The digital dividend: how digital TV will render 80% of wireless audio devices redundant

With the move to digital TV across Australia in 2015 comes the unfortunate problem that roughly 80% of the wireless audio devices currently in use in Australia will need to be retired. The government has sold the spectrum they operate in to the tune of $2billion; rescinding the class licences these users operate under. Sara Hood from The Australian Commercial and Entertainment Technologies Association (ACETA) tells us more about this sad state of affairs.

Could you briefly explain the issue for our readers, with the move to the digital spectrum and how it will affect wireless audio devices?

This issue is a consequence of the move to digital TV across Australia and is known as the ‘digital dividend’. That dividend is a $2 billion windfall to government through the sale of spectrum to the telecommunications sector. That spectrum (694MHz- 820MHz) will from January 1 2015 be for the exclusive use Telstra and Optus for data and voice transmission on mobile phones and tablets.

The issue for wireless audio (radio microphones, in ear monitoring systems, instrument transmitters) use, has been reduced by around 40%. This means that:

· The available spectrum for wireless audio use is being reduced by around 40%.
· About 80% of the radio mics in use in Australia will need to move spectrum (at least 150,000) devices as they operate in the spectrum sold to Telstra and Optus which is between 694 and 820MHz.
· It becomes illegal to use an existing device in the spectrum between 694MHz and 820MHz. Fines and jail are potential consequences for continued use after December 31st 2014 under the 1992 Radiocommunications Act.
· Current users with these products will need to scrap their non-compliant products costing users at least $220 million at replacement value.
· This will be a significant and unwelcome impost for many users from individual musicians and venues to community groups.
· As much as 18,000 tonnes of electronic waste will need to be disposed of.

What types of users/community groups will this affect? 

Musicians, performing artists of all types, performing arts venues, schools, churches, community groups (from amateur theatre to sporting groups like surf lifesaving or Little Athletics), the fitness, tourism, broadcast (radio, TV, film), and meetings and conventions industries to name a few. All up $32 billion worth of economic and community activity is enabled by wireless audio products each year.

Will it effectively render these devices useless? What kind of costs will users who need to update gear face? 

The changes render the devices illegal. So unless users wants to break the law and risk the consequences of fines and potentially jail the devices must be decommissioned and scrapped. An independent economic study undertaken in 2010 on behalf of the Australian Wireless Audio Group suggested that the cost to the community is around $220 million.

Will the gear work? At first, yes it will. But once the telcos start to drive traffic on those bands the quality of signal from the wireless audio device will degrade. The owner will then go to the retailer where they bought it or call the service centre for the importer and find out, to their horror, that despite the item possibly being still under warranty, it’s not a service issue and they can’t use the gear any more because the government has made it illegal to do so.

You’ve been in talks with the government for six years. Are they responsive? Or at least understanding of the issue? 

The government is choosing to ignore all representations on this matter. We believe this is because most users are small businesses or individuals. The other sector to have to transition as a result of the digital dividend are the TV stations. The government has compensated these organisations (Channels 7, 9 and 10 along with the ABC and SBS) to the tune of around $500 million in reduced TV licence fees over the past couple of years and for a further two years to come. For wireless audio they have not spent a cent and have not equipped either the Australian Communications and Media Authority (ACMA) which is the regulator of radio spectrum or the industry with the resources to even educate or communicate these changes to users.

What would you propose as a solution to this issue?

AWAG are continuing to work with the regulator, the ACMA, on developing ways to reduce congestion in the remaining spectrum. This includes the opening up of new small parcels of spectrum, the introduction of more efficient products including digital radio mics and channels sharing, in appropriate circumstances, with the broadcast sector.

The rest of the solution is political rather than technical. The Government (whichever party becomes the government) urgently needs to implement a transition plan that includes:

· A communications and education programs to users, so users understand that their access to spectrum is changing and they will need, in most cases, to re-equip . Otherwise, through ignorance of the subject, the government will create a new class of criminals.

· A compensation package to users that encourages them to decommission their existing devices and replace them with new compliant devices.

· As reverse logistic program that safely removes up to 18,000 tonnes of electronic waste (created by the 150,000 decommissioned radio mics) from entering our landfills or being resold through such as eBay to unsuspecting users. (This is what happened in the US! The decommissioned gear turned up again on eBay!).

What can users do? 

Check their inventory. If their devices operate between 520-694MHz they remain compliant. If it operates between 694 and 820MHz it needs to be scrapped by December 31st 2014.

Rule of thumb: if your devices are more than 12 months old it is highly likely that they will be non-compliant. Most manufacturers of quality branded products commenced the importation of post digital dividend products once the spectrum changes were confirmed in mid 2012.

Users can find this information on the device or the receiver, in the operating manual or via the supplier.

Raise the issue with their politicians. Start by signing up to the AWAG petition or write to the respective Communications spokespeople:

Labor: Anthony Albanese 
Coalition: Malcolm Turnbull 
Greens: Senator Scott Ludlum 

All can be reached through Parliamentary mail at: PO Box 6022 Canberra ACT 2600