South Africa\u2019s broadcasting regulator, Icasa, is under fire from all sides after the launch of what it terms a rogue broadcaster — and with potential legal challenges mounting.<\/p>\n
When Icasa licensed five subscription broadcasters in September last year, the introduction of competition to the sector was heralded as a milestone. But four months down the line things are looking far from settled<\/p>\n
The first sign that all was not well was the announcement late last year by e.Sat, one of the successful licensees, that it had concluded a deal with MultiChoice, allowing its planned 24-hour news channel to be available on the DStv bouquet.<\/p>\n
The other three new entrants — Telkom Media, On Digital Media and Walking on Water — are set to launch from mid-2008. But an unexpected new entrant launched last week.<\/p>\n
Free2View announced its free-to-air satellite TV platform, only immediately to be told it didn\u2019t have a licence and could not operate in South Africa. Free2View believes it can offer a free service without Icasa\u2019s approvalbecause it is not broadcastingwithin South Africa\u2019s borders and it is protected by the International Telecommunications Union regulations that govern legitimate spill.<\/p>\n
\u201cWe are not required to have a licence. We are not broadcasting in South Africa, our signal is merely receivable here,\u201d says Free2View chief technical director Malcolm Ramsay.<\/p>\n
Although Free2View is available for the cost of a satellite dish and decoder, it has only one channel in American news giant MSNBC. It plans to have up to 36 channels when the full bouquet is available.<\/p>\n
The Mail & Guardian<\/em> learned this week that a number of the unsuccessful subscription broadcasting licence applicants feel they have been unjustly swept aside and are launching legal challenges to Icasa\u2019s licensingdecisions.<\/p>\n Black Earth Communications confirmed it is preparing its legal challenge and African Spirit said it is considering a legal challenge.<\/p>\n The M&G understands that two further applicants are preparing or considering legal challenges.<\/p>\n The common argument is that Icasa is over-regulating the broadcasting sector and it should allow for as much diversity and competition in the sector as possible.<\/p>\n Icasa announced late last week that the Free2View service was illegaland that the regulator had a number of options available to shut it down, including sealing equipment andsubmitting an application for a court interdict to stop such illegal activity. But Ramsay says the service is legal and that if Icasa wants to shut Free2View down it is going to have to get an interdict.<\/p>\n \u201cWe\u2019re not here for a fight,\u201d he says. \u201cWe are at the bottom rung of the digital divide.\u201d Ramsay says Free2View is advertising driven and the model uses content channels to subsidise educationalchannels, which will benefit the South African public.<\/p>\n \u201cFree2View in Africa will probably have 36 channels with four or five being educational,\u201d says Ramsay. African Spirit\u2019s chairperson and former MD of public broadcasting at the SABC, Judy Nwokedi, confirmed that it is looking at taking legal action against Icasa\u2019s decision.<\/p>\n \u201cIcasa is absolutely over-regulating,\u201d says Nwokedi. \u201cLet\u2019s let the market determine success or failure, not the regulator.<\/p>\n \u201cThe case in point is the French company [Free2View] who have said they are going to broadcast free-to-air satellite television. Why can\u2019t they; how are they going to stop them?<\/p>\n \u201cWe have a situation where the converging technology is overtaking the licensing framework. Let\u2019s create an environment with innovation, increased competition and entrepreneurship.\u201d \u201cThe real tragedy is the country had an option to open up the market to new entrants and smaller players,\u201d says Black Earth Communications\u2019 Andrew Jones.<\/p>\n \u201cWe deserve the chance to fail; the public will not be injured if we fail or not.\u201d<\/p>\n \u201cWhy is Icasa being so protective of the market?\u201d Jones asks. \u201cWhat is wrong with the public getting a free-to-air satellite service? \u201cWhat Free2View is showing is the frustration in the industry that the sector is over-regulated.\u201d<\/p>\n