This week’s HCA/HCTA cable conference in Tihany demonstrated Hungary to be very much a market in transition. It also showed that some of the more interesting developments are actually taking place away from the cable sector.
Much in keeping with elsewhere in CEE, Hungary is launching more DTH platforms. This May saw the debut of Hello HD, one of two satellite operations currently in CEE (the other being in Russia) specifically offering HD channels. It claims to complement rather than compete with existing DTH, cable and IPTV services, with the vast majority of its subscribers also having a subscription with another provider.
As if three platforms were not enough for a market of 10 million – Hello HD also has plans to expand to other markets in CEE – Hungary can expect to see a fourth by the end of the year. Details of a service being referred to as T-Sat are still sketchy, though it is known that it will be operated by T-Home, a unit of the incumbent telco Magyar Telekom, and employ the Amos satellite. Furthermore, like Hello HD, it will also offer HD channels.
In the cable sector itself, the biggest development this year to date was undoubtedly UPC’s digital launch in April. However, while digital services are now offered by all three leading MSOs in the country – UPC, T-Kábel and FiberNet – as well as a growing number of smaller operators, the total number of cable homes receiving digital TV services is still only around 5-6%. What is more, only 1-2% of digital cable homes receive HD channels.
Both figures were provided to Broadband TV News by Ferenc Kéry, the president of the HCA, who added that the take-up of internet cable is proving to be a success, with more homes in Hungary now receiving services via cable rather than ADSL. VoIP, too, has become an effective weapon for cable operators against the DTH platform DigiTV, which they regard as their main competitor.
The cable industry’s main concerns at present relate to the lack of activity on the legislative front, and in particular the amendment/replacement of the out of date Media Law, and the forthcoming DTT platform. Due to launch later this year, the latter appears to be in all kinds of trouble, with the participation of RTL Klub and TV2, the country’s two leading broadcasters, still in doubt at this late stage.
Viasat 3 would like to be offered as a FTA service on the DTT platform while at the same still continue to charge cable operators for carriage. Needless to say, the cable industry finds this unacceptable.