DAB digital radio set to reach 58.5% of the UK by 2011

by Jacquie Bowser, Brand Republic 24-Sep-07, 11:00

LONDON - DAB digital radio is expected to reach 58.5% of households in the UK by 2011, according to a report released by the Digital Radio Development Bureau, a figure that meets Ofcom's target for instigating a review into the future of the FM analogue spectrum.

The DRDB's five-year forecast puts household penetration at 21%, or 6.6m UK homes, by the end of this year, 30% by the end of 2008, rising to 40% in 2009, 50% in 2010 and 58.5% by the end of 2011.

The report says that DAB sales will continue to rise in the home radio and audio systems markets, as well as in clock radios.

DAB's share of domestic portables is expected to grow to around 69% of all sales by volume and 90% by value by the end of 2008.

By the same time, DAB's share of personal stereos will grow to around 40% of all sales by volume and nearly 70% by value and its share of audio systems is expected to grow to around 27% of all sales by volume and 32% by value.

DRDB said the figures represent a best case scenario, but could increase significantly if DAB establishes a good foothold among MP3/MP4 devices, adaptors, docking stations and especially mobile phones.

Ian Dickens, chief executive of DRDB, said: "A number of manufacturers are already starting to see the value of adding DAB digital radio.

"While it is important to continue to see successful growth in traditional radio products, DAB's longer-term future lies in the penetration of these new products, along with in-car and mobile phones. Over the coming months, the DRDB will be changing its shape and focus to ensure that radio moves swiftly down this road."

Ofcom is currently considering a plan for analogue radio switch off.

The regulatory body stated back in April this year that it wanted to review the future of the FM spectrum by 2012 or before, if digital listening has grown to 50% of total listening. According to the DRDB's forecast, the DAB figures will surpass this mark by 2012.

Ofcom also proposed that the future of the AM radio spectrum be reviewed in 2009 and the regulatory burden on smaller commercial stations be reduced.

It is up to the government and Parliament to decide on the timing of switch-off and on changes to legislation, but Ofcom has advised them to think how to ensure the various analogue station licences expire at the same time.