Speech given at the World DAB General Assembly, Brussels
9 November
2001
Printable version
Good morning. Thank you
for inviting me to come and talk to you today Β– I am genuinely
delighted to do so.
And the reason I'm
so pleased to be here is because as a result of decisions taken by the
British Government in September, I have something positive and new to
say about the Βι¶ΉΤΌΕΔ's commitment to Digital Radio.
After a number of difficult
years where, I know, many of you doubted the Βι¶ΉΤΌΕΔ's resolve, and
when many of us who believe in digital radio faced a stalemate and little
prospect of moving forward, it is a relief to be able to take some critical
leaps forward again.
It was six years ago
when the Βι¶ΉΤΌΕΔ became one of the first in the world to broadcast over
a national DAB network by switching on our transmitters and simulcasting
our five national radio stations. We hoped by doing so we would stimulate
a market and see sets in the shops within two years. We have spent some
Β£6m to Β£8m a year since 1995 on both transmitters and on
promoting DAB as the technology for radio's future.
As the years have gone
by, so scepticism in the Βι¶ΉΤΌΕΔ increased and continued promises that sets
would be in the shops "next year", were, rightly, greeted
with derision. It has not been easy and at times I have felt like a
piggy in the middle. Explaining our continued commitment to those who
thought we were doing too little, explaining our continued investment
to those who thought we were doing too much.
But I can tell you that
those of us in Βι¶ΉΤΌΕΔ Radio never faltered in our commitment and determination
to support DAB, although at times it has been tempting to express the
scepticism publicly and I do believe that, if we had at any time over
the last three years stated that the Βι¶ΉΤΌΕΔ no longer believed in DAB,
we would have killed it as a technology in the UK.
So it took a leap of
faith for the Βι¶ΉΤΌΕΔ to agree, in this environment - where there are few
sets, where the sets there are are pricey and where there are no credible
portables - to submit proposals for new digital radio stations, first
to the public for their views, and then to the Government for its decision.
But it was the right thing for us to do. And it emphasises the importance
that the Βι¶ΉΤΌΕΔ places in radio as a key part of its digital future. It
represents faith in the future of radio.
The process of getting
permission for new Βι¶ΉΤΌΕΔ Radio services has taken over 18 months, it's
been very slow - first to convince my colleagues in the Βι¶ΉΤΌΕΔ that now
is the right time to invest in digital radio, then second, to convince
government to create new services. Six weeks ago we received permission
from the UK Government to launch five new digital radio services. Their
launch will transform Βι¶ΉΤΌΕΔ Radio, at a stroke, doubling the number of
national networks we run Β– the biggest change ever. It's an
awesome challenge, but I think it has given digital radio in the UK
the shot in the arm it needed and will hopefully reinvigorate the technology
and the way people perceive it. It's always been about content
and now we've got the chance to show what we can do.
But let me step back
a moment. Radio, as you all know, is in excellent health all over Europe,
with tens of thousands of stations and 210 million listeners who spend
an average of three hours a day with them. Βι¶ΉΤΌΕΔ Radio, local and national,
reaches 67% of the UK adult population Β– that's 32 million
people Β– every single week, and our 50 stations have a share of
over 51%. The UK has one of the fastest uptakes of digital television
in the World, but radio as a whole in the UK continues to thrive despite
the multiplying attractions of other media and entertainment. Ninety-one
percent of adults Β– some 44 million people Β– tune in every
week, doing more listening than ever before, almost 25 hours a week.
Indeed some research the Βι¶ΉΤΌΕΔ carried out in September amongst 25 - 35
year-olds showed that television consumption amongst younger people
has decreased. We know that radio consumption has improved. It's
radio's personal relationship with its listeners that gives it
such a cultural importance to Europe.
As Europe has evolved
over these past 80 years, politically, economically, socially, radio
has been a trusted soundtrack for its people, at times of war and peace,
of sadness and celebration. And in these uncertain times, we are reminded
of its continuing significance. The response we have had to our Radio
Services since September 11th has been extraordinary and not confined
to our speech stations. Our youth music station, Radio 1, was inundated
with e-mails from young people at the end of that extraordinary first
week with messages saying things like these two:
listening to the show
has helped me a lot. Knowing that there are other people in the world
with the same thoughts as my own in a weird way is already helping me
come to terms with what is going on. Joanna Smith (15)
Radio 1 has been a lifeline
for me this week in so many different ways and I would like to express
my thanks to the DJ's for turning up for work when I could do little,
thank you for the sensitive broadcasting. Lynne (16)
They are very moving
messages, but they are also an example of Radio's resilience, its
relevance, its ability to adapt - and adapt is what it must do, as the
digital future becomes the digital present.
Right now, as those
e-mails show, radio is digital. More than that, if you want a glimpse
of the cross-platform future, look at radio. It's streamed on the
internet. It's broadcast via digital television. Listening to the
radio has already emerged in research as a preferred activity while
surfing, and Βι¶ΉΤΌΕΔ Radio has taken to the net with great success. The
five Βι¶ΉΤΌΕΔ national networks have dedicated, live, sites and are the most
popular area of the Βι¶ΉΤΌΕΔ's website after News and Sport, with some
30 million page impressions a month and around 2 million unique visitors
every month. Our radio sites were recently awarded the inaugural Internet
Prix Europa for, as the judges put it, "moving forward the frontiers
of the radio and internet media, combining the strengths of both".
And the popularity of radio stations on the digital satellite platform
has surprised both us and the platform owner. Figures just released
by Rajar show 21% of people with DSAT claim to be using it to listen
to radio every week. This equates to 12.6% of adults - over 6 million
people. And 9.5% of adults claim to lsiten to radio via the internet.
This is all wonderful
news for radio. But don't mistake this for the entire Β– or
worse, the desirable Β– digital future for radio. Yes, the Βι¶ΉΤΌΕΔ has
a multi-platform strategy for radio - and there were some in the Βι¶ΉΤΌΕΔ
who argued that DSAT, D Cable and the Web were all we needed to secure
Radio's digital future. That argument has gone and at the heart
of the Βι¶ΉΤΌΕΔ's strategy for radio in 2001 is DAB. The only technology
that we believe can take all radio's strengths is digital. Because
it's a broadcast technology. It is robust and designed for one-to-many
communication. It is portable!
DAB technology can deliver
a wide range of radio stations to a wide range of devices, including
mobile phones, PDAs, and now I believe, at an affordable cost. DAB enables
us to takes the strengths of analogue radio and add much more, better
sound quality, more stations to choose from, easier tuning and better
reception, text services, data storage, even graphics and moving images
if you want them. That's a pretty powerful proposition. That's
why the Βι¶ΉΤΌΕΔ is backing DAB. And most important for us as a publicly
funded broadcaster, it will enable us to serve our licence payers better!
Which is where our new
services proposition comes in. In deciding to launch five new services
we have considered carefully the role of Βι¶ΉΤΌΕΔ Radio in the digital world.
The Βι¶ΉΤΌΕΔ has the largest radio production base in the world, every day,
round the clock creating the most diverse, high quality programming
across a dizzying number of genres. And so we should, given that we
enjoy the privilege of guaranteed funding. That privilege places certain
responsibilities upon us, both to our listeners, and to the industry
at large. For example, investing in domestic, original production and
so stimulating, developing and training a significant part of radio
production industry; or discovering and developing on and off air talent.
And most fundamentally
of all, that guaranteed funding means that we have no other purpose
for our existence than to serve licence payers. I was determined that
we would use this opportunity to create services capable of addressing
the needs of people we currently underserve and and also to give to
those who want more for their licence.
The Asian Network is
already a successful local service in the West Midlands, but there are
many Asians all over the UK that it does not reach with its mix of news,
discussion, speech and music. Over 46% of all UK Asians live in London
and the South East and we are not broadcasting to them. We will be investing
heavily in the station to take it national, providing programmes in
English and Asian languages, creating programming that addresses the
needs of all the different Asian communities across the UK and will
be looking to it as a source of on and off air talent that can be developed
elsewhere in the Βι¶ΉΤΌΕΔ. It will be a challenge for us to connect with
these audiences, but the Asian Network is already rising to it magnificently,
especially in these current testing times for many British Asians.
The second service that
we hope will help the Βι¶ΉΤΌΕΔ establish a stronger connection with underserved
audiences is Network X, which is just a working title, I promise. Network
X will play contemporary black music Β– hip hop, R&B, garage,
urban. But more than that, it will aim to play a leading role the development
of Black Music in the UK, actively seeking out and championing British
talent and bringing new music and live music to young audiences with
the same passion and commitment that its parent station for 15 - 24
year-olds, Radio 1, does. Eighty per cent of the Black Music played
in the UK comes from the States. But we know there are young people
across the UK who are playing and writing this music. We want to give
them a voice. In so doing, we believe we will discover new DJ and artist
talent, as well as support many independent record labels. This will
not just be a music station. We want to create something that is relevant
to the lives of its young audience, so there will be a dedicated news
team 24 hours a day. The station will have documentaries and social
action programming and, of course, it will be interactive.
I know that many of
you think the reason people will buy digital radio will be the clever
things you can do with the technology. Forgive me, but I think the key
reason it will become a mass medium will be "content". That
is why I think our other three new services will be critical in driving
that appeal. Let me take Radio Five Live Sports Extra. It will be the
extension of our very successful live news and sport station, Radio
Five Live. Sports Extra will enable Βι¶ΉΤΌΕΔ Radio to make fuller use of
the dazzling array of sports rights we have. We will be able to broadcast
Formula One on one service and Rugby on another. We will be able to
go to Golf and the Premier League. We will be able to continue to cover
an important News story and also cover the important Sports event. Sport
has the ability to be a driver in radio digital uptake as it has been
for Television because we will cross promote from the main sports service.
Βι¶ΉΤΌΕΔ Television has always
made considerable use of its archive, its golden programmes like Only
Fools and Horses and Fawlty Towers. Βι¶ΉΤΌΕΔ Radio has not, with the exception
of the great comedies of the Β‘50s. Digital enables us to change
all that. - to throw open the doors to the Βι¶ΉΤΌΕΔ's archives and let
in the people who paid for itΒ– and I can tell you our listeners
have been begging us to do so for years.
The Βι¶ΉΤΌΕΔ Archive is unique.
Over the years, it has captured and created moments of history in music,
popular culture, drama, comedy and yet most of its most prized gems
have only been broadcast once. We have sessions with every major pop
artist of the last 40 years - Sting, Bruce Springsteen, Paul Simon,
Jim Morrison of the DoorsΒ…the list could go on and on. Indeed we
recorded a new concert with Sting in the Βι¶ΉΤΌΕΔ's Radio Theatre this
week. We have extraordinary early recordings of the Beatles, The Rolling
Stones - we've interviewed them all, done documentaries on every
form of popular music from Soul, Country, Punk, and RockΒ….
Network Y Β– another
working title Β– will play the music and artists that shaped the
sounds of the last 40 years, supplementing sessions and interviews from
the archive with new music, live music, documentary, expert commentary
as well as news and social action. Exploring influential music and musicians,
this station will fill a real gap in the music radio market and serve
an audience of music enthusiasts currently without a home.
The Βι¶ΉΤΌΕΔ commissions
more new writing than any institution in the world, writing for drama,
writing for comedy. Network Z Β– yes, that's a working title
too Β– will showcase the Βι¶ΉΤΌΕΔ's archive of comedy, drama, and
readings, Speech radio has always been at the core of the Βι¶ΉΤΌΕΔ's
public service mission. We have increased investment in News and in
Sport over the last ten years, now we will increase investment in drama,
comedy. There will be unabridged readings, classics and contemporary
alike, and the network will extend the Βι¶ΉΤΌΕΔ's unparalleled commitment
to nurturing new writing talent. But above all we will be investing
once again in children's speech radio with daily magazine programmes
as well as drama and readings.
These services will
launch next year and could not better signal the Βι¶ΉΤΌΕΔ's intent to
make digital radio work. We are also required by Government to promote
digital radio technology and equipment "vigorously", not just
the services, and ensure that our services are "universally available
within a reasonable period of time to those with appropriate receivers".
Which brings me to the
second reason why I was particularly pleased to be asked to speak here
today. We will be spending over Β£18 million a year on these new
networks so we must ensure they are heard. Apart from DAB, we are required
to make them available on several platforms satellite, cable and the
internet, but that is not enough. Currently, the Βι¶ΉΤΌΕΔ's digital
radio transmitters cover 60% of the UK population, the same level of
coverage as when we began digital broadcasting in 1995. Today, I can
announce that the Βι¶ΉΤΌΕΔ has begun building digital radio transmitters
once again. In six weeks 65% of the UK population will be covered and
that figure will rise to around 80% by the end of 2003, and hitting
85% in early 2004. These percentage figures use the Βι¶ΉΤΌΕΔ's own system
of measurement and we are confident that this coverage will be robust
and reliable.
This all adds up to
a significant additional investment in DAB and represents a multi-million
pound vote of confidence in digital radio. Set that alongside our ability
Β– and indeed our Government requirement Β– to cross-promote
to our thirty-two million strong audience, and our ability to promote
on TV to 90% of the UK population , then the Βι¶ΉΤΌΕΔ's commitment to
digital radio is most unequivocally renewed.
But I think I must make
it clear that we will only cross-promote when we have succeeded in breaking
the deadlock of no sets, at affordable prices, and portable, being in
the shops. We have to give our listeners the means to listen - radios.
I will not ask my networks to promote DAB if those 32 million listeners
cannot then go out into the high streets and actually get hold of affordable
digital radios and in a range of styles. Our listeners must be able
to go into a shop without needing to explain to the stores what a digital
radio set is. Without being mis-sold a radio with a digital display.
Without effort. Buying a digital radio should not be a trial. It should
be as pleasurable and exciting as buying a DVD player a digital TV or
an MP3 player.
Βι¶ΉΤΌΕΔ Radio and Commercial
Radio in the UK are doing their bit, indeed Commercial Radio in the
UK has led the way for Commercial Radio in Europe and invested millions
and provided terrific content. New services and the coverage are there
or will be soon. Across Europe the pieces are falling into place. I
particularly welcome the very positive conclusions reached by Anne Coutard
in her report for the French Government on the future of radio in France,
and the recent developments in Germany, supported by the digital radio
initiative involving all industry players, confirm that the most important
European market for radio is maturing quickly.
Make no mistake, this
is digital radio's moment. But we all need to seize that moment
Β– not just broadcasters, but manufacturers, retailers, governments
and regulators too. If we believe in digital radio, then we need to
work together to see it reach its potential. We are all faced with a
huge opportunity. In public service radio, that opportunity is to improve
massively our offering to audiences. In Commercial Radio, to develop
new business opportunities. In manufacturing and retail, there are literally
millions of digital radio devices to be sold across Europe. In government,
the chance to safeguard and promote into the future the unique cultural
heritage radio has in Europe.
Despite all its advantages,
digital radio doesn't just happen. It needs commitment.. The UK
has one of the most mature markets for digital radio, yet only forty
thousand sets have been sold . Manufacturers and retailers need to rise
to the challenge of taking Britain's radio listeners digital. But
the advances that there have been have resulted from favourable market
conditions. Extending and renewing analogue licences has encouraged
UK Commercial Radio to invest in digital radio, for example. That should
provide some measure of security for retailers and manufacturers to
put their weight behind digital radio.
That isn't the
case in all other European countries and I would like to take this opportunity
to encourage the European Commission to send a clear signal of support
for radio itself Β– by backing digital radio. I appreciate that
it requires the support and co-operation of member states to turn words
into action, but I hope it will now work to ensure a co-ordinated approach
to the digital future across Europe. And I hope that the Commission
will accept that radio has as much right as Television to be on more
than one digital platform and that digital / DAB is one of those platforms.
If the Commission helps to foster a co-ordinated approach then it will
help to create the single market we all need, and encourage the manufacturers,
for whom digital radio is just one of a number of new products and technologies.
Decisions on regulation, frequency and spectrum allocation are all political
decisions. They have helped radio in Europe take on its present unique
character, whereby both public and private sectors can thrive, along
with cultural and linguistic diversity. Europe has a similar role to
play if these values and achievements are to survive and grow in a digital
environment.
I sincerely hope that
the encouraging signs we are seeing across Europe will provide digital
radio with the impetus it needs to flourish well into the future. Digital
radio has the potential to revolutionise and revitalise the industry
we love. And if it does, then it will give radio as resonant and relevant
a voice in the digital world as it has enjoyed in the analogue one.
Thank you very much.