ABS-CBN continues test broadcast for shift to digital TV

MANILA, Philippines - Multimedia giant ABS-CBN Corp. of the Lopez family continues to conduct test broadcasts for the country’s impending shift to digital terrestrial television using the Japanese technology starting this year.

This developed even as the National Telecommunications Commission (NTC) is set to lay down the guidelines for the shift to digital TV using Japan’s Integrated Service Digital Broadcasting-Terrestrial or ISDB-T standard within the first half of the year.

“ABS-CBN is on track for the Philippines’ switch to Digital Terrestrial Television. Test broadcasts are being conducted in different parts of the nation,” ABS-CBN chief financial officer Aldrin Cerrado said in a statement.

Digital TV is an innovative transmitting technology transforming television-viewing experience through better picture and sound quality.

Cerrado said the company is raising as much as P10 billion to finance its capital expenditure program over the next five years, including the roll out of digital terrestrial TV, the expansion of its pay TV business through SkyCable Corp., the construction of sound stages as well as for production forward planning.

 â€œThe planned sound stages will deliver improvements to our operations by increasing production quality and reducing costs associated with on-location shoots. The majority of ABS-CBN’s filming is done on-location. With the sound stages, the need for on-location shoots will be reduced significantly,” he said.

The proposed bond issuance received the highest PRS Aaa rating from Philippine Ratings Corp. (PhilRatings), said Cerrado.

“I believe this is a reflection of the strength of ABS-CBN’s business and the track record of its management. The triple A rating should give prospective investors confidence in the company’s ability to meet its financial obligations,” he said. 

ABS-CBN, which spent over P1 billion for the impending shift to digital TV is looking at the possibility of the provision of government subsidy to households in the adoption of the Japanese technology like what is done in Japan and the US.

NTC commissioner Gamaliel Cordoba earlier said the implementing rules and regulations (IRR) for the adoption of the ISDB-T standard is expected to be completed either late the first quarter or early second quarter of the year.

Cordoba said the agency, together with the Department of Science and Technology (DOST) and the National Economic and Development Authority (NEDA) are finalizing the guidelines in consultation with industry stakeholders.

He added that the agency is coordinating with members of the Kapisanan ng mga Brodkasters ng Pilipinas (KBP), broadcasting companies, cable TV providers and appliance dealers among others.

“We don’t want to rush the IRR so nobody would be left out. Let us make sure that everything is in order and everyone is in agreement,” he added.