Pursuant to Act No. 3846 (Radio Control Law), Executive Order 546 series of 1979, Republic Act 8792 (Electronic Commerce Act) and in line with the power of the Commission to promulgate rules and regulations to encourage the wider use of communications, radio and television broadcasting facilities and to maintain effective competition among private entities, the following guidelines are hereby promulgated for the operation of digital FM radio broadcast in the country.

SECTION 1. DEFINITION OF TERMS

As used in this Memorandum Circular, the following definitions shall apply:

1.1 Digital FM Radio Broadcast - a technology that enables FM radio stations to broadcast their programs digitally as a sequence of discrete samples taken from a finite set or a continuous set sound waveform.

1.2 Digital FM Radio Broadcast station - a station utilizing digital FM radio broadcast.

1.3 Enhanced FM Radio Broadcast service - refers to a service in the digital FM radio broadcast which adds a feature or value not ordinarily provided by a regular FM radio broadcast station.

1.4 FM Radio Broadcast station - shall refer to a radio  station duly authorized by the Commission to engage in radio broadcasting in the FM broadcast band.

1.5 Analog FM signal - refers to the signal format used to transmit conventional FM.

1.6 Digital FM signal - refers to the sequence of discrete samples taken from a finite set or a set of waveform transmitted over a digital radio broadcast station.

1.7 Commission - refers to the National Telecommunications Commission (NTC).

SECTION 2.   GENERAL PROVISIONS

2.1 All duly authorized FM broadcast stations may operate a digital FM radio broadcast service, in parallel with their analog operation, subject to the rules/regulations of the Commission. The analog service must not be disrupted nor terminated, without approval from the Commission.

2.2 The digital FM signal shall be modulated and transmitted over the same frequency as that of the existing analog FM radio broadcast station.

2.3 The program content of the digital FM signal shall be the same content as the analog signal of the authorized FM radio broadcast station. However, for digital radio broadcast service providers intending to provide multicast programming, prior authorization must be secured from the Commission in order for the station to be licensed as a multicast operator.

2.4  The provisioning of enhanced or value-added services over the digital broadcast service may be allowed subject to existing laws, rules, and regulations of the Commission.

2.5 The equipment and associated facilities of the digital FM system shall be co-located within the transmitter site of the authorized FM radio broadcast station.

2.6 The coverage area of the digital FM signal shall be limited within the licensed service area of the authorized FM radio broadcast station. In no case shall the digital FM signal extend beyond the 60 dBu F.I. contour of the analog FM signal.

2.7 High/Low level combining or the use of separate antenna may be allowed as methods of transmission. However, the digital FM signal shall at all times be 20 dB below the signal level of the analog FM signal, regardless of the transmission method used.

2.8 New broadcast applicants wishing to directly operate a digital FM radio broadcast station shall file the requisite petition and shall undergo the usual authorization process of the Commission.

2.9 The 800 Khz. minimum frequency separation requirement for FM broadcast stations having the same service area shall be maintained.

SECTION 3. AUTHORIZATION / PERMITS

3.1 An existing and duly authorized analog FM broadcast operator shall be required to file a Motion or any appropriate pleading indicating its intention to provide digital FM radio broadcast service under the original Case No. of its analog FM application/petition. The applicant shall show proof of its financial and technical capability to provide a digital FM radio broadcast service, among others.

3.2 The required Permits to Purchase/Possess for radio transmitters and Construction Permit (CP) shall be secured from the Commission prior to the acquisition and installation of the digital FM broadcast system.

3.3 A Propagation Permit for Digital FM Broadcast shall be issued by the Commission prior to the actual operation and transmission of the digital FM broadcast station.

3.4 A Digital FM Radio Broadcast operator intending to offer enhanced radio broadcast services shall be required to register with the Commission.

SECTION 4. REPEALING CLAUSE

4.1 Any circular, memorandum, order or parts thereof inconsistent with the provisions of this Circular shall be deemed amended or suspended accordingly.

SECTION 5. EFFECTIVITY

5.1  This circular shall take effect fifteen (15) days after publication in a newspaper of general circulation and three (3) certified true copies furnished the UP Law Center.

Adopted: 26 Nov. 2007

(SGD.) RUEL V. CANOBAS   Commissioner
(SGD.) JORGE V. SARMIENTO Deputy Commissioner	(SGD.) JAIME M. FORTES, JR. Deputy Commissioner