[cma-l] Small Scale DAB

[David Duffy]

Hi Alex,

I agree with your risk assessment comment - although 'risk' will be different from station to station, as will the desire/need to be on DAB.  However, I would offer this - there are some parallels with how RSL’s were a proving ground for many community and commercial licensees.

Having said that, I have spoken to most of those that formally expressed their interest in the DAB trials with Ofcom.  Many did so just to put a marker down. And that’s all. They are expressing their longer term aspirations. I also know from our work with commercial radio that they are clearly interested in acquiring and operating local DAB multiplexes in the fullness of time.  This is something that community radio needs to be mindful of as things move forward.  Without knowing what the regulatory frame work will be in the future for local DAB, this trial will demonstrate to Ofcom how community and commercial operators come together to cooperate in adjacent areas.

Remember also that, the trial is two-way.  It is an opportunity for stations to trial the performance of local DAB in their MCA.  And prove to themselves (and Ofcom) that they can operate a local multiplex.

Andy, your point is very topical.  I was having this exact conversation with an existing commercial FM operator yesterday.  The challenge for them, about simulcasting one of their stations, is what happens to their existing listeners who have migrated from FM to DAB (as well as newly won listeners on DAB) when the trial comes to an end.  Do these listeners seek out the content and revert to the station’s FM platform? or do they remain on DAB and  'hit the seek button’ ?

One thing’s for certain. It’s going to be an interesting 9 months.

David
www.localDAB.co.uk <http://www.localdab.co.uk/> 


> On 7 Mar 2015, at 09:25, Andy -Bay FM Radio <radio at bayfm.co.uk> wrote:
> 
> I agree with Alex.
> 
> All this expense to drive your listeners to DAB for 9/12 months with no future guarantees and then have it turned off ?
> Sorry but, i don't think it's a good business plan.
> 
> Andy.
> 
> 
> Sent from Samsung Mobile
> 
> 
> -------- Original message --------
> From: tlr at gairloch.co.uk 
> Date:06/03/2015 2:28 PM (GMT+00:00) 
> To: David Duffy ,Alan Coote 
> Cc: CMA-L 
> Subject: Re: [cma-l] Small Scale DAB 
> 
> Also bear in mind the fact that these are time limited trials with a 9-month *maximum* and explicitly no guarantee of continuation or future relicensing. Isn't that the biggest business risk to any long term agreements?
>  
> Alex
>> On 06 March 2015 at 14:03 David Duffy <david at theradiopeople.co.uk> wrote: 
>> 
>> Great advice. I would further recommend that as a multiplex operator you should build your business plan on the assumption that any other services you carry may go bust and, if you are charging them for carriage, take payment monthly in advance. That’s why we’re creating a list of content providers/service www.localDAB.co.uk/brokering that are DSPS-approved and ready, at a moment’s notice, to replace any services that fail. 
>>  
>> Regards
>>  
>> David
>>  
>> 
>>> On 6 Mar 2015, at 12:04, Alan Coote < alan.coote at 5digital.co.uk> wrote:
>>> 
>>> We were approached a while ago by 2 content producers about teaming up and sharing airtime on a multiplex.
>>>  
>>> After a lot of phone calls, Ofcom confirmed that DSPS licenses are required by each service provider, even if they are sharing air time. 
>>>  
>>> However, in our case the multiplex owner wanted a single contract with a holding company rather than deal with individual DSPS holders. They felt it gave them better security. 
>>>  
>>> This highlighted several issues of working with other companies on a DAB multiplex whose financial stability we had to rely on.   
>>>         
>>> I’d suggest that stations should carefully consider what happens if the partner companies don’t pay their way or go out of business.
>>>  
>>> And, it may be worth getting professional advise about setting up a limited liability broadcast company to protect the underlying community station.    
>>>  
>>> Kind Regards
>>> Alan
>  

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