CCR Short Takes

Holders of video-on-demand licences given extensionThe CRTC has granted an extra year, or until Dec. 14, 2002, for holders of video-on-demand (VOD) licences to roll out their services. Videon Cablesystems Inc. (now Shaw), Corus Entertainment Inc., Cogeco Cable Inc., and an Alliance Atlantis Communications Inc.-Shaw Communications Inc. partnership, which received their VOD licences in 1997, all got the extension — Broadcasting Decision 2002-33, 2002-34, 2002-35, and 2002-36. Five VOD services were licensed in 1997, and another four were licensed in 2000 under the digital licensing framework that saw the licensing of nearly 300 new digital specialty channels (CCR, Jan. 17/01). Rogers will announce the rollout of its VOD service early next week. CRTC gives satellite distributors go-ahead to bulk bill customersDirect-to-home satellite distributors will be allowed to bulk bill customers in multiple-dwelling units, the CRTC announced Feb. 12 – Broadcasting Public Notice 2002-7. DTH distributors can now apply to the CRTC for a licence amendment to remove clauses prohibiting it from engaging in the practice. The CRTC has indicated that the inability of DTH distributors to engage in the practice of bulk billing without restrictions put it at a disadvantage to cable companies, which have no such limitations (CCR, Aug. 30/01). CCTA appears next week before Heritage CommitteeThe Canadian Cable Television Association (CCTA) appears Feb. 19 before the Standing Committee on Canadian Heritage studying the broadcasting system. CCTA president and CEO Janet Yale, Dean MacDonald of Rogers Communications, Ken Stein of Shaw Communications, Yves Maynard of Cogeco Cable, and David Baxter of Westman Media will represent the association. They will focus on regulatory reform of the CRTC, the growing black market, and the need for increased access to foreign investment. The CCTA has already released a 12-page brief of its position, which calls on the CRTC to give consumers more choice over the television channels they receive, and to reduce foreign ownership restrictions (CCR, Sept. 13/01). The Canadian Association of Broadcasters (CAB) follows the CCTA with a Feb. 21 appearance before the committee (CCR Update, Feb. 6.02). Canadian Heritage appears to be shut out of innovation agendaA two-document innovation policy, released Feb. 12 by ministers Allan Rock and Jane Stewart, contains little related to the cultural agenda. Canada’s innovation policy calls for greater investment in skills development and research to help close a growing productivity gap between Canada and the United States. Last May, Canadian Heritage tabled $400 million in proposals as part of the Innovation White Paper. Its wish list included $90 million for youth projects focused on arts, crafts and culture; $120 million for national training institutions to prepare Canadians for careers in theatre, music and dance; and $190 million for the digitization of Canadian cultural content. The recently released strategy papers don’t make specific funding proposals, but it nonetheless appears that cultural products aren’t on the table. Sasktel gets extension in rollout of planned broadcast serviceSaskatchewan Telecommunications has been given an extension until March 23, 2003 to implement its new cable distribution undertaking in Saskatchewan. The CRTC granted the year extension on Feb. 12 – Broadcasting Decision 2002-38. The Saskatchewan telco is currently testing its service with 80 employees in Regina (CCR, Dec. 19/01, March 14/01, and Nov. 9/00). Regional acquires cable company in Bahamas Persona Inc., a.k.a. Regional Cablesystems, has acquired Columbus Communications Ltd., the largest shareholder of Cable Bahamas Ltd. Regional picks up about 53,000 cable customers in the Bahamas as a result of the deal involving an unspecified cash payment and the issuance of 2.8 million Persona shares. Cable Systems Alliance inks deal to distribute 2 sports diginetsThe Canadian Cable Systems Alliance (CCSA) and the Toronto Maple Leafs Network Ltd. have signed distribution agreements that will see Leafs TV and Raptors NBA TV made available to the association’s small cableco members. "With programming and partners such as Toronto Maple Leafs Network, we expect the penetration of digital boxes in the market will increase dramatically over the next year," says CCSA president/CEO Alyson Townsend. Regional made ‘big’ donation to former Industry minister TobinRegional Cablesystems made a $10,000 contribution to former Industry minister Brian Tobin in the most recent election, according to government statistics recently publicized by the group Friends of Canadian Broadcasting. It was by far the largest contribution by a broadcast player to the minister. CanWest Global donated $1,000 to Tobin, Rogers $750 and BCE Inc. $500. Friends spokesperson Ian Morrison points out that Regional, based in Tobin territory of St. John’s NF, had a lot to gain from the broadband initiative announced by Industry Canada (CCR, June 21/01, Oct. 26/00). Tobin has since resigned from his Cabinet position and left federal politics (CCR, Jan. 18/02). Morrison says this example is illustrative of why the Canada Elections Act should be changed to prohibit corporations and individuals with federally regulated broadcasting licences from making financial contributions to politicians or political parties (CCR Update, Feb. 6/02). Internet providers introducing two-tier pricing systemBell Canada and Rogers Cable Inc. are among the Internet service providers introducing a two-tiered pricing system. With the new pricing, heavy users of bandwidth would end up paying more, with a reduction going to less active web surfers. Peter Costanzo, director of product management for Bell’s Sympatico Internet service, says that the company is currently developing a "two-tiered pricing structure with a higher value, higher speed service" that will be rolled out soon. For more details, see the Feb. 11 edition of CCR-affiliate publication, Network Letter. MTS says it won’t cross-subsidize broadcast servicesMTS Communications Inc. denies that it will use money from its utility sector to subsidize the rollout of a proposed broadcast service. The subsidiary of Manitoba Telecom Services also denies that it will deploy copper wire for its own use at the expense of third-party Internet service providers wanting to use the lines. The company was responding to concerns expressed in interventions from broadcast-related groups about its application for a licence to distribute broadcasting signals in Winnipeg (CCR, Jan. 31/02, Dec. 19/01). CRTC once again denies Rogers’ bid for Vancouver stationThe CRTC said no again to Rogers Broadcasting Ltd. in awarding a licence to Multivan Broadcast Corporation (MVBC) for a new over-the-air ethnic television station in Vancouver – Broadcasting Decision 2002-39. The commission granted the licence to MVBC, a locally owned and managed TV service. In this latest process, it was the third time Rogers had sought a licence for an ethnic station in Vancouver. The CRTC noted: "In considering the two applications, the commission looked at factors such as the viability of proposed business plans, plans for local programming, support for independent production and ownership structure and composition. Although both proposals were of excellent quality, the commission concluded that local and ethnic ownership of this television service would best promote the goals of the Ethnic Broadcasting Policy. " When Rogers was denied a licence the second time, some community groups filed an appeal to Cabinet (CCR, Oct. 13/00, Oct. 26/00). Cabinet then asked the CRTC to re-examine the issue. Initially, numerous groups expressed interest in the licence. But only CFMT-TV, a division of Rogers Broadcasting, and Multivan ended up applying for a licence (CCR, Aug. 15/01). Look relaunches sales and marketing activitiesWireless cable operator Look Communications Inc. announced Feb. 11 that it was relaunching residential sales and marketing activities in Ontario and Quebec. Look halted the rollout of its service a year ago due to a financial crunch, which saw the company file for bankruptcy protection. Management said Look was adding new digital channels to its television lineup, aligning its packaging and pricing to match customer feedback, and re-introducing high-speed Internet access services in the coming months. The company also announced that it was expanding its broadband offering to small and medium-sized enterprises by relaunching wireless high-speed Internet services in a number of markets, beginning immediately in Milton and Hamilton ON. "We are excited to be on the offensive again and are dedicated to maintaining our reputation as a high quality wireless broadband provider," says Look president Paul Lamontagne. Glassbox looking to get interactive with shorts on TVAn industry veteran is trying to get satellite and cable distributors to pick up a new Category 2 interactive channel focusing on shorts. Jeffrey Elliott, who heads Glassbox Television Inc., says that impending diginet failures will likely open up space on the television dial for more experimental and interactive ventures. Glassbox is hoping to launch a national English-language channel devoted entirely to short-form films called Short TV. Elliott, the former managing director and guiding force behind NetStar Interactive and former VP of interactive at Alliance Atlantis Communications Inc., would not reveal many details about his business proposal. See the Feb. 7 issue of CCR-affiliate publication Canadian New Media for more details

CCR Short Takes

News | 02/15/2002 5:00 am EST

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