various factors to be taken into account in the assessment of any proposals received. The Council also requested the Broadcasting Authority (BA) to conduct
an enquiry into a suitable CTV system for Hong Kong, and to report its findings to Members. The Council's decision is at Annex B.
4
Following the Council's decision on 26 July 1988, the Government, on 19 September 1988, through advertisements in the local and international press issued an invitation to interested parties to submit proposals for the establishment of a CTV system. Each interested party was issued with an Information Kit which contained, amongst other things, general information on Hong Kong and details of the legislation relating to telecommunications in Hong Kong. The Information Kit also included a detailed Guidance Note which contained information on the restrictions to be placed on the CTV licensee(s) and the minimum information required from bidders; this Guidance Note set out many of the policy directions given by the Council.
Proposals Received
5
By the closing date (28 February 1989) proposals had been submitted by four companies/consortia
(a) Hong Kong Cable Communications Ltd (HKCC)
(b)
Hutchison CableVision Ltd (HCV)
(c) Supertech International Corporation (Supertech)
(a)
Windows Television Systems Ltd (WTS)
(Copies of the submissions are available at the Executive Council Annexe for Members' reference)
6
The corporate structures of the four bidders are detailed at Annex C. The Attorney General's Chambers has made a preliminary assessment of the corporate structure of HKCC and HCV by reference to the bids, shareholder agreement s and company files. Both propose corporate structures which will comply with the prescriptive criteria on foreign ownership. The final structure of the successful bidder will be examined before it is licensed.
7
,
Since 28 February 1989, the four bids have been assessed in detail by the Administration, the
the BA and the Government's consultants, Arthur D. Little Asia Pacific Inc. who were contracted to advise the Government on the technical and financial aspects of
of the bids. The bids are assessed below.