[kictanet] CAN USF BE USED TO SUBSIDIZE FTA TRANSMISSION

Tue Jun 9 17:16:58 EAT 2015

The National Broadband Strategy proposes subsidies be applied towards
increasing access to Set Top Boxes (Decoders) etc - not sure about
transmission networks. From where I stand, the higher priority access
challenge is in making decoders readily available to all. CAPEX for
transmission has been eliminated for all CSP by having BSDs handle that.
The operating (or maintenance) costs are not high enough to justify
intervention from the USF.

Refer to the NBS2013 / Broadband4Kenya which was launched by the CA.

On Tuesday, June 9, 2015, James Mbugua via kictanet <
kictanet at lists.kictanet.or.ke> wrote:
> Listers,
> Recently, Multichoice has indicated that it may need FTA users of its
GOTV service to pay a small annual maintenance fee to cover the cost of
transmission.
> This issue has repeatedly raised hackles because, licensed pay-TV
providers like GOTV and Startimes are also required by law to carry FTA
channels, the "Must-carry" rule.
> It is not clear who is supposed to cater for the cost of this
transmission. Typically, FTA analogue transmission costs were recouped
through advertising.
> So it would seem that there is an issue that needs resolving here
particularly when you consider that if there is any after service required,
like a problem with the set top boxes, be it GOTV, Startimes, Safaricom etc
you return them for service to the respective platform owner.
> Which raises the question, given that we have a Universal Service Fund to
which Telcos/Broadcaster/Network operators contribute to which is meant to
facilitate access to Information and Communication Technology to all, why
can't this Fund be used to subsidize access to these FTA channels to those
who wish to have them?
> The CA should consider shielding viewers who want to have FTA channels
from other incidental costs by reimbursing platform owners for the cost
implications of the "Must-carry" rule.
> My two cents.
> JG
> <
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