Detailed results from the Wi-Fi offload model
Figure B .25 shows a breakdown of the consumer and producer surplus from Wi-Fi offload, and Figure B .26 shows the results of the sensitivity analysis. The base case assumes that 95% of indoor traffic will be offloaded by 2021, while Scenario 2 assumes a lower estimate of 75%.
Figure B.25: Surplus from Wi-Fi offloading [Source: Analysys Mason, 2012]
£ million
|
2011
|
NPV (2012–2021)
|
Consumer surplus
|
1 810
|
24 800–27 900
|
Producer surplus
|
25
|
780–3 130
|
Direct welfare benefits
(consumer + producer surplus)
|
1 840
|
25 600–31 000
|
Note: all results have been rounded to 3 significant digits.
Figure B.26: Sensitivity analysis of surplus from Wi-Fi offloading (10-year NPVs, 2012–2021) [Source: Analysys Mason, 2012]
£ million
|
Scenario 1 (base case)
|
Scenario 2
|
|
2011
|
NPV
(2012–2021)
|
2011
|
NPV
(2012–2021)
|
Consumer surplus
|
1 810
|
27 900
|
1 810
|
24 800
|
Producer surplus
|
25
|
3 130
|
25
|
780
|
Direct welfare benefits (consumer + producer surplus)
|
1 840
|
31 000
|
1 840
|
25 600
|
Note: all results have been rounded to 3 significant digits.
Broadcast TV model
We have built a new model to calculate the consumer and producer surplus from DTT and DTH satellite broadcasting. We have not considered analogue terrestrial broadcasting (since this will cease before the end of 2012) or cable TV (since this does not involve the use of radio spectrum). We have, however, included BT Vision Internet Protocol (IP) TV households in our consumer surplus calculation, since these subscribers still receive broadcast TV channels via DTT. Thus, two main TV segments are considered:
DTT (Freeview)136
DTH comprising free DTH (Freesat, including Freesat from Sky) and pay DTH (Sky).
The structures of the approaches used to estimate the consumer surplus from DTT and DTH are shown below in Figure B .27 and Figure B .28.
Figure B.27: Approach used to estimate the consumer surplus from DTT [Source: Analysys Mason, 2012]
Key: HH = households, MUX = Multiplex
Figure B.28: Approach used to estimate the consumer surplus from DTH [Source: Analysys Mason, 2012]
The structures of the approaches used to estimate the producer surplus from DTT and DTH are shown below in Figure B .29 and Figure B .30.
Figure B.29: Approach used to estimate the producer surplus from DTT [Source: Analysys Mason, 2012]
Figure B.30: Approach used to estimate the producer surplus from DTH [Source: Analysys Mason, 2012]
Share with your friends: |