ECONOMY

OTE prepares for satellite TV service

Telecom companies may today be offering television via broadband connections, however, the war in cable television is set to start in September. In September, it is estimated that OTE telecom will be in a position to broadcast subscriber satellite television services, via its joint venture with Cyprus, Hellas Sat. This move will undoubtedly boost the subscriber television market that is today dominated by Nova. As part of steps in this direction, OTE is soon expected to acquire a license that the National Broadcasting Council has provided to Hellas Sat. The permit has yet to be signed by Interior Minister Prokopis Pavlopoulos but this is expected to take place by the end of the month. The transfer of the license by Hellas Sat to OTE telecom is being done mainly to achieve economies of scale in acquiring television content. OTE will be able to negotiate for content with large producers for both its IPTV platform and the Hellas Sat service. The deal is likely to lead to a new source of income for OTE whose IPTV results have not been very encouraging. The formal announcement for the satellite subscriber television service is expected to be made by OTE at the Thessaloniki International Fair in September.