Economics of Wireless Broadcasting over DVB-H Networks

IP datacast (IPDC) over digital video broadcasting-handheld (DVB-H) is seen by many as the technology to bring broadcast services into the mobile sphere. It provides a cost-efficient way to deliver the most popular services to large numbers of people, thus complementing the traditional cellular networks. This paper analyzes the economics of wireless broadcasting with IPDC over DVB-H. This starts with examining the drivers for broadcasting and mobility convergence, which is followed by a description of the IP datacast technology and network structure. Concluding the paper is a business case analysis for a greenfield operator. The analysis is carried out by the construction of a techno-economic simulation model. Based on the model, the cost of building and operating the IPDC network in a large, relatively densely populated country is 5-10 euro per person. Covering only metropolitan areas is far cheaper, with a cost of 2-3 euro per person