1. BES Expo 2008 24 February, 2008 L. V. Sharma Chief Engineer, Doordarshan DTT - Opportunities and Challenges

2. Overview of DTT scenario worldwide Indian Broadcast Scenario Growth Drivers for DTT DTT Opportunities Doordarshan Initiatives DTT Challenges Conclusion

3. WORLDWIDE SCENARIO Analog terrestrial transmission is being discontinued worldwide in a phased manner. DTT is being either thought of or implemented in almost all countries in the world. Most of the countries have announced the date for completion of digitalization and subsequent switch off of analog terrestrial service, worldwide. A glimpse of world scenario on DTT is given on next slides.

4. WORLDWIDE SCENARIO CountryDTT StandardService LaunchBusiness Model ASO Date AlbaniaDVB-T2003Pay AndorraDVB-T2005 2007 AustraliaDVB-T2001FTA2010 AustriaDVB-T2006FTA2010 AzerbaijanDVB-T2004 (Test) BelarusDVB-T2004 (Test) BelgiumDVB-T2002FTA2012 BermudaUndecided[2007]Pay BrazilSBTVD2007FTA2016 BulgariaDVB-T 2012 CroatiaDVB-T2007FTA2010 Czech RepublicDVB-T2005FTA2010 DenmarkDVB-T2006FTA2009

5. CountryDTT StandardService LaunchBusiness ModelASO Date EstoniaDVB-T2006PayTV + FTA2012 Faroe IslandsDVB-T2002FTA FinlandDVB-T2001FTA + PayTV2007 FranceDVB-T2005FTA + PayTV2011 GermanyDVB-T2002FTA2009 GreeceDVB-T2006FTA2012 HungaryDVB-T 2012 IrelandDVB-T2008FTA2012 target ItalyDVB-T2003FTA + PayTV2012 LithuaniaDVB-T2006FTA2012 LuxembourgDVB-T2006FTA2006 MaltaDVB-T2005 2010 MauritiusDVB-T2005FTA WORLDWIDE SCENARIO

6. CountryDTT StandardService LaunchBusiness Model ASO Date NamibiaDVB-T2005PayTV2005 NetherlandsDVB-T2003FTA + PayTV2007 New ZealandDVB-T2008FTA NorwayDVB-T2007FTA + PayTV2009 PolandDVB-T2007FTA2014 PortugalDVB-T2008FTA2012 Saudi ArabiaDVB-T2006FTA SingaporeDVB-T2001 (mobile)FTA SlovakiaDVB-T2008 2012 SloveniaDVB-T2006FTA2011 South AfricaDVB-T2008 2011 South KoreaATSC2001FTA2012 SpainDVB-T2000FTA2010 WORLDWIDE SCENARIO

7. CountryDTT StandardService LaunchBusiness Model ASO Date SwedenDVB-T1999PayTV + FTA2007 SwitzerlandDVB-T2001FTA2008 TaiwanDVB-T2004FTA2010 TunisiaDVB-TPilots since 2001 TurkeyDVB-T2008 UkraineDVB-T2006 2014 United Kingdom DVB-T1998FTA + PayTV2012 United StatesATSC FTA2009 Source: dvb.org WORLDWIDE SCENARIO

8. TV PenetrationReceivers Sold CountryPopulationTV HouseholdsDVB-S (Millions) DVB-C (Millions) DVB-T (Millions) Albania3,190,000500,000 0.1 Australia21,129,2227,600,0001.11.272.55 Austria8,316,4873,300,0001.5 0.1 Denmark5,457,4152,400,0000.50.060.5 Finland5,297,3002,300,000 0.8 France64,102,14024,700,0004.83.7088.2 Germany82,314,90035,020,00013.91.77 Italy59,206,38223,300,00050.36.077 Netherlands16,387,7737,026,0000.50.10.5 Sweden9,150,0004,100,000 0.8 Taiwan22,925,0005,210,0000.1 2.232 UK60,587,30025,400,00093.423 DTT in presence of Cable & Satellite

9. Indian Broadcast Scenario Today India is the third largest television market in the world today. 112 mn television households, appx. 210 mn households 70 mn pay TV households 68 mn cable households 5 mn Direct-to-Home (DTH) households. 40 mn Terrestrial Only homes. Tomorrow ( PwC study’06) DTH households expected to grow by 43%. Cable households growth around 4-5% per annum Hence, the tremendous potential for growth augurs well for the future of the television industry.

10. Indian Broadcast Scenario 70 million Combined TV Households E & M Industry Rs. 437 billion Television & Radio to share about 54% in overall E&M pie. Television Rs. 191 billion Radio Rs. 5 billion E & M Industry Rs. One Trillion 18% CAGR Television Rs. 519 billion 22% CAGR Radio Rs. 17 billion 28% CAGR Digital TV has …just begun 113 million Combined TV Households “PricewaterhouseCoopers (PwC)-FICCI study 2006” has defined 2006 as a year of start of convergence for the media industry. Today Tomorrow

11. Present DD Terrestrial Network ExistingProposed in 11th & 12th Plan ANA- LO G DTT (SDT V) DTT (DVB -H) DTT (SDT V) DTT (DV B- H) DTT (HDT V) HPTs 19131230 20 LPTs 827--400-- VLPTs 375-----

12. Proposed Future Plans Of Doordarshan One SDTV multiplex carrying upto 8 channels at each existing HPT site. One DVB-H multiplex carrying upto 16 channels at each existing HPT site. One HDTV multiplex carrying upto 2 channels for metro. 100 New DTT HPTs in place of about 400 LPTs 400 DTT SDTV LPTs at existing LPT sites Digitalization to be completed by the end 12th Plan. ASO by 2017

13. Television Growth Profile in India

14. Mobile TV Revenue Estimates ( Source : Juniper Research, Jul 2006 )

15. Growth of Mobile Phones in India Service20062007 March 06 Dec. 06 Added During Apr’06- Dec’06 March 07 Dec. 07 Added During Apr’07- Dec’07 Wireless98.78149.6250.84165.11233.6368.52 Wireline41.5440.30-1.2440.7539.25-1.50 Total140.32189.9249.60205.86272.8867.02 Comparison Table of Subscriber Base for first 9 months of 2006 and 2007:

16. GROWTH IS EVIDENT “PricewaterhouseCoopers (PwC)-FICCI study” E&M (Entertainment and Media) industry size in India is currently estimated at Rs. 437 bn and is expected to grow at a compounded annual rate of 18% over the next five years. E&M industry is expected to outgrow the Indian economy every year from now till 2011. Of this, television occupy over 40% of the market share at Rs 191.2 bn and is expected to grow at a CAGR of 22% to cross Rs 519 bn by 2011 with a 51% share in over all entertainment and media pie.

17. Growth Drivers for DTT One DTT Transmitter can carry 8 channels, hence low CAPEX requirements per channel. Excellent picture and sound quality. Ghost free picture. Reduced power consumption per channel. Future technology, being adopted worldwide. Saving in spectrum compared to analog. Released spectrum can be utilized for other services DVB-H upgradeability for Mobile reception. Ease of transmission of HDTV and DVB-H Service on DTT Platform. Interactivity with consumer is also possible.

18. Opportunities in DTT Government More revenue by way of spectrum allotment/ auction for DTT and DVB-H. Released Spectrum after ASO (Analog Switch OFF) can be utilized for other services and hence more revenue. Speedy Implementation of Digitalization through PPP model.

19. Opportunities in DTT Public Broadcaster: On the same bandwidth/broadcaster shall be able to deliver upto eight channels thereby providing variety of programme for entertainment, news, culture & sports etc. in one multiplex. New Revenue Generation opportunities by sharing of platform with private operators. Availability of space for carrying local and regional channels simultaneously. More suitable for country like India with diversity of culture and languages to meet social obligations.

20. Private Broadcasters: Can introduce new services at low CAPEX by sharing the infrastructure with public broadcaster. Can also install full multiplex if Govt. allots the spectrum. Can share the PB platform for their services Opportunities in DTT

21. Consumers: Availability of more Channels compared to Analog Terrestrial Service. Excellent Picture Quality. Local/Regional Content, languages and area specific programme availability. Availability of private Channels not available earlier on terrestrial platform.

22. Industrial Growth Increased Growth of Industry due to the demand of new services like HDTV content and displays. Demand of DVB-H (Mobile TV) receivers like mobile phones, PDAs, Handheld receivers and USB receivers etc. Distribution of DTT Signals in moving trains, buses & Public Places. Opportunities in DTT

23. CHALLENGES STB Cost The DTT STB cost on higher side: approximately 30-40 US $. DTT STB cost expected to come down as the volumes grow. Future television sets will have to incorporate DTT tuners. The government support is required to make it mandatory by law to integrate DVB- T Receivers in all TV receivers.

24. CHALLENGES DTH: Likely Competition with DTH Services in India. Besides DDI many private DTH platforms are available. A few more DTH services are expected in near future. Telecasting exclusive content on DTT channels is required to counter the same. DTT does not suffer from rain fading and hence advantageous.

25. Cable TV Services : Regular migration of analog terrestrial TV viewers to Cable TV domain observed in the past. The trend may reverse due to availability of more channels on DTT. Exclusive and area specific local contents of special interests to the viewers for DTT Platform can counter the above forces. DTT services are expected to be cheaper than cable services. DTT bouquet having a proper mix of infotainment channels may win back the viewers to terrestrial services CHALLENGES

26. DTTB – Way Out  Providing exclusive content, which can attract viewers towards digital terrestrial services  Providing reception in moving vehicles and hand held device  Adequate programming of local relevance  Interactive and value added services  To meet the cost of digital infrastructure, services with revenue earning potential need to be clearly identified

27. DTTB – Way Out …contd.  Appropriate business model with PPP to be worked out  Launching campaigns to generate public awareness about new terrestrial services and it’s advantages  Conducive Regulatory and Legal framework such as reduction of taxes, duties on STBs / Transmitters, mandating digital receivers with inbuilt DTT tuners etc.  Mandating a firm ASO date

28. Conclusions  Multiple Delivery Media technologies successfully co- exist in several countries.  DTT is free from the inherent disadvantages encountered in Cable and DTH.  Challenges of meeting huge upfront costs for Transition from analog to digital can be met from private partnership and sharing of infrastructure  A balanced bouquet with appealing contents can attract viewers even from Cable and DTH  DTT is better suited to cater information and entertainment needs of a culturally and linguistically diverse subscriber base  DTT roll out will be a win-win situation for all stake holders

29. Thank you.