Λ
SCENARIO 2
Two networks: one for cable television but not for telecommunications or non franchised services, the other for telecommunications but not cable television.
SCENARIO 3
Two networks: one offering cable television and non franchised services, the other offering all telecommunications services but not cable television.
SCENARIO 4
Two networks: one offering cable television and all local telecommunications services, with interconnection to both local and international carriers, the other offering all telecommunications services but not cable television.
SCENARIO 5
Two networks offering a full range of local and international telecommunications and one offering cable television services i.e. full competition.
In the description of each scenario which follows, we describe the assumptions which have been used to model network and revenue growth of the different network operators under that scenario.
In section 3.2 we consider a number of issues concerning the programme content of a cable television service in Hong Kong. These points are applicable not just to Scenario 1 but to all other scenarios.
3.2
SCENARIO 1: A SINGLE NETWORK CARRIER FOR ALL TELECOMMUNICATIONS SERVICES AND CABLE TELEVISION
3.2.1 Definition of scenario 1
HKT is also
This assumes that a cable television network is owned and operated by HKT. It is the base case scenario of least competition against which the other scenarios are compared. It assumes that HKT/CWHK have the exclusive franchise over the local and international telephone service until 2007 (that is HKT's franchise is renewed in 1995). granted a Territory-wide franchise to build and own a cable television network. The cable television service would be provided by a separate service operator CTHK, who would provide the cable "headend" from the interface with HKT and multiple interfaces at socket outlets in individual subscribers' premises. The provision of the convertor unit, to enable subscribers to receive the cable television service and display it satisfactorily on existing VHF sets, would be handled by the cable television network provider. HKT does, however, declare its willingness to supply network services not only to CTHK, but to whichever company or consortium is selected to be the service operator.
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