They have already set up a back-up station in Thailand and aim to reach, with a mix of satellite dishes and cable systems, over 80% of Hong Kong's population. The footprints of the satellite they are using covers 55% of the world's population, from Mongolia to Sumatra, and Japan to Turkey, so the potential is enormous. Already 22 million people in Indonesia, China, Taiwan and Hong Kong are tuned into satellite TV.
6.
There are three main difficulties so far:
(a) Language restrictions - they cannot broadcast to Hong Kong in Cantonese. Eventually they want to broadcast simultaneously in English, Mandarin and Cantonese, using a multiplex system, and Cantonese broadcasts are essential if they are to reach their intended audience not only in Hong Kong but among the overseas Chinese. Mr Li pointed out that without this audience the service may not be viable.
(b) Ban on subscription in the three entertainment channels will sustain themselves through advertising, but no-one wants to underwrite channels. Again, without the possibility of subscription, the service may not succeed commercially.
(c) There is the question of BBC third party rights, which are very expensive.
Mr Li hoped that HMG might bring its good offices to bear on the lifting of (a) and (b). Miss Spencer pointed out that this is a matter for the Hong Kong Government, but Mr Li said that though he knew this, Britain did still have great influence, and it was tour interests to have the service up and running well before 1997. THe Hong Kong Government may be developing its decision on the language in case a cable TV bid is reviewed, but by then it might be too late politically. He hoped that an agreement with the BBC might be reached in two weeks, and said that FCO/HMG support would help. Mr Li also asked for reconsideration of the financial sponsorship of BBC WSTV, at least as far as his project was concerned, as it was obviously in HMG's interest to have such a politically neutral service available both inside and outside Hong Kong, and the request was not identical with a general subsidy for the service. Miss Spencer reiterated the Government's position on the commercial satellite services, and did not hold out
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