Sentech, SABC pull up lame at 11th hour
The Independent Communications Authority of SA (Icasa) said yesterday it had received a letter of withdrawal from Sentech, which gave no reasons for cancelling its joint application with the SABC.
Sentech was not available for comment yesterday.
At the regulator’s hearings in June, the Sentech-SABC application raised concerns about government control of the broadcasting media. The state has a 38 percent stake in Telkom, which in turn owns 66 percent of Telkom Media. The latter was awarded a pay television licence yesterday.
Industry experts had said they did not expect Sentech to win a licence, because it was not clear how it would finance its television ambitions. Sentech already operates the Vivid pay television platform.
The parastatal is in the midst of a more than R1 billion capital investment programme. This includes the roll-out of a broadband telecoms network and the migration from analogue to digital broadcasting ahead of the 2010 Fifa World Cup. Digital technology will enable high-definition television broadcasts, which are much clearer than analogue signals.
Icasa councillor Zolisa Masiza said the regulator would decide on the future of the Vivid platform when it finalised its reasons for not awarding licences to 10 applicants.
When Icasa invited bids for subscription broadcasting licences last year, 18 companies applied, including Khetha Media, MaxTV and Q Digital. WorldSpace and Multichannel withdrew from the race during the hearings in May.
The year-long process was marred with tears and some tense arguments. It all ended yesterday as Icasa named four new entrants that will end MultiChoice’s 12-year DStv monopoly.
This heralds a new era in local subscription broadcasting, with more choice for consumers.
The new providers are Esat, On Digital Media, Walking on Water and Telkom Media. MultiChoice was granted a formal licence.
The five players will get licences before the end of the year.
Icasa councillor Marcia Socikwa said if none of the bigger operators in the telecoms and broadcasting industries requested an extension, the new licensees should start operating by December.
Telkom Media chief executive Mandla Ngcobo said the company would start offering its services in the second quarter of next year. The licence allows it to operate a satellite pay television service and an internet protocol television service in South Africa.
On Digital Media director Vino Govender said consumers could expect the firm’s variety of services in the second half of next year.
Walking on Water said it would start as a single-channel operator but it gave no time frame, while Esat was mum on its plans.
Telkom Media would offer a range of international channels not available locally. It was negotiating with international content providers and would create a number of channels, Ngcobo said.
Business Report
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