Andrea Sentinelli European HD Radio Alliance (EHDRA) General Director Bucharest, Romania May 13th 2010 European HD Radio Alliance (EHDRA)

1. Introduction 2. EHDRA Vision & Mission 3. EHDRA Projects 4. EHDRA Marketing & Consulting Activity 5. Global update 6. Conclusion Agenda

Benefits of HD Radio Technology  Better audio quality  FM sounds like a CD  Eliminates the interference of static, hiss and pops  More Choices  Through Multicasting stations can program new HD2s, HD3s … etc.  New and Advanced Services  Artist, Song Title and other text messages  Data Content like traffic, weather, and news  iTunes Tagging  Other new revenue producing digital applications 1.1 Introduction Digital technology = Better Quality, More Choices, More Interactivity and New Services!

 Broadcasters send analog and digital audio, as well as digital data information.  Audio and Data information is sent from the studio to the transmitter site.  Digital and Analog signals are transmitted simultaneously.  Signals travel throughout the broadcast area.  HD Radio equipped receivers now experience free, crystal clear digital audio and additional FM content. How does HD Radio Technology work? 1.2 Introduction

Who is the European HD Radio Alliance?  EHDRA has been founded in October 2007 as Non-Profit organization under the Swiss law, at the HD-Radio days in Lucerne, Switzerland.  The Executive Members of the Board are:  President: Jürg Bachmann - Energy Zürich, Switzerland;  General Director: Andrea Sentinelli - Data Technology Consulting (DTC), Poland;  General Secretary: Markus Ruoss - Ruoss AG und Radio Sunshine, Switzerland;  Treasurer: Scott Stull - Vice President, International Broadcasting Business Development -iBiquity Digital Corporation. 1.3 Introduction

Why EHDRA?  Radio digitalization in Europe needs a new impulse.  Radio Broadcasters need a common simple and economical solution to become digital broadcasters.  EHDRA is fully committed in the HD Radio (IBOC-hybrid standard) adoption in Europe.  Involvement with ECC/ETSI and Regulatory in the European Countries. 2.1 EHDRA Vision & Mission

What does EHDRA do?  HD-Radio standardization in Europe (ECC/ETSI).  General awareness and knowledge of HD Radio in Europe.  Operational implementation rules (Licensing/RF-planning).  Marketing and Consultancy activities for operational introduction.  EHDRA HD Radio Day and other events for the members and invited guests.  Members and third party HD Radio knowledge base.  Letter of Understanding between ECC and EHDRA signed, having the common interest to promote digital broadcasting technology.  Relation with other HD Radio Alliances are already active, such as the Brazilian Alliance for Digital Radio and the US HD Radio Alliance. 2.2 EHDRA Vision & Mission

3.1 EHDRA Activities (ETSI/ECC) ETSI/ECC: regulation, planning and lobbying  NWI (New Work Item) opened at ETSI on June 2008, requesting the creation of a harmonized standard (HS) for band II digital service.  One of the TASKS of Working Group Frequency Management Project Team 45 – Digital Broadcasting Issues (ECC FM PT45).  EHDRA is actively involved in this task, thanks to the ECC/EHDRA LoU signed last year.  Results:  ECC report 141 includes HD Radio as one of the technology to be adopted.

HD Radio projects and field trials Romania 3.2 EHDRA Projects … thanks for the invitation!

HD Radio projects and field trials Switzerland  Radio Sunshine has been founded a task force for the HD Radio implementation of 5 private Radio Stations:  Argovia  Radio Basel  Capital FM  Radio24  In January 2010 the made the technical application to the Swiss OFCOM to upgrade their main transmitter sites to FM HD Radio  The planned operational started in September 1st 2010, and will cover the main parts of Argovia/Bern/Basel/Lucerne and Zurich  HD Radio Receivers will be available since the beginning 3.3 EHDRA Projects

HD Radio projects and field trials Ukraine  Radio network “Melodiya” the first in the Commonwealth of the Independent States (CIS) broadcasting in hybrid digital format with the usage of the unique HD Radio technology:  Radio Melodyia  Stilnoe Radio  MFM Station  An investigating experiments to "Ukrainian research Institute of Radio and Television" that aimed to develop frequency-territorial norms of diversity of radio-electronic HD Radio technology means and protection ratio.  The conclusions of the experiments prove that the HD Radio technology is compatible with all existing technologies in Ukraine. 3.4 EHDRA Projects

FM-HD-Radio events, projects and field trials 2/4  Germany: FM HD-Radio events, workshop and the the first German HD-Radio Field Trial in Stutgart conducted by T-Systems, LFK and Regenbogen. Multimedia interview with EHDRA Projects

3.6 EHDRA Projects HD Radio projects and field trials Czech Republic The First HD Radio workshop was held at the CMI in Prague, and was organized by RadioHaná. Bosnia Trial and tests of HD Radio technology have been conducted in Sarajevo. Poland  An HD Radio trial was conducted in Warsaw in order to demonstrate the technology to local radio stations.  European Radio for Belarus (ERB) Pan-European project radio station based in Warsaw, is actively cooperating with EHDRA for the process of HD Radio Standard adoption in Europe.

4.1 EHDRA Marketing&Consulting  Marketing and consultancy activity has been conducted on:  Regulatory Bodies;  Radio Broadcasters Associations;  Radio Broadcasters of Central Europe countries (i.e Romania, Poland, Slovakia, Czech Republic, Hungary), promoting the HD Radio technology, aiming to a homogenous and smooth migration of the radio broadcasting systems to digital, with the adoption of the hybrid solution.  The target is to get a detailed monitoring of the Radio Broadcaster market, performing a wide range analysis in each country of the Europe, achieving a better understanding of the similarity and differences of the regulatory and economic tissue of the Radio broadcasting sector.  EU Countries are currently involved in the “digital divide issues”.

4.2 EHDRA Marketing&Consulting  All of them are evaluating the BAND II digitalization plan but only in a harmonized frequency allocation plan that mirrors the digital TV implementation.  The activity will be completed with the Western European Countries (i.e. Italy, France, Spain, Scandinavian Countries) during  The activity is aiming for the adoption of HD Radio in the European Radio Broadcaster’s scenario, where other standards are leading, achieving the “official legitimisation” by the political, regulatory and market environment in each Country of the EU.  Sharing experieces between the parties, with different language/culture, in the digital Radio Braodcasting scenario.

4.3 EHDRA Members … please don’t hesitate to ask How to became an EHDRA Member!

1. Adoption and Nationwide Operation 2. Adoption and Regional Operation 3. Limited Operation 4. Testing/Advanced Interest 5. Active Interest USA MEXICO PANAMA COLOMBIA BRAZIL CHILE ARGENTINA URUGUAY SWITZERLAND UKRAINE POLAND CZECH REPUBLIC GERMANY NIGERIA CHINA VIETNAM INDONESIA THAILAND INDIA NEW ZEALAND PHILIPPINES ROMANIA DOMINICAN REP. JAMAICA PUERTO RICO S. Korea CANADA 5.1 Global Update

5.2 Global Update Product Development: Many Major Brands* – All CE Categories Portable & MobileAuto AftermarketHome & iPod Docking Systems *Note: Partial Listings depicted here.

5.3 Global Update 15 vehicle brands are offering HD Radio support in 80 vehicle models…36 as standard equipment OEM Automobile Available Now Standard Optional Standard or Optional Available CY 2010 Standard Optional Standard or Optional

5.4 Global Update HD-Receivers for Europe  Hardware receivers becoming software receivers, this makes it much easier the implementation of any kind of digital platform mixes.  Multi-platform-receivers will become standard and is a necessity for Europe (like DAB+/HD Radio/IP-Radio).  Most HD Radios sold in markets outside of Europe can be used in Europe as well. Only very small adaptation is necessary.  All license fees are paid through transmission manufacturers with initial Exciter/Exporter/Importer purchase for Tier 1 services. Online Retailers

5.6 Global Update The European FM Radio Landscape  500 Public funded Programs - audience share > 50%.  2500 Private commercial Programs - audience share > 35%.  8000 Small Radio Stations (just one Frequency, most non-commercial/Community Radios).  51 Countries with a total of approx Frequency allocations.

5.7 Global Update Digital Radio Status in the European Countries (snapshots)  UK:  DAB/DAB+ coverage: BBC 85% (59 programs), Commercial 90% (356 programs).  Denmark:  DAB/DAB+ coverage: 80% (17 programs, 13 national 4 commercial).  Norway:  DAB/DAB + coverage: 70% national, 40% regional (8 public programs, 2 commercial)  Germany:  Attempt to restart DAB+. Difficult Regulatory scenario. Funds are still blocked.  Switzerland:  DAB+ for national programs. Coverage about 85%.  HD-Radio start planned for September  France:  DAB+ test field.Targeting DMB.  Italy:  Strong commitment on DAB+/DMB.  Spain:  DAB project in plan, (switch off analog in 10 years), no restart in sight.  Austria:  No plan for the radio broadcasting digitalization (focus on DVB-T and DVB-H).

6 Conclusion Key Players in the Radio Digitalization Arena  Industry:  Need to sell hardware. Network provider needs to build and sell networks.  Regulators:  Need the broadcasters to invest in the “digital transition” filling the gap of the “Digital Divide”.  Commercial Broadcasters:  Need the lowest cost possible, with favorable economic condition for a gradual transition to digital.  Public Broadcasters:  Budget for the digital transition is not the major problem (but not so easy anymore).  Advertisers:  Need real listeners, share, audience.

Questions ? Thanks for your time Andrea Sentinelli European HD Radio Alliance General Director Phone PL: Phone IT: