CONFIDENTIAL
機密
3 -
XCC(72)91
The future of CATV systems
11
In paragraph 352 of its report, the Working Party noted that between 11% and 19% of households in the central urban area cannot receive wireless television satisfactorily: the percentage varies with the criteria used for assessment. It is likely to increase as more use is made of colour television, which is more affected by interference. Whilst many of these households could achieve satis- factory reception by ADS, some urban and the New Territories areas would still need CATV. It may anyway prove more satisfactory and more economical for landlords of large estates, including Government, to install CATV rather than ADS, particularly in high density areas.
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If this is accepted it will be necessary to decide on licensing and control measures. Possible alternatives are:
(a)
(b)
to call for tenders for an exclusive CATV franchise covering the whole Colony. Some- thing like this has been done in several UK and US cities;
to issue CATV licences covering particular parts of the Colony, such as large housing estates or other groups of buildings. No tenders would be needed. Licensees would deal direct with the managements of the estates or buildings concerned,
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The first alternative would be administratively con- venient and should enable Rediffusion, if the successful tenderer, to make use of their considerable investment in underground cable. Moreover, as already explained, CATV might involve laying wires along and across streets. The inevitable disruption caused by their installation and maintenance would be greater if several separate licences were issued. And in the long term the development of multi- channel cable systems will probably make it advantageous to have a single Colony-wide system available to all subscribers on demand.
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On the other hand, it is desirable to avoid creating a monopoly unless there are very good reasons for doing so. Present indications are in any case that even a licensee with a monopoly would not find it commercially viable to provide a Colony-wide service: multi-channel systems are still at an early stage of development and it seems likely that for some years at least the grant of non-exclusive licences will enable the installation of CATV in those areas where it is economically viable and most needed.
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On balance, it is considered that the arguments against a monopoly should prevail, provided that the issue of licences is care- fully controlled. It is thus recommended (subject to the point made in paragraph 19 below) that the Telecommunication Ordinance should be amended to permit the Telecommunications Authority to issue non- exclusive CATV licences, subject always to public safety and convenience;
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