Posted: Fri., Jun. 27, 2008, 6:44am PT

AirPlus TV names chairman

Former post office boss strengthens DTT bid

LISBON -- Portugal's telco giant Portugal Telecom is the frontrunner to win the auction for a license for the country's new digital terrestrial pay TV platform.

Portugal's official news agency, Lusa, announced that the selection committee responsible for recommending the winner on the basis of its technical-financial offer and programming content had given PT a ranking of 85 out of 100, putting it in first place.

Rival bidder, Swedish owned AirPlus TV, received a ranking of 57 out of 100.

This week, AirPlus TV attempted to boost its chances in the auction by appointing a new chairman, former Communications Authority and Post Office topper, Luis Nazare, and a new 20% shareholder, Miguel Paes de Amaral.

The candidates now have 10 days to contest the recommendation, but it is almost a certainty that PT will win the license.

Critics of the PT bid point to the fact that PT shares the same group of core shareholders as Zon Multimedia, which reps more than 80% of Portugal's cable and satellite pay TV business.

Undeterred, AirPlus TV announced its pricing strategy, should it win the bid.

It will provide a bouquet of 12-plus channels at E11 ($17.40) per month, which it hopes will increase the chances of luring analog viewers to the new digital service -- a vital factor given the government's plan to switch off analog transmission by 2012.

AirPlus TV plans to invest $110 million in the DTT platform, 20% of which will be provided by Paes do Amaral. Some 30% of the total investment is destined for subsidizing set-top boxes.

AirPlus TV is negotiating with producers for programming and also with rival bidder, PT, to secure access to the latter's transmission network.


TALKBACK:

Have an opinion about this article? Be the first to comment



Print Variety
Bookmark
Get Variety:
Variety Mobile Variety Digital Variety Home Delivery
Newsletter Signup:

Featured Jobs

Variety Real Estate