ENG-2003 — Page 425

CHAPTER 17

Communications, the Media and Information Technology

Hong Kong is a leading communications centre. It has:

over 3.8 million fixed telephone lines

7.2 million mobile phone subscribers (106 per cent of the population)

Hong Kong is an early adopter and mature user of information technology:

68 per cent of households have installed personal computers

60 per cent of households are connected to the Internet

broadband coverage reaches virtually all commercial buildings and households

over 10 million e-payment smart cards are in circulation

90 per cent of public services which are amenable to the electronic mode of delivery are provided with an e-option

70

per cent of Internet users have used E-government services

EXCELLENT communications have been an essential element in Hong Kong's development as an international business and financial centre. The HKSAR has one of the most sophisticated telecommunications markets in the world, and its people are kept well informed by a vigorous media.

The HKSAR already has a fully liberalised telecommunications market. In 2003, legislation was enacted to regulate merger and requisition authorities in the telecommunications market. The Government also started a review of the policy and regulatory regime of the Type II interconnection arrangement among operators' fixed networks to effect the last mile coverage to reach customers' premises. The review aims at, among other things, encouraging investment in the telecommunications network, thereby furthering the goal of developing Hong Kong into a leading digital city.

In broadcasting, the Government has liberalised the television market. The new services have brought in many more television programme channels. The Government is also set to introduce digital terrestrial broadcasting in Hong Kong and is reviewing the broadcasting regulatory regime to facilitate technological convergence. A vibrant

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