcome of RRC-06 that in Sweden at most two new nationwide DVB-T networks in bands IV and V can be built in addition to the five pre-existing DVB-T networks. Two DVB-T networks allow up to 14 SDTV programmes in MPEG-2 compressed format.

HDTV is a development of SDTV that improves the user experience by increased quality (higher resolution) of the television picture. In the opinion of PTS, HDTV in terrestrial digital television requires the use of MPEG-4 compression.

Mobile television involves television reception in a portable terminal, in most cases some form of mobile telephone. Mobile television services can be realised with several different technical solutions of which some, for example DVB-H and the related technology MediaFLO, are mainly intended to be used in bands III, IV and V, while others, including MBMS, are mainly intended to be used in the frequency bands that are used for mobile telephony. A precondition for the development of a nationwide DVB-H network (or similar system) in bands III, IV and V is that internationally coordinated frequency space is utilised. This means that DVB-H networks compete with the possible future development of DVB-T (SDTV or HDTV) for frequency space. However, PTS’s investigation shows that systems resembling MBMS in bands III, IV and V may have good prospects of co-existing with DVB-T networks and therefore be a frequency efficient alternative.

Theoretical FWA systems (wireless broadband for fixed reception) would, according to PTS’s analysis, potentially have good possibilities of co-existing with existing and future DVB-T networks in reusable frequencies. Bands III, IV and V have propagation qualities that make the development of FWA in these bands potentially attractive from the cost perspective.

A fundamental limitation affecting the use of bands III, IV and V for mobile broadband/mobile telephony is that the uplink (the link from the terminal to the base station) is not covered by the frequency planning adopted at RRC-06. PTS also considers that the commercial opportunities for an additional stakeholder who offers mobile broadband may be limited in Sweden.

PTS’s opinion is that a decision on the use of frequency space should be preceded by careful investigations about how the frequency space can be allocated in a way that provides society with the greatest value. Several commercial stakeholders may be interested in paying large amounts at auctions to gain access to frequency space. Another way to value frequency space is to calculate the public benefit that radio use in the frequency space creates. PTS’s opinion is that it is possible to achieve great benefits for society with more efficient and flexible use of frequency space resources. These gains can, in the view of PTS, mainly be expected to benefit consumers and other users through reduced prices for and an increased range of electronic communications services.

The EU Commission focus on the possibilities of releasing frequency space in a coordinated way within the EU. In this way the Commission considers that the greatest economic value from the switchover can be realised, as European business will then have the opportunity of developing goods and services for a common market and not for separate national markets.

PTS considers that it would be of great value if the European countries can through coordination reach agreement on how the entire or parts of the frequency space that is released as of the switch-off of analogue television broadcasting shall be used. Therefore, Sweden should, in the opinion of PTS, not make decisions regarding the use of frequency space in the bands III, IV and V which in practice would be irrevocable before the European countries have made a joint decision on the matter.

A decision to reserve available frequency space in bands IV and V for two further nationwide DVB-T networks means that the frequency space would for the foreseeable future be “tied” in a way that would not allow the use of any future technology developed. Such a decision would, among other things, possibly severely impair future switchover from MPEG-2 compression to MPEG-4 compression in the network for terrestrial digital television.

PTS is of the view that it must be considered whether other uses, for example those described in this report, can bring to society and the consumer greater value than the use for more television services could. Open procedures for the assignment of licences for the use of frequency space with conditions that are technology- and service neutral would, in the opinion of PTS, provide the best preconditions for the efficient utilisation of the frequency space and also possibly bring with them positive effects in the form of opportunities for technology development and/or economic growth for Sweden.