[cma-l] The Cost Of The DAB Trials

Wed Mar 11 19:12:21 GMT 2015

Neat summary, Andy.  I would add: Speech Station £250 (DSPS licence).

Nicely detailed addendum, Alex.  That £4,000 all-in cost for the 9-months trial would buy you about 35 days (at the going rate) on one of the current multiplexes.  

My advice (free!) for anyone applying is;
	(i)  Firstly, ensure you meet Ofcom’s eligibility criteria  4.24 before doing anything
	(ii) Secondly, It’s going to be competitive. So, realistically assess how your application meets each of the criteria (below) and will stand up to competitive scrutiny

Criteria:
	(i)   Does your application show that your ‘geography’ provides the optimum test environment for the trial type you have chosen
	(ii)  Does your application demonstrate that you are ready to go if they award you a licence.
	(iii) Do you have a site that is has all the approvals - what I call the 'no roadblocks’ option
	(iv) Does your application assert a full bouquet of audio content; number, scale, size, diversity, etc.  Commercial, community, internet, new entrants,  with agreements in place and DSPS licences.
	(v)  Does your application show that you are financially aware and capable (resourced) for establishing and sustain the service for the duration of the trial.

If the answer is still yes then good luck.  Let’s keep in touch. We’d love to know how it’s going with each of the ‘lucky’ ten as the trial progresses.

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

> On 11 Mar 2015, at 17:46, Two Lochs Radio <tlr at gairloch.co.uk> wrote:
> 
> That looks about right as far as it goes Andy, but then...
>  
> David Duffy of the Radio People says in his localDAB website on the topic that to increase the chances of succeeding most stations would benefit from a professionally-written application, which he suggested would cost £900 upwards, or a self-written one can be 'polished up' professionally for £250. He also estimated installation costs at £350 upwards, typically £500. So, for stations that don't have the resources to write a comprehensive application or do the installation engineering that brings us to the region of:
>  
> Existing FM Community Station £1450-£2250 (or more depending on installation costs)
> Existing Online Only Station £2300-£3100 (or more depending on installation costs) 
>  
> There are other potential costs. 
>  
> For example if your mast is sited in a designated Area of Outstanding Natural Beauty or National Scenic Area (as ours are), then you need planning permission for additional aerials (in theory even for a small change on an existing mast), which is a another few hundred pounds. On some sites there is a substantial (sometimes hundreds of pounds) access or rigging supervision charge from the site owner, or a requirement to use their nominated riggers. The station is also responsible for installation sundries such as any extra brackets and mounting hardware.
>  
> There are also running costs, plus probably at the very least 100 staff/volunteer work hours.  The good news is the standard setup will consume only 150W or so power, so only around £100 in electricity.
>  
> Ofcom also says it aims ideally to have four Type 1 trials and three each of type 2 and 3. However, it will only pay for all the equipment for Type 1 trials, pluse two Type 2 trials and one Type 3 trials, which implies that a Type 2 triallist and two Type 3 triallists might be invited to pay for their own equipment. In the absence of any willing to do so, I guess they will have fewer than 10 trials, or they will simply have more Type 1 trials than they would ideally like.
>  
> Of course, at the end of the day, even an all-in cost over 9 months of, say, £4,000  is a probably fraction of what most existing multiplex operations would charge you for 9 months carriage, and presumably for some there is the possibility of the trial multiplex operator charging a fee to partner content providers for their carriage on the trial multiplex. (wonder if this would count as broadcast revenue in terms of CR licence conditions?!)
>  
> However, after 9 months you have no transmission equipment and no continuing licence - it is all 'sunk costs' with little residual value. But hopefully you have some good experience of its impact on listening habits locally, and it could be a great opportunity in some ways.  I guess it's best looked at as a glorified RSL. Let's hope that in reality Ofcom decides to offer new long term licences for the successful trial areas and disposes of the equipment to them for a nominal value only.
>  
> I suppose another option is to sit back and let others carry the cost of being triallists, and just wait for the long-term small-scale opportunities to become available!
>  
> Alex
>  
>> ----- Original Message ----- 
>> From: Bay Fm Radio <mailto:radio at bayfm.co.uk>
>> To: cma-l at mailman.commedia.org.uk <mailto:cma-l at mailman.commedia.org.uk>
>> Sent: Wednesday, March 11, 2015 3:58 PM
>> Subject: [cma-l] The Cost Of The DAB Trials
>> 
>> Hi everyone.
>>  
>> We’ve done some homework regarding the cost of the DAB trials - If I’m stating the obvious/cross posting I apologise.  However, I thought you might appreciate my sharing this with you.
>>  
>> Ofcom are providing the equipment but:
>>  
>> You would have to pay for someone to install it etc…
>> You would have to pay for transmission site & other costs, eg. Electric…
>>  
>> Plus then there are the licence Fees…
>>  
>> You'd need to apply for a DSPS Licence Cost £250
>> Ofcom have waived the Annual Fee so that saves £100
>> PPL Licence Fee is £500 + vat flat fee for the 9 months = £600
>> PRS Licence Fee is £0 if you are a licence FM Station… as long as you don’t generate more then£29,499 in Net Broadcasting Revenue during the 9 month trial.
>> However, If you are an online only station you must be already licenced by them for the online service and then they will charge you £705.25 + vat = £846.30… as long as you don’t generate more then£29,499 in Net Broadcasting Revenue during the 9 month trial.
>>  
>> So the trial will cost you …
>>  
>>  
>> Andy.
>>  
>>  
>> 
>> 
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