Thursday, February 5, 2015 Digital switch row takes another turn

 
From right, Communications Authority of Kenya (CA) director-general Francis Wangusi, chairman Ben Gituku and competition director Matano Ndaro. The telecommunications regulator says it will open the award of a third digital signal distribution licence to competitive bidding. FILE PHOTO | JEFF ANGOTE |  NATION MEDIA GROUP

By EDWIN OKOTH
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In Summary

• The authority’s chairman, Mr Ben Gituku, said the additional licence would given be through open tendering just like the previous two.
• Following the Supreme Court ruling on September 29, it was expected that the regulator would dialogue with the three media houses.
• Without the licence, they would have to rely on either the government-owned Signet or Chinese firm Pan African Network Group, holders of the other two licences.

The telecommunications regulator says it will open the award of a third digital signal distribution licence to competitive bidding.

Thursday’s decision by the Communication Authority of Kenya means that the three local broadcasting houses — NTV, KTN and Citizen, will have to compete for the licence together with other bidders.

The authority’s chairman, Mr Ben Gituku, said the additional licence would given be through open tendering just like the previous two.

Mr Gituku also said the third licence could only be awarded after the analogue signal is switched off in order to free frequencies.

“We shall issue the third licence after we have done sufficient analogue switch-off to allow for enough frequencies. However, it will be done through an open tender and I can only hope that the three local TV stations will get it so that we avoid these issues of feeling sidelined,” he said.

Following the Supreme Court ruling on September 29, it was expected that the regulator would dialogue with the three media houses.

PERMIT WITHDRAWN

In December, the three local companies were given a provisional permit allowing them to digitally broadcast their content.

However, the permit was withdrawn last month after the regulator accused them of anti-competitive behaviour.

The decision has been widely criticised and the media houses have since moved to court to challenge it.

The three media houses control at least 80 per cent of local television viewership.

Without the licence, they would have to rely on either the government-owned Signet or Chinese firm Pan African Network Group, holders of the other two licences.

Opening the tender to everyone means that another foreign company can be declared the winning bidder, beating the whole point the local media houses went to court for in the first instance.

Interestingly, some of the TV stations that had migrated to digital broadcasting had by yesterday reverted to analogue signals.