Local DAB 'affected by industry gloom'

Gloom about the future of DAB has meant less interest in running local multiplexes, the managing director of Eagle Radio, Paul Marcus, has said.

The Guildford-based station is part of the only application entered to operate the Surrey & Northern Sussex multiplex, from MuxCo Surrey & Northern Sussex Limited.

Marcus believes potential rivals were put off by recent pessimism about the future of DAB.

MuxCo's only competitor for seven local DAB muxes already awarded was Now Digital, a wholly-owned subsidiary of GCap Media. In a strategy announced in February GCap said it was withdrawing as much as possible from DAB.

Marcus said of the Surrey licence: "I think there may well have been other applicants if it wasn't for the rumour and concern about what is happening [with DAB]... I think we are going to benefit from owning and operating it."

As well as GCap's change of direction there has been industry speculation about slow takeup and rumours of concerns at Channel 4, the operator of the second national DAB mux.

However, Marcus said he thought the pessimism was unfounded. He said: "I have confidence in DAB, though maybe it is not quite as we initially imagined."

> Click here for analysis of concern about the future of DAB