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PHILIPPINE CABLE TELEVISION ASSOCIATION (PCTA), INC. CABLELINESep-Oct 2015 • Vol. 15 Issue 5 CABLELINE To allow us to better serve our members: Editor-in-chief 1. Please update your official authorized representative, WESLEY C. SELDA address, contact number/s and email address/es with Editorial Board the secretariat to facilitate better communication. An RALPH B. CASIÑO update form has been posted on the official Facebook ATTY. GERIK CAESARE A. PADERANGA page of PCTA and was sent through email. If you have BONG C. SILLONA JOSE LUIS E. DABAO not accomplished it yet, please let us know by calling MA. ISABELITA SY-HOLLITE the PCTA office at the telephone numbers (02) 638 8542/44 or send SMS to mobile number +63 922 845 Managing Editor, 7292. Advertising Manager 2. In an agreement entered into by PCTA with TV5Monde, SAM L. LANUZA France 24, Al Jazeera, Euronews and Channel Editorial Assistant NewsAsia, these channels are giving free carriage to JENNEFER A. MANGUSSAD PCTA Members. Members are therefore encouraged to carry FTA signal and advise the channel assignments to Circulation facilitate authorization documentation, visit the PCTA ARLENE C. TAN BEN L. SARILLA website for more information. ANGELIQUE BAUTISTA 3. The PCTA is offering assistance in processing MTRCB permits and NTC TVRO license renewal for a minimal Contributors fee. You may get in touch with Liaison Officer, Mr. Ben HBO Sarilla for details. ENGR. FREDERICK D. ESQUILLO ENGR. JOSEPH M. ARGUELLES 4. Your comments and suggestions are highly appreciated, DARWIN S. AMOLAR you may reach us through the following media CASBAA MCN INTERNATIOAL PTE. LTD. Facebook.com/pcta.org.ph Publisher PHILIPPINE CABLE TELEVISION ASSOCIATION @pcta_news on twitter (PCTA), INC. Unit 504 Taipan Place Condominium, www.pcta.org.ph | [email protected] F. Ortigas Jr. Road, Ortigas Center, Pasig City 63.2.638.8541 • 63.2.638.8544 63.2.638.8541 Fax No.: 63.2.638.8542 [email protected] www.pcta.org.ph ALL RIGHTS RESERVED. CABLE LINE 3 EDITOR'S NOTE We often hear the following abbreviations: Coax, RF, FTTH, and IP. Like most businesses we are bombarded with an alphabet soup of terminologies it’s easy to fall behind, I'm here concentrating on these four. Coaxial Lines and Radio Frequencies, this is our traditional method of content delivery. Fiber and Internet Protocols are the new bad boys. FTTH and IP offer bigger capacity, more stability, more security, and more services. As always engineering will demand the best of the best available technology in order to deliver the best possible service to our patrons. It is management's job to balance this and provide a stable economy to keep our business saleable and competitive. Shifting over from RF to IP is a big deal, it will take time, money and of course a transition period. In a service business like ours where downtime is a mortal sin; this shift will not and cannot happen overnight. If you are like most operators you have begun to use a Hybrid Coax and Fiber (HFC) network and you are somewhere in between the RF and IP services. Mr. Sillona's article describes the shifting demands of our patrons; basically our "scheduled" content has a diminished demand. The Internet is quickly eating traditional cable content by delivering content faster, on demand, and on a more personal level. The household budget previously allotted to us is getting reallocated to internet subscriptions. The good news is we are capable of shifting over and delivering the internet to our patrons. As the demand shifts we can shift right along with them. How you do it and how fast you move is of course up to you. The PCTA stands ready to assist; there are a whole lot of engineering solutions available to us today in moving services from RF to IP. The PCTA continues to provide technical seminars to keep our engineering teams updated. Our directors continue to attend regulatory events that matter to our business. (Please check out the Memorandum circular only available online) Wesley DISCLAIMER The opinions, views and/or contents expressed in the articles, contributors or paid advertisements of Cable Line are exclusively that of their author or originator, and do not necessarily reflect the position or stand of the PHILIPPINE CABLE TELEVISION ASSOCIATION, INC. Sep-Oct 2015 • Vol. 15 Issue 5 4 CABLE LINE View from the Chair {by Atty. Gerik Caesare A. Paderanga} PCTA: CABLE OR PAY- through telephone lines via digital subscriber line (DSL) or TV ASSOCIATION? broadband through fiber-optic cables (FOC). On the other hand, as cable operators our coverage is limited by the his year is a defining reach of our Hybrid Fiber-Coax (HFC) infrastructure. But, moment for PCTA. this limitation also comes with technological advantages. TFor the first time Unlike DTH, where signal quality is compromised due to since its creation in 1987, bad weather conditions, and IPTV’s growth is hindered by the Board has created an the high cost of even slow internet speeds, signal delivery amendments and reform to our subscribers by virtue of our HFC cables is much committee to address the more reliable, more convenient and less expensive; hence, vagueness and the insufficiency of our association’s articles and more efficient. Clearly, each technology is different with bylaws. During the regular board meetings, several questions their respective advantages and disadvantages. However, were asked and discussed, but the more important ones are: and this is the crux of the matter, our distinct technologies Who are entitled to vote as members of PCTA, is it one vote per compete for the same subscribers – we are fighting for the member or one vote per franchise/provisional authority (PA) same pesos that our subscribers are willing to spend. And registered? Are there rules for automated elections? Should since the requirements and rudiments of each technology an internal accountant be added as a corporate officer? differs from the others, each one – cable, DTH or IPTV Who are eligible bank signatories authorized to withdraw – has its own set of interests to protect. In fact in the funds from the association’s accounts? Who should be the United States, SMATV (Satellite Master Antenna Television members of PCTA? Should it be exclusive to cable operators System), MMDS (Multiple Distribution System) and DBS only or should we include all other DTH operators? Or, should (Direct Broadcast Satellite) systems are not eligible for we include all Pay-TV [i.e., Internet Protocol Television (IPTV) membership2 to the National Cable & Telecommunications operators]? Of all these questions, I want to zero in on one Association (NCTA).3 The biggest DTH companies in the because it is the most pressing. US like DirectTV and DISH Network are not eligible for NCTA membership. Evidently, the clashing interests of the This is the issue pertaining to membership. The issue has operators of the divergent technologies could not be any hounded the association for years and it is time to close starker. it. To resolve this, it is important to stress that the primary purpose for which the PCTA was formed is to promote the In the history of our business as cable operators, never cable television industry1 and not any other. By the nature before have we encountered stifling competition as tough of our technology as cable operators, we do not have the as those we face today.4 Not only do we have to compete same interests with DTH or IPTV operators. DTH operators, among our fellow cable operators in our respective areas, by their direct-broadcast satellite (DBS) technology, we also have to compete with at least three Direct-to-Home operate anywhere nationally and can offset their losses (DTH) players (i.e., Cignal, G-Sat, Dream, and very soon SKY in one area for more profitable areas. Meanwhile, IPTV DTH) operating nationally and fairly soon, IPTV players. can either be delivered wirelessly (i.e., 3G/4G/5G), While we already face the herculean task of competing 1 The PCTA articles of incorporation provide that the first purpose is “To promote cable television industry as partner of the government in national growth and to inform the public of the role of cable television system as an important communication source; to promote the general welfare and best interest of the association in general and its members in particular; to promote and foster more effective cooperation among cable television system operators for the purpose of raising the standard of the industry; and to do any act and all acts and things which are necessary and proper to accomplish the objectives mentioned.” 2 https://www.ncta.com/who-we-are/membership 3 The NCTA is the principal trade association for the US cable television industry, representing more than 90% of the US cable market, more than 200 cable program networks, and equipment suppliers and providers of other services to the cable industry; https://en.wikipedia.org/wiki/National_Cable_%26_Telecommunications_ Association 4 http://www.manilatimes.net/pay-tv-market-slow-to-grow-faces-tough-competition/197793/ (continued on page 5) Sep-Oct 2015 • Vol. 15 Issue 5 PICS CABLE LINE 5 M INDANAO M ATTERS {by Maribel Sy-Hollite} Madayaw CABLEBOSS also held its Cable Service Marketing Workshop (CSMW) last 27 August 2015 at Limketkai Luxe Hotel in Mindanao Cagayan De Oro City with the theme: Accelerate Success. The event was jampacked with 100 delegates from 48 Mindanao Cable Operators cable operators in Mindanao. The event was conducted by are blessed to have been Marketing Guru Mr. Jaime “JB” Borromeo. flooded with various activities such as seminars, Last but not the least with the fast pace of technology in workshops & Roadshows our industry PCTA Technical Seminar In Cagayan de Oro was last August 2015 offered by held last August 20 to 21, 2015 themed as “The Improved our partners in the industry.