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Asia's Satellite Capital

Yojana Sharma of Inter Press Service reports from Hong Kong
***Despite political uncertainties and expensive telecommunications, satellite TV companies are setting up their hubs in Hong Kong.***
Hongkong has be come the undisputed capital of Asia - swte llitc TV broadcasters ‘'ut there about doubts about how Jong it can hold on to its pre eminent position
T'us month Turner Broad casting System's Cable News Network International (CNNI) started up its new Eoduction centre in Hong >ne which will employ 200 people and serve the whole of Asia
The US network, National Broadcast ing Company (NBC', also chose Hong Kong over Singapore tor its Asian produ tion centre with a staff oi IM) to beam 14 hours of business news across the con tine nt
They join the still-expand ing STAR TV which launched the Asian satellite revolution from Hong Kong iust five years ago and now has almost 380 employees at its Hong Kong headquarters.
Despite an aggressive drive to lure television companies, Singapore is the preferred headquarters' for only the smaller players such as Asia Business NewsiABN), Music Television (MTV) now channel V the Discovery Chan nel Home Box Office (HBOl and others Most of these have fewer than 70employees each.
Disney Television and Dis covery Channel both have minor production bases and their satellite uplinks from Singapore while keeping their
corporation headquarters in Hong Kong
"Discovery maintains an arms length relationship with the Singaporean authorities/ notes Mmon Twiston Davis a Hong Kong based media ana Ivst Industry experts do not rule out a move by Discovery i ouid Hong Kong s legisla five environment for satellite TV improve
For all the large Western media groups there arc inevitably worries-about con trols by Singapore which has been very heavy-handed in dealing with Western media organisations in *ftic past" says I n iston Davis
"Although ARN will not openly admit it, they have to be careful about what they say about Singaporean com panics Their reports on Sin Sore are not without due uxht," he adds
Industry insiders say many media groups have also been •urpnsed about bo* much tl y ha < had to tone down their programming to main-' ‘in good ties with Sinag-porean authorities. By con trast, Hong Kong rives broad casters a free hand on content
Late last year Singapore s minister for cooperation Ge orge Yeo warned that Singapore would not tolerate erosion of its conservative values
"We don't want to create a small Hollywood. We don't want the environment, the social mores the scandal, the loose life of a Hollywood," he said
Singapore s aim was to be a service centre in Asia, said Yeo "The whole idea is to develop a pool of expertise in Singapore Editors, pre-pro duction people, post produc tion, graphics and software people," he said
There are other reasons why Hong Kong has emerged as the undisputed leader It is also the headquarters for Asia s advertising industry with which broadcasters need to keep close ties. They need to be on the spot to jostle to sell advertising space in an in creaaingly overcrowded satellite TV market
There is ah- considerable -i -ssover between advertising film production and television production making it easier xo lure professionals to the
faat-growing TV sector
In addition Hong Kong has large English language terres trial channels which, unlike in Singapore, are free from gov emment controls This oro-vides a large pool of talent that ts lacking in Singapore with only its st ate-controlled Singapore Broadcasting Corp
And there is the ge ‘ Saphic aspect Hong Kong is e doorway to the massive China market Although en thusiasm for the China mar ret has waned somewhat in the last year or so, big play ers, in particular CNNI, be lieve Hong Kong is a vital base to be poised for entry to China when that market opens up
Singapore's only advantage is that it offers a much cheaper satellite uplink than Hong Kong, and more secu rity for the future because of the uncertainty over uplink licences in Hong Kong
In Hong Kong, only STAR TV and local broadcaster TVB have their own uplink li cences Ever, one else is forced to pay exorbitant rates to Hong Kong Telecom which has the virtual monop< I on
uplinking from the British colony.
Hong Kong Telecom charges US$1 million a year for uplinking, which only the big players feel they can af ford
Licences tor anyone else have been stalled by Hong Kong's poor relations with China, which resumes sovereignty over the colony in 1997. Most licences run for 12 years and these have to be approved by China because tney will stretch beyond 1997
But discussions on the ambassadorial level loint Liaison Group which handles all matters relating to the 1997 tran sition have been held up for political reasons Hong Kong’s culture secretary lames So admitted last November he had no idea when final approval might come from Bei-'“^.ih so many Western broadcasters screambling for a foothold in Asia, and compe tition quite frenzied, many say they cannot wait for Hong Kong to pass legislation that would allow them their own uplink
But even for those who have their own uplink licence, the future in Hong Kong is far from certain. STAR TV s Rupert Murdoch does no* have good relations with China and there has been talk that the organisation is considering where it might move to next should things sour after 1997.