GMA Network Inc. (GMA) is challenging the manner by which SkyCable Corporation (SkyCable) has been implementing the migration of its cable television service from analog to digital.
In its letter to the National Telecommunications Commission, GMA, thru legal counsel Atty. Roberto Rafael V. Lucila and Atty. Pierre M. Cantara of Belo Gozon Elma Parel Asuncion & Lucila Law Office, cried foul over SkyCable’s exclusive carriage of the analog signal of ABS-CBN on Channel 8, as well as its arbitrary discontinuance of its analog TV service while requiring further payment for its digital TV service.
GMA submitted that, under the digital regime, SkyCable’s act of “discontinuing its analog service and requiring subscribers to pay an additional sum for the continuation of the TV service necessitates prior notice to and consent of its subscribers, the Free TV or free-to-air (FTA) television networks that it is obliged to carry under the Must-Carry Rule in NTC Memorandum Circular 4-8-88 and the public in general,” alongside the NTC’s prior approval.
It will be recalled that SkyCable was previously found liable by the NTC for the arbitrary and unlawful act of re-channeling television stations. In its Decision dated April 25, 2003 in Adm. Case No. 99-013, the Honorable Commission ordered SkyCable “to cease and desist from arbitrarily changing channel assignments without advance written notice to KBP members’ TV stations, the public and the approval of the NTC.” Said 2003 Decision was affirmed by the Court of Appeals in 2008 and has long become final and executory.
In its present complaint, GMA underscored that the act of blocking the Free TV networks “does not only constitute re-assigning of FTA channels “but a total dropping of these channels from the menu of television programs available to the public” as verified by its engineers.
The Network noted that such acts “should surely be considered in breach of the 2003 Decision, the Must-Carry Rule as well as the mandate of R.A. No. 7969 (the legislative franchise of Central CATV Inc.), which requires minimum interference with operations of existing stations.”
Apart from the basic failure of SkyCable to abide by the Must-Carry Rule, GMA put forth that SkyCable’s continuing operation of the latter’s analog cable TV service although with the carriage only of ABS-CBN is tantamount to unfair competition “as it clearly favors a sister company to the prejudice of other free-to-air TV operators.”
According to GMA, this act of arbitrary preference, which “smacks of unlawful competition practices punishable under our penal laws,” is geared towards “[killing] the programs of other free-to-air TV operators in its analog cable system, which continues to operate despite the supposed cessation of its operations.”
The non-carriage by SkyCable of other free-to-air TV operators, as GMA pointed out in its letter, will definitely affect the ratings of its programs considering “that a substantial number of households in Mega Manila still utilize SkyCable’s analog cable TV service.”
GMA thus urged the Commission to direct SkyCable to show cause why it should not be penalized for the above mentioned acts; pending resolution of the present complaint, to issue an order to SkyCable directing it to include the signal of GMA and other FTA channels on its digital TV cable service; and to “mete out the proper sanctions” for its flagrant and repeated violation of the 2003 Decision, the Must-Carry Rule embodied in NTC Memorandum Circular No. 4-8-88 as well as the mandate of R.A. No. 7969.”
Article Courtesy from: GMA News
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