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Olympics could be boon to digital television

New channel promises to raise demand for better broadcasts

By František Bouc
Staff Writer, The Prague Post
February 1st, 2006 issue

The upcoming Winter Olympics in Turin, Italy, could well give the Czech television market a decisive push toward the launch of long-awaited digital broadcasting.

While the Chamber of Deputies failed once again on Jan. 26 to agree on a new media law that should anchor the conditions of digital programming in this country, Czech Television's new digital sports channel set to debut Feb. 9 — on the eve of the Winter Olympics — promises to raise people's demand for the service.

ČT 4, the new channel, will open with Olympic coverage intended to both supplement and extend Czech Television's regular Olympic broadcasting on its analogue channel, ČT 2.

The Olympics are helping to spark big enthusiasm among television viewers and already many are inquiring about the how to receive the company's new digital channel, says Ota Černý, Czech Television's sports editor.

"People are calling in to find out where they can buy a device needed for receiving the digital signal," Černý said.

Digital television is billed as offering clearer pictures and better sound than regular channels that operate on analogue signals. Moreover, digital television broadcasting has the potential to deliver considerably more channels.

In order to be able to receive digital broadcasting that is now only available in Prague and Brno, viewers will either need to buy a new digital television or to purchase a set-top box to decode broadcast signals.

Last year, electronics retailers reported selling about 20,000 boxes.

With the Winter Olympics and the ČT 4 launch fast approaching, an increasing number of people are interested in buying boxes, says Michal Poběžal, marketing director of Internet retailer Mall.cz. He says hundreds are sold every month.

Hockey incentive

Sports have long helped this country advance its television broadcasting.

The number of television sets in the Czech Republic more than doubled in 1956, after Czechoslovak Television transmitted broadcasts from the Olympic hockey tournament in Cortina d'Ampezzo in Italy.

And, prior to the World Hockey Championship in Prague in 1985, many people were their swapping black-and-white sets with color ones.

Černý, the sports editor, predicts the upcoming Olympics could become an incentive for turning to digital television.

"I can well imagine that this could happen," Černý says.

He says hockey broadcasts especially promise to draw unprecedented attention.


"Technically, we're ready ... but we're awaiting customers."

Leoš Pohl, board chairman, Czech Digital Group


"When it comes to a major hockey game in which the Czech team plays, our viewership skyrockets," Černý said.

Lucrative sports

Expanding the channel portfolio by sports appears to be a strategic move for Czech Television in keeping some income from commercials.

Last June, Parliament passed a bill that stipulated that the company drop all commercials by 2008. Only short spots during sports and culture broadcasts would be allowed.

Income from commercials during the Winter Olympics is expected to amount to 43 million Kč [$1.87 million], according to Anna Freimanová of Czech Television's press department. Czech Television's income from commercials during the last Winter Olympics in Salt Lake City was 6 million Kč lower.

Štěpán Wolde, account manager at ARBOmedia, which sells advertising time for Czech Television, says advertisers were demanding slots during hockey games the most.

Delayed digitalization

Czech Television started its limited digital broadcasting in Prague last October and later also in Brno, on the basis of a law on electronic communications that took force last May.

The other commercial TV stations are awaiting specific digital licenses from the Broadcasting Council (RRTV).

The failure of the Parliament to reach compromise on a new media law promises to extend those channels' wait.

While the deputies agreed on Jan. 26 that they would further discuss the new media law in mid February, RRTV chairman Petr Pospíchal said no particular date of launching nation-wide digital television broadcasting was predictable.

Representatives of digital network operators repeatedly declared that they are ready to accommodate new digital channels and that missing licenses were the prime reason for postponing the launch of digital broadcasting nationwide.

"Technically, we're ready ... but we're awaiting customers," said Czech Digital Group's board chairman Leoš Pohl.

The European Commission earlier set a deadline for dropping the current analogue broadcasting and switching to digital TV in 2012.

The Czech IT Ministry issued on Jan. 22 a strategy for the development of digital broadcasting that counts with a complete switch to digital TV between 2010 and 2012.

František Bouc can be reached at fbouc@praguepost.com


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