TUESDAY |AUGUST 05, 2008 | PHILIPPINES

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CTV operators say subscribers up 2%; illegal connections overwhelm industry


By MYLA IGLESIAS

The Philippine Cable TV Association (PCTA) said the number of cable subscribers grew by 2 percent during the second quarter due to campaign against signal piracy and installation of set- up boxes in households.

Allan Dungao, PCTA president that legal subscribers of 1.5 million rose to 1.8 million in major cities.

"That was an improvement from the stagnant or declining rates we posted in the past", Dungao said.

Dungao is optimistic the industry can sustain the 2 percent growth.

Dungao estimates that illegal subscribers number three million, double that of the paying subscribers.

The Philippine cable industry has accumulated P 6 billion losses yearly due to signal piracy, and signal theft, he said.

Dungao said that the only way to curb the rampant illegal cable connections in the country is the passage of a bill making it a crime to steal cable connections. Hopefully, he said illegal connection can be reduced by 10 percent yearly.

Signal theft is piracy from the operator to the households while, signal piracy from the program provider to the operator.

Rep. Joseph A. Santiago, (Catanduanes), introduced House Bill 1409, which punishes violators caught with illegal cable TV or Internet systems. The penalty will be imprisonment of not less than two years but not more than five years, and/or a fine ranging from P50, 000 to P100, 000.

The measure provides that it will be unlawful for any person to intercept or receive any signal or service offered over CATV and cable internet systems by tapping any unauthorized connection of existing wired or wireless facilities. These are usually done through the use of electronic devices such as digital/analog receiver-decoder boxes, converter boxes and the like.

However, the ABS-CBN cable unit Sky Cable Corp., has allocated P600 million capital expenditures this year to finance the digital box (Digibox) rollout.

Carlo Katigbak, SkyCable chief operating officer earlier said that the Digibox address the problems of the illegal cable connections as well by encrypting the cable signal, thus preventing illegal tapping into SkyCable's network.

At present, there are 3 cable operators in Metro Manila and more than 400 operators in the provinces.

 


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