Ofcom approves BBC HD launch

The BBC has secured approval from Ofcom for a full launch of BBC HD, its high definition channel. The service can be launched on all digital TV platforms, satellite, digital and terrestrial, and also online.

Ofcom’s Market Impact Assessment, carried out as part of a public value test, found that the proposed mixed genre service broadcasting for up to 4 hours a day initially and up to 9 hours a day by late 2008, is unlikely to have significant negative market impacts.

Ofcom expects BBC HD to benefit consumers through increased take-up of HD and to support the relative position of the digital terrestrial television platform (DTT) in the longer term.

Ofcom recommends that BBC HD should broadcast in a full nine hour slot on digital terrestrial TV instead of a four hour overnight period.

The regulator has warned that potential benefits to the DTT platform would be negated after the switchover to digital, if the BBC only transmitted a four hour service on DTT compared to a full nine hour service on satellite and cable.

Ofcom expects BBC HD to encourage the take-up of MPEG-4 capable set top boxes. This could generate spectrum efficiency benefits if it permitted an earlier introduction of MPEG-4 standard definition channels.

Ofcom requires the BBC Trust to enforce a service licence regulation mandating that BBC HD remain mixed genre in nature. This would prevent it from competing with high definition movie channels.

The BBC Trust has also carried out a public value assessment, concluding that BBC HD would provide a medium to high level of public value. The Trust expects a significant proportion of the audience to value the proposed service.

The launch of BBC HD is now dependent on the completion of the BBC Trust’s public value test in November.