This heralds a major change in the way we all get and view our television in future. The Government pursued this idea because it would free up the radio spectrum to be sold again and would leave Britain with an advanced DTT system. So all round a good idea, even if there are hitches in the shape of refusniks' and a lot of analogue TV's to be disposed of.
Hat Tip for Image; InformITV.com
Longer term however, there is a huge shift in the business model coming, to the detriment of the current advertising based model. With a multi-channel TV audience for all channels, the share of the larger channels will fall. So ITV, BBC and Channel 4 will all suffer. This means their advertising revenue will fall off. To help bolster this they will need more popular programmes; but this does not square with their current public service broadcasting obligations.The Government is of a already retreating on this issue vis-a-vis C4 and ITV by reducing their costs. But for the BBC it is a different game; how can it justify its position as its market share falls?
I don't think it can, but I like the latest idea from John Whittingdale that in future all companies could bid for government funded public service broadcasting; thus removing the need for a BBC monopoly and licence fee.
A market for TV PSB is a much better idea than the current system; we still get the content and have to pay, but not to support the whole administrative monolith that is the BBC.