TNAG-0351-FCO40-387-Future-of-broadcasting-in-Hong-Kong-1972 — Page 171

FRIORITY CYPHER/CAT A

FM F.C.0.

061900Z

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CONFIDENTIAL

A

CONFIDENTIAL *

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TO:

57)

TO PRIORITY GOVERNOR HONG KONG TELEGRAM NO.1987 OF 6 DECEMBER, 1972

MY TELEGRAM NO 1918: TVB

1. COLONEL STIRLING CAME TO SEE HONG KONG AND INDIAN OCEAN

DEPARTMENT ON 4 DECEMBER FOLLOWING HIS VISIT TO HONG KONG.

2. HE SEEMS TO HAVE CHANGED HIS GROUND SOMEWHAT. HE NOW SAYS

THAT, WHILE TVB ARE STILL WORRIED ABOUT THE TECHNICAL PROBLEMS OF THE USE OF BAND IV AND BAND V, THEY ARE MORE WORRIED ABOUT THE POTENTIAL COMPETITION FROM THE THIRD, CHINESE, CHANNEL. THEY HAD ONLY NOW REALISED (AS HE PUT IT) THAT THE HONG KONG GOVERNMENT HAD

ABANDONED THE INTENTION THAT THE THIRD CHANNEL SHOULD BE DEVOTED

TO PUBLIC SERVICE BROADCASTING. IN TVB'S VIEW, THREE CHANNELS, ALL DEVOTED TO COMMERCIAL PROGRAMMES AND COMMERCIAL RETURN, WOULD

BE BOUND TO LEAD TO A DECLINE OF STANDARDS. IT WOULD ALSO LEAD TO THE BANKRUPTCY OF ONE OR OTHER COMPANY, AS THERE WAS NOT ENOUGH

ADVERTISING REVENUE TO GO ROUND.

3.

STIRLING CONFIRMED THAT HE HAD GONE TO HONG KONG WITH THE

PERSONAL INTENTION OF SELLING OUT HIS TVB SHARES AND OF OFFERING

HIS SERVICES FOR A ''PUBLIC SERVICE" THIRD CHANNEL. THE TVB

DOARD AS A WHOLE HOPED THAT THE THIRD CHANNEL WOULD BE CANCELLED.

HE PERSONALLY DID NOT. BUT HE HOPED THAT IT WOULD BE DEALYED WHILE

YOU THOUGHT OUT THE IMPLICATIONS OF PUBLIC SERVICE BROADCASTING.

WE ASKED COLONEL STIRLING WHETHER HIS ANXIETY ABOUT THE THIRD

CHANNEL NOW TOOK PRECEDENCE OVER THE TECHNICAL PROBLEM OF THE USE

OF BAND IV AND BAND V. HE REPLIED THAT THE TWO WERE RELATED SINCE

THE TECHNICAL PROBLEMS WOULD OBVIOUSLY BE INCREASED IF THREE CHANNELS

HAD TO BE ACCOMMODATED, BUT HE THOUGHT TVB NOW GAVE PRIORITY TO A

REVIEW OF THE THIRD CHANNEL. SUBJECT TO THIS, AND PROVIDED THAT THE

TECHNICAL PROBLEMS OF INTERFERENCE AND TVB'S NEED TO HAVE ACCESS

TO ITS EXISTING CUSTOMERS COULD BE MET, HIS BOARD WOULD BE WILLING

CONFIDENTIAL

/ TO OFFER