The cable company seeks less regulation and more ad revenue.
HOT Cable Systems Media Ltd. (TASE: HOT) is considering to begin transferring channels to the Internet. The company has set up a team, headed by VP regulation and strategy Yoram Mokadi, to review the subject.
The team is formulating a model for the gradual transfer of broadcasts to the Internet from the current cable format. HOT wants to free up cable capacity, reduce regulation, and increase advertising revenue.
Technological change is driving the move, as well as regulatory changes and a global trend toward bundling, which open new possibilities for broadcasters. HOT is not, at least initially, discussing full IPTV, which would necessitate upgrades and heavy investment in bandwidth. The company wants to use the Internet to broadcast channels in parallel, after which it will separate and operate te two platforms.
Published by Globes [online], Israel business news - www.globes-online.com - on November 6, 2008
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