SPECIAL BRIEFING REPORT:

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SPECIAL BRIEFING REPORT DTT State of Readiness
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BACKGROUND

• DTT is a ITU compulsory transitioning of
  broadcasting migration system from analogue to
  digital technology broadcasting.
• Digital broadcasting technologies will release
  additional spectrum which will be used to licence
  new mobile services.
• Its advantages includes better quality picture,
  added channels of more that 16 per single
  frequency, and benefit for language and content
  diversity.

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DTT BACKGROUND

• South Africa as a member of International
  Telecommunications Union, has committed to finish
  its digital migration from analogue to digital
  broadcasting technology by June 17, 2015
• The initial South African self-imposed digital
  migration timelines were November 2008 to
  November 2011
• In early 2010, SADC made a decision to revisit
  the decision made in ITU Regional Conference of
  2006, to adopt Digital Video Broadcasting
  Terrestrial (DVB-T)
• In January 2011, the Cabinet adopted the second
  generation of the same standard known as DVB-2
• DVB-2 has almost twice spectrum efficiency
  compared to the first generation DVB-T

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BDM Policy Amendments

• The final Broadcasting Digital Migration (BDM)
  Policy Amendments in February 7, with the
  substitution gazetted in February 17, 2012. The
  main amendments are
• The adoption of the DVB-T2 technology in line
  with the Cabinet decision
• Pronouncement of new Digital Migration timelines
  which are the DTT services launch during the
  2012/2013.
• In both instances , the announcement of precise
  dates for DTT services launch and analogue
  transmissions switch-off, the Minister will make
  pronouncements after consultation with the
  Cabinet and broadcasting industry.

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BDM Policy Amendments

• Accommodation of three tier broadcasting services
• The Policy Amendments promotes public, commercial
  and community television services, prioritising
  the incumbent broadcasters during the dual
  illumination
• Promotes competition and introduction of new
  services
• The Policy Amendments also promotes competition
  and introduction of new broadcasting services
  where possible during dual illumination
• Establishment of the Digital Migration Office
• The Policy Amendments give effect to the
  establishment of the Digital Migration Office to
  provide Project Management and Monitoring
  services to the DTT Programme

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DTT KEY MILESTONS

• Key Strategies
• The STB Manufacturing Sector Development Strategy
  and SOS Framework were approved by Cabinet in
  March 2012
• DTT Communication and Consumer Awareness Campaign
  
• The Department has finalised the DTT Consumer
  Awareness Campaign Plan
• STB Conformance Authority
• DOC has finalised and signed an MOU with DTI and
  SABS for the establishment of STB Conformance
  Authority to support Digital Migration and local
  electronics manufacturing industry procurement
  of conformance test facility has began.

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DTT KEY MILESTONS

• SOS Roll-Out Post Office Partnership
• The roll-out of STB subsidy is an inherently
  complex process
• The Department is seeking a centralised system
  which will reduce costs and complexity of subsidy
  roll-out promote efficiency and DTT take up
• The Department has signed the MOU with Post
  Office as a possible SOS logistic partner
• STB RFI AND RFP
• The Department is conscious that the availability
  of Set Top Boxes is key to the successful launch
• To this end the Department has finalised STB RFP
  for local manufacturing of Set-Top-Boxes.

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DTT ROLL-OUT STATE OF READINESS

• STB Standard- SABS Process
• The STB Standard trough SABS process has been
  finalised and was launched by Minister
• The Department urges all partners involved to
  assist in the speedily conclusion of this overdue
  process.
• The STB Control system will be developed under
  Sentech domain to the tune of R12 million.
• Final selection of Manufacturers will be
  completed by Setember 2012.

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• Sentech cont.
• DTT network coverage currently at 61 of total
  population coverage
• Sentech on track to hit 80 coverage by March
  2012 and 88 by December 2013. Remaining 12 to
  be covered by satellite technology
• Sentech has so far been allocated R1.8bn for the
  DTT rollout and to cover the dual illumination .
• Satellite portion of the network ready to launch,
  small technical infrastructure upgrade being
  done to accommodate network growth

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• SABC
• Ready to transmit SABC 1,2,3 on DTT network
• SABC will have an additional 24 hr news channel
  ready for DTT launch
• SABC has submitted a Business Case for funding
  for additional channels for DTT
• SABC and etv collaborating on a Free-To-Air
  partnership

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• E-tv ready to launch on DTT platform, awaiting
  approvals on ICASA regulations and tariff
  structures
• Memorandum of Understanding has been finalized
  with SABC for a joint FTA brand collaboration
• M-Net also ready to launch on DTT platform, also
  awaiting approvals on ICASA regulations and
  tariff structures

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• SAPO
• SAPO has signed MoU with DoC, USAASA and SABC for
  the distribution logistics
• SAPO has begun designing software processes for
  the distribution of STBs to qualifying subsidy
  recipients
• SAPO will be working with USAASA on distribution
  logistics countrywide, under DoCs supervision

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• USAASA
• R940m ring-fenced at USAASA for this financial
  year in relation to STB subsidies
• USAASA to place STB orders with manufacturers on
  behalf of DoC and pay after STBs have been
  delivered at SAPO warehouses

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• ICASA
• Draft DTT Regulations have been released for
  public comment
• Target end September for approval and
  finalization
• ICASA also finalizing tariff structures with
  Sentech and in collaboration with the
  broadcasters

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• SABS
• Completed their tender process and partnering
  with DTG DTVL from UK for their STB
  Conformance Intellectual Property
• STB Specification finalized and launched at ICT
  Indaba in June 2012
• Conformance lab to be ready by October 2012
• SABS have been allocated R10m by DoC to fund the
  conformance laboratory

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• DTT Phase 1 Launch
• Launch dates 26 - 27 of September 2012.
• The objectives of the Launch are as follows
• Proof of Technical Concept and announce to the
  nation that the network is ready and available
• Launch is a build up to Phase 2 Commercial Launch
  to be held at the end of November 2012 or
  December 2012

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• DTT Phase 1 Launch cont.
• The Launch will be in two folds
• Satellite or Direct-To-Home (DTH) around SKA
  area.
• Digital Terrestrial Television (DTT) in a
  township around Kimberley, which currently has
  the only DTT transmitter in the Northern Cape
• 20 Satellite STBs have been ordered by Sentech
  for the September Phase 1 Launch to be divided
  into 10 DTH and 10 DTT.
• R3.5million has been put aside for the publicity
  campaign for Phase 1 Launch among other
  activities

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Where are we Now August 2012

• Sentech has rolled out the DTT network to 61 of
  the population with all major metro poles up and
  running.
• New equipment has been ordered to cover 80 of
  population by Mar 2013.
• RFP process for appointing local manufacturers of
  STBs has been released and evaluation will be
  completed by Mid September 2012.
• Sapo distribution procedure has been finalized
  and MOU between DoC and SAPO signed.
• SABC is ready to transmit all existing channels
  onto the DTT network
• Etv and Mnet are ready to transmit their channels
  as well.
• Call centres are being finalized in the SABC,
  etv, Sentech and the DoC already has a Call
  Centre set up for the awareness campaign
  questions that have been coming in.
• SABS is busy setting up the Conformance lab and
  has ordered the test equipment from the
  successful bidder of their tender process..target
  date for completion is end September.

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Challenges

• Budget shortfall for the Set-top-boxes
  estimated R4 Billion.
• Budget shortfall of over R800 million for DTT
  Awareness Campaign.
• Government to cover the costs of dual
  illumination transmission through Sentechs R2.4
  Billion ending in 2015.

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THANK YOU