47/00 7 April 2000

The Radio Authority announced today (7 April) that, after considering the proposals submitted by the three applicants, it is offering the second local digital multiplex service licence for the Greater London area to:

Commenting on the award of the licence, Richard Hooper, Chair of the Authority, said:

The licence is designed potentially to deliver digital radio programming and data services to an area with an adult (aged 15+) population of up to around 9.5 million, broadly corresponding to the coverage of existing Greater London local radio stations.

The shareholders in Switch Digital Ltd. are:

Wireless Group Ltd. 42.5%

Clear Channel International UK Ltd. 42.5%

Ginger Media Group Ltd. 10.0%

Carphone Warehouse Ltd. 5.0%

Switch Digital is proposing to broadcast a total of eight commercial programme services, each on a round-the-clock basis:

Switch Digital proposes to commence its services from the Crystal Palace transmitter in June 2000, and from nine other transmitters, at Alexandra Palace, Bluebell Hill, Brookmans Park, Guildford, Hemel Hempstead, Northwood, Otford, Reigate and Zouches Farm, from September 2000. It estimates that the full transmitter network will provide 'outdoor coverage' of 91.6%, and 'indoor coverage' of 83.4%, of the adult population of the Greater London PPA.

The licence will run initially for a period of twelve years from the commencement of broadcasting. The annual licence fee payable will be £8,500.

The Authority will shortly be publishing its assessment of Switch Digital’s application for the Greater London licence.

1. The services will be transmitted on the VHF band III frequency block 12A (centre-frequency 223.936 MHz).
2. The application for the licence was considered according to factors specified in section 51 of the Broadcasting Act 1996, which are: the extent of coverage proposed, within the permitted maximum; the timetable by which this will be achieved; the ability of the applicant to establish the proposed service and maintain it throughout the licence period; the extent to which the proposed programme services will cater for the tastes and interests of listeners in the area; the broadening of local digital radio choice; local support for the applicant's proposals; and whether the applicant has been fair in contracting with the prospective providers of programme and data services on the multiplex.
3. The first digital multiplex licence for London was awarded to CE Digital, in September 1999, with proposals to broadcast a total of nine programme services, commencing in May 2000. The national digital radio multiplex licence, awarded to Digital One Ltd. in October 1998, already offers several programme services to listeners in the London area.
4. Digital radio is a new transmission system which provides the listener with bundles (called multiplexes) of audio services to new portable and vehicle receivers, and personal computers, with unprecedentedly clear reception. Being digital, it can also broadcast data services which may or may not be related to the radio programmes; e.g. traffic information, electronic publishing, and internet-type information.
5. The Radio Authority is responsible for licensing and regulating Independent Radio in accordance with the statutory requirements of the Broadcasting Acts 1990 and 1996. It plans frequencies, awards licences, regulates programming and advertising, and plays an active role in the discussion and formulation of policies which affect the Independent Radio industry and its listeners.