COMMUNICATIONS AND THE MEDIA

Many data communication services are available in Hong Kong. By the end of 1997, there were more than 340 000 dedicated facsimile lines. The growth rate in 1997 was 1.0 per cent per month.

After deregulation of the Fixed Telecommunication Network Service (FTNS) market in July 1995, the three new FTNS operators Hutchison Communications Limited, New T & T Hong Kong Limited and New World Telephone Limited have begun to roll out their networks and gradually introduce new services such as integrated services digital network services to compete with the dominant operator, the Hong Kong Telephone Company Limited (HKTC).

HKTC's local telephone charges are regulated by a price-capping mechanism which limits any annual increase to four per cent below the prevailing rate of inflation. This will be reviewed in 1998; there is no price control on the new operators.

International Telecommunications Services

Under an exclusive licence ending in September 2006, Hong Kong Telecom International Limited (HKTI) provides certain external circuits and services including external public telephone services and television connections; domestic and international telex and telegram services; international private leased circuits; and shore-to-ship and ground-to-air communications from Hong Kong. HKTI also provides international gateways and operational support for a wide range of value- added telecommunications services such as electronic mail, database access and

video-conferencing.

The FTNS operators are connected to HKTI's international gateways so that customers may have direct access to a variety of international telecommunications services, regardless of which operator's service they choose.

In view of the rapid developments in the international telecommunications market, the government and HKTI's holding company, Hong Kong Telecommunications Limited, are discussing how the international telecommunications sector should be developed to maintain Hong Kong's position as a telecommunications hub in the Asia-Pacific region.

Public Mobile Radiotelephone Service

In Hong Kong, four cellular phone operators Hong Kong Telecom CSL Limited, Hutchison Telephone Company Limited, Pacific Link Communications Limited and SmarTone Mobile Communications Limited provide cellular phone networks in the 800-900 MHz band, while six PCS operators (Hutchison Telephone Company Limited; Mandarin Communications Limited; New World PCS Limited; P Plus Communications Limited; Pacific Link Communications Limited and Peoples Telephone Company Limited) provide their services in the 1 700–1 900 MHz band.

The six PCS licences were issued in September 1996 and services commenced between January and July 1997. Hong Kong has eight public mobile radiotelephone service operators operating one analogue and 11 digital networks. At the end of 1997, they served about 1.9 million customers (29 mobile phones per 100 population), representing a 57 per cent increase over 1996, of whom 1 776 subscribed to analogue phones. Competition and technological advancement meant cellular handset prices continued to drop in 1997.

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