UK Premiership TV spat

August 28, 2010 | 14:12
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Vietnam’s first broadcasting joint venture is still in difficulty, seven months after launching services in Vietnam.

Licenced in May, 2009 with  registered investment capital of $54.1 million, Vietnam Satellite Digital Television Company (VSTV) is a joint venture between Vietnam Television and France’s Canal+ Group, which holds a 49 per cent stake.

VSTV general director Cao Van Liet said the joint venture was still in its early stage and was waiting for a government mechanism on paid television to expand its channels to 96 standard definitions (SD) and 16 high definitions (HD) channels.

“We are on the back foot when competing with other domestic satellite television providers in Vietnam as we are still limited at 70 channels without any HD channels and are waiting for local authorities’ approval for the new channels,” said Liet.

At the launching service period, VSTV can broadcast 56 entertainment channels such as films and sports as well as offer other monopoly TV channels such as football’s Champions League, Europa Cup and French and Spanish championships. Most of these channels have subtitles or are dubbed into Vietnamese.

The number of customer accounts is still limited and the service provider recorded up to 1,000 new accounts a day during the last World Cup on average and some 300 new accounts on these days.

“We want to focus on high-profile customers to meet our break-even point sooner than the scheduled three years,” said Liet.

VSTV is now offering three packages to customers and the highest package rate was VND250,000 a month for the premium package with 70 channels.

 “By being the sole broadcasting agent for the English Premier League during 2010 and 2011 we have live television rights to broadcast it in Vietnam, but we do not have enough channels,” said Liet.

VSTV was recently accused by local satellite television providers of having an English Premier League television right monopoly during 2010-2011. This monopoly  meant Vietnamese football fans who were not VSTV customers would no longer be able to see the globe’s most popular football league live.

The Ministry of Information and Communications last week asked VSTV to conduct meetings with local broadcasters to strike football broadcasting deals in Vietnam.

“This is monopoly business as only VSTV has the rights, but we can sit down and negotiate with each other to win television rights with lower rates and customers may pay lower or no more costs for their football watching,” said an official from Ho Chi Minh City Cable Television.

By By Trang Anh

vir.mastercms.org

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