Freeview to carry HD channels by 2012

LONDON (Reuters) - Britain is to broadcast high definition programming on its free-to-air digital TV service by 2012, in time for the Olympics, under a plan to upgrade the technology by the media regulator.

Ofcom had already signalled its intentions to launch the service on the Freeview platform and on Thursday set out its plans after consulting with the major broadcasters.

Under the system, viewers with the correct equipment should be able to receive up to four new high-definition channels as digital switchover is completed by 2012, with three appearing in certain regions from 2009.

One of the slots will be used by the BBC Trust and the other three slots will be awarded to commercial public service broadcasters after a bidding process. Those bidding could include ITV (ITV.L), Channel 4 and Channel 5.

Ofcom said the applications would be judged on their efficient use of spectrum, the contribution to public service broadcasting and a contribution to the range and diversity of

TV.

The transition to HDTV has been called a landmark move for the industry, similar to the shift from black and white to colour, and terrestrial broadcasters want to be able to compete with the sharply improved TV picture offered by pay-TV firms BSkyB (BSY.L) and Virgin Media (VMED.O).

The regulator expects the plan to also benefit the economy, as it will make better use of the valuable spectrum reserved for broadcasting.

(Reporting by Kate Holton, editing by Will Waterman)