Ibrahim Bbossa #IKB Profile picture
Jul 8, 2018 14 tweets 9 min read Twitter logo Read on Twitter
Free-To-Air (FTA) channels Vs #PayTV subscription.
Pay TV operator have argued that their business model is "Subscription". That when a customer opt for Pay TV, their primary interest is in the premium Pay TV content and not to watch the Free To Air channels.
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During the stakeholder consultations as part of the New broadcasting licensing development, many commentators were for #PayTV providers offering Free-To-Air channels free to subscribers even after monthly subscription have run out. The reason being, they are Free so why pay?
Just like many #PayTV providers globally have also refused to allow customers to pay per channel. Customers are not allowed to customise channels they want to watch for one simple reason, many channels whether it is Discovery Channel or C-SPAN may not be viable on their own.
It is the same reason you cannot buy the jobs section of a Newspaper on its own, it come as part of a full paper. The argument of the newspaper, though old school and outdated due to technological advancement, can be extended to the argument on #FTA.
Newspapers, in addition to having different sections such as politics, business, lifestyle and sports also have free pullout magazines or inserts. These free pullout sections can be equated to #FTA channels on #PayTVs.
So like paying for a newspaper and reading a few pages but still having to pay for the full paper, #PayTV content is sold in full inspite of what is viewed. When a newspaper subscriber requires to be supplied with newspapers daily or monthly, the papers are delivered in full.
A subscriber will not, however, expect to continue receiving free pullouts and inserts in the months they have not subscribed. Similarly, #PayTV provider
should not expect to continue receiving Free-To-Air content via #PayTV platforms the #PayTV providers have argued.
#PayTV providers believe that Free-To-Air channels should not be provided for free. Digital migration has still provided an option of watching the #FTA or local channels if you like through Free-To-Air Set Top Boxes. If you want #FTA, you know were to get it.
Since the primary objective and interest of #PayTV subscribers is not to watch the #FTA channels, #FTAs should therefore be considered as a bonus to save you from the hustle of toggling between the #PayTV input to the standard TV signal input of your #FTA Set Top Box.
#PayTV provider’s "allege" that it costs them money to source for and carry #FTA channels. So those interested in #FTA channels are encouraged like many other Ugandans to buy Set Top Box decoders if what they really want are Free-To-Air channels.
#PayTV providers argued that they primarily depend on purchased content that is sports, movies, documentaries, etc but in addition provide Free-To-Air channels to their customers as a value-added service. They can not sustain the service by merely screening #FTAs alone.
Just as newspapers won’t give their customers the free pullout when the newspaper is not bought, so the #PayTV providers should not be required
to provide Free-To-Air channels when the subscription is not paid. This distorts their business model, they have argued.
Engagement with #PayTV providers on the possibility of having a minimum number of #FTA channels to remain available to subscribers even when subscription runs out, @UCC_Official introduced a requirement of 20% local content. If a licensed #FTA channel is carried, it remains FREE
Insight on the outcomes of the engagement process to obtain an agreeable position regarding the new #PayTV licensing regime is captured in this post and thread bit.ly/2zlx2pl In the new licences, there is something for everyone; Consumers, #PayTV operators & Country

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More from @IBbossa

Sep 6, 2018
Why does data have to expire? Why can’t data be used like fuel? Once a customer makes a purchase, the usage should be at the discretion of the customer.

I was faced with this question and was not ready with an answer. Now I do and would like to share in this thread....
Data is Bandwidth. That is the first aspect to appreciate. So when you purchase a data bundle, you are being given access to a fixed amount of bandwidth for a specific period. Data services are subscription based just as you pay for your Pay-TV, which expires after a period.
Bandwidth is the capacity of a wired or wireless network communications link to transmit the maximum amount of data from one point to another over an internet connection in a given amount of time -usually one second. Bandwidth describes the data transfer rate or capacity.
Read 9 tweets
Aug 14, 2018
#Consumerprotection
This thread explores #consumerprotection aspects in the new broadcasting licensing regime. When in full force it will have hallmarks of what is happening else where in the region. Currently, all broadcasting are in advanced stages of signing agreements
There are three fundamental reasons why we regulate:
1. For effective and robust competition (avoid market failure)
2. Protect #consumers (ensure #consumer interests are protected)
3. Ensure widespread access to networks and services (preventing anti-competitive practices
#Consumerprotection in the new PUBLIC SERVICE PROVIDER LICENCE has a pricing condition requiring the Licensee (broadcaster) to within fourteen (14) days after signing the Licence Agreement, to provide @UCC_Official with a copy of its charges for all licensed services.
Read 16 tweets
Aug 2, 2018
#COMMENTS on the @Airtel_Ug @K2Telecom endorsement agreement.
Is the Airtel/K2 transaction a merger or acquisition? What does it mean for K2 customers? Has @UCC_Official approved this transaction?
The Airtel/K2 transaction is neither a merger nor acquisition. It's a brand endorsement arrangement, were K2 entered into agreement allowing @Airtel_Ug to use her Trademark, Brand name (K2 Telecom) & Resources to market @K2Telecom products & services to customers @UCC_Official
Under the Brand Endorsement Agreement, K2 customers will continue enjoying the same or similar services with a different code prefix (0708). The customer migration will be voluntary. Customers will exercise their contractual right to either move to Airtel or not.
Read 6 tweets
Jul 25, 2018
Eliminating #ScratchCards doesn't directly curb criminality. No. It however streamlines distribution & airtime selling, ensuring accountability for persons involved in the distribution process & improves the integrity of communication systems through traceability & accountability
Gaps emerged this year when security agencies investigating fraud identified individuals aiding & abetting crime. Common amongst the individuals was that they were all airtime vendors/hawkers. Unfortunately, telecoms had no record of these masqueraders being authorised dealers.
@UCC_Official requires registration of all vendors of SIM cards & airtime products. Hence, UCC wanted to find telecoms precariously liable by having them held responsible for the actions or omissions of the masquerading vendors for regulatory measure. The telecoms objected.
Read 18 tweets
May 18, 2018
AN UPDATE ON THE PAY TV LICENSING SAGA
You will recall that Pay TV operators raised concerns about the new broadcasting licensing regime by UCC. A formal joint statement by all Pay TV operators shocked the public especially the claim of a unjustified fee increase.
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In a meeting on 26th April 2018, UCC agreed to halt any enforcement action to allow parties involved to harmonise positions on issues raised by the Pay TV operators. Having concluded the said discussions with Pay TV Operators, the following reflect agreed positions.@Pamankunda
1. UCC agreed with the submission by Pay TV Operators that providers without physical infrastructure in Uganda shall not be required to obtain Public Infrastructure Provider (PIP) Licenses. This was more of a clarification of the license provision, than a matter of contention.
Read 15 tweets

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