Parliament may need to step in with new legislation, to save the digital radio fail whale OFCOM admitted today.
OFCOM’s Peter Davies made the comments in front of a critical audience at the Radio Academy’s Radio At The Edge conference today. Davies was put on the spot by moderator James Ashton. After years of trying to put a brave face on DAB, the OFCOM man all but admitted the British radio industry now needed drastic action.
“Yes, it will require legislation,” he said, in order to restructure the industry, and lower costs, so that commercial operators could survive.
Davies acknowledged he’d have no choice if the commercial operators all decided to revolt en masse.
OFCOM effectively forces national operators onto DAB by making it a mandatory condition of a new 12 year analog license. But DAB is nothing but a millstone – costing about 10 times as much as analog to broadcast, and with very few listeners. If all the commercial operators handed in their DAB licenses back to OFCOM at once, what would the regulator do? Davies said that may be the cue for action. But he did warn that legislation took a year to pass through Parliament, so even if the broadcasters revolted tomorrow, it would be 2010 before
Asked if Britain hadn’t leapt into digital radio too early – the rest of the world is introducing more advanced and efficient standards – Davies said it didn’t really matter, as radios using a common profile would be technology-neutral. Which is too bad for those of us with plain old DAB.
So how low is DAB listenership?
One radio exec, Daniel Nathan of Brighton-based Juice, even went as far as suggesting that listenership was so low on the new digital stations, it might as well not go out over broadcast radio at all. Nathan pointed out that most get around 10,000 to 15,000 per half hour, and big hitters like BBC Radio 6 barely topped 50,000, with peaks of 61,000 on Saturday mornings.
“We might as well move them to IP,” he pointed out.
“Five years ago DAB looked like the future – but the world has moved on,” he said.
That was one one of the nicer things said about digital radio yesterday at yesterday’s Academy event.