Galaxy Satellite Broadcasting has responded to charges from Hong Kong’s Wharf Cable that the TVB-owned company has a monopoly on the pay-TV market. General manager Stanley Tang See-tin told the Hong Kong Standard that the government had introduced a number of safeguards to prevent TVB from developing a local monopoly. Already TVB has been instructed to reduce its shareholding to below 50 per cent. Galaxy is currently a wholly owned TVB subsidiary. ”It is not as if consumers do not have a choice and other competitors are forbidden,” said Tang.

The government’s demands that Galaxy and TVB should be treated as separate entities has resulted in a separate board of directors for the two companies. Programming deals must also show transparency.

Tang admitted that the 18-month delay before Galaxy is allowed to offer services was some six to nine months later than had been budgeted for in the original business plan. He questioned Wharf Cable’s monopolisation of major sports events, purchasing cable, satellite and terrestrial rights, while only having a licence to broadcast pay-TV over cable.

Galaxy is planning the launch of its own 24-hour news channel, along with children’s and family networks. It is also planning pay-per-view and a satellite-based broadband Internet service.