Four networks submit rental rates for digital TV

Four networks submit rental rates for digital TV

Four licensed network providers for digital TV have already finalised their network rental costs, with MCOT Plc offering the highest rate and Thai PBS the lowest.

The broadcasting regulator ordered the four network providers _ the Royal Thai Army, the Public Relations Department, Thai PBS and MCOT _ to submit network rental costs this past Sunday.

Thai PBS offered 31.6 million baht a year for a standard-definition (SD) channel and 94.8 million a year for a high-definition (HD) channel in the first year.

Then the annual rent from the second to the 15th years will start from 48 million baht for an SD channel and 144 million for an HD channel.

The rates will be revised every three years, based on inflation.

The public TV station has set a total investment budget of 860 million baht for digital-TV network expansion.

MCOT set its network rent at 60 million baht a year for an SD channel and 180 million for an HD channel.

The prices will be maintained for the first five years, then increase by 3% annually with adjustments for inflation.

MCOT's status is as a broadcaster of commercial TV stations, and it is listed on the Stock Exchange of Thailand.

The other three network providers are funded by the government.

A source from one of the licensed network providers said the Public Relations Department and the Royal Thai Army proposed identical rental rates.

Both set a target of covering 50% of the country in the first year of operations and will charge 36 million baht a year for an SD channel and 72 million a year for an HD channel.

In the second year and beyond, the annual rent will rise to 57.6 million baht for an SD channel and 172.8 million for an HD channel. The rates will be revised each year based on inflation.

Somsak Siripattanakul, the National Broadcasting and Telecommunications Commission's digitisation director, said the rental rates must be approved by the broadcasting committee this month.

The committee will consult with two subcommittees on whether the rates have been properly calculated to reflect real investment cost.

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