CCR Short Takes

UBS withdraws from 2300/3500 MHz spectrum auctionUnique Broadband Systems Inc. (UBS) cites access to enough spectrum through its 51% ownership stake in Look Communications Inc. and an agreement with Microcell Telecommunications Inc. as its reasons for withdrawing from the much anticipated 2300 MHz and 3500 MHz spectrum auction. UBS representative Phil Koven tells Canadian Communications Reports, "UBS feels that with Look’s position in spectrum and the position UBS itself has through its deal with Microcell is enough spectrum for its perceived uses over the short-to-medium term and as a result it is conserving resources for other short-to-medium term priorities." When asked about Look’s previous complaints about not having enough spectrum, Koven referred CCR directly to Look, which could not be reached at press time. During the consultation on the 2300/3500 MHz auction, wireless cable TV companies had previously asked Industry Canada to give wireless cable players preferential access to the 2300 MHz band because they needed access to return path spectrum. Craig Wireless International Inc. and Image Wireless Communications Inc. had requested the privilege. It’s unclear whether Look and Craig have changed their tune about needing more spectrum. Frequencies at 2300 MHz are a comparable replacement for the 2100 MHz band Look has been using on a temporary basis, but the 2100 MHz has been designated for 3G wireless and will soon be made available in another spectrum auction. C-Band alliance tells Industry Canada it will surrender charterThe C-Band Satellite Alliance Canada intends to apply to the minister of Industry Canada for leave to surrender its organization’s charter, pursuant to the Canada Corporations Act, according to a notice in the Canada Gazette, dated Dec. 10, 2003. The alliance, representing eight independent program suppliers, was formed in 1998 to boost the profile of C-band satellite TV services (CCR, Sept. 23/98). C-Band use fell after the Canadian Broadcasting Corp. dropped its three analog C-band feeds in 2001, depriving about one million Canadians from receiving the public broadcasting channel in that manner (CCR, March 14/01). C-band users also encountered court challenges in 2000 (CCR, April 13/00). The explosive growth of small-dish satellite TV services has also had an impact. Cogeco adds 12,000-plus digital households in first quarterCogeco Cable Inc. added 12,882 net digital cable households in its first quarter of fiscal 2004 ended Nov. 30, 2003, according to financials released January 12. Digital households in its Ontario operations rose from 105,520 to 114,984, while those in its Quebec territory increased from 57,013 to 60,431. The company indicated that the success of its bundled offering resulted in greater digital additions. The financial results also revealed that Cogeco had an initial investment of $7.7 million to introduce video-on-demand during the same period a year earlier. Also, the cableco noted that it achieved savings by relocating the TSN specialty channel to the basic service in Ontario in January 2003 and RDS to the basic service in Quebec on Sept. 1, 2003. Still, the company reported a net loss of $40.3 million in the quarter, primarily due to non-cash adjustments linked to the Ontario income tax rate increase and downward revisions in the lifespan of home terminal devices. Cogeco wins CRTC approval to drop ownership in diginetsThe CRTC has approved a transfer of assets application that sees Cogeco Diffusion inc. drop its ownership stake in Stornoway Communications’ Category 1 i-channel and its Category 2 dance channel bpm:tv (Broadcasting Decision 2004-2). Cogeco disposed of its minority interest in Stornoway Communications in August 2003 for $500,000 plus a contingent future consideration. A numbered company and Stornoway Communications, which are the two continuing partners in Stornoway Communications Limited Partnership, retain control of the digital channels. "The commission notes that the transaction is analogous to an intro-corporate (sic) reorganization...," notes the CRTC in its decision. SaskTel adding more TV channelsSaskTel has informed its TV customers that it will add 31 new channels to its TV channel lineup this spring, including diginets Movieola, MuchLOUD and Silver Screen Classics, as well as the Hustler Canada porn channel. Increased functionality was also added to customers’ set-top boxes on January 12, including the addition of a favourites list feature and a mini-guide that allows viewers to watch TV while checking what’s on other channels. CorrectionThe Coalition of Canadian Audio-visual Unions includes the Directors Guild of Canada, the Alliance of Canadian Cinema, Television and Radio Artists, the Writers Guild of Canada and others. The Canadian Film and Television Production Association is not a member of the coalition, as was indicated in the article entitled "Canadian drama: Everyone says they want it but no one wants to fund it" that was published in the Dec. 10, 2003 issue of Canadian Communications Reports.

CCR Short Takes

Broadcast | January 15, 2004

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