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Home arrow News arrow News Archives arrow July 2006 arrow Flow inherits cable feed problems in Trinidad & Tobago


Flow inherits cable feed problems in Trinidad & Tobago PDF Print E-mail
Written by jamaicaobserver.com   
Sunday, 09 July 2006
With this year's acquisition of Cable Company of Trinidad & Tobago (CCTT), Columbus Communication's (CC) chairman, Michael Lee Chin, apparently has also purchased a long-standing grievance.

Caribbean Business Report understands that CCTT, now christened Flow Trinidad & Tobago (FTT), is likely to be sued by cable television interests in the twin island republic.

The allegations are that for the last decade, CCTT has been broadcasting premium cable channels such as HBO and Showtime from the North American feed instead of the Latin American feed geared for Caribbean audiences.  However, the change of ownership structure and name (CCTT to FTT) have not, the allegations state, changed the manner of doing business.

Flow executives did not want to comment on the matter.  FTT competitor and chief complainant, Bernard Pantin, general manager of Direct TV Trinidad & Tobago (DTVTT), did speak to Caribbean Business Report.

"The matter is on the verge of going to court.  We are trying to determine the best basis on which to take the matter further."

Prior to Lee Chin's acquisition of the company, Pantin explained that he had taken the issue to government officials.  They promised him that a committee would look into the matter.  But he states that nothing was done.

Now with new owners, Pantin has seen a need to push for the matter to be resolved.  Pantin shared his view of the situation.

"Flow is violating the Telecom Authority Act by being on the North American feed.  The HBO/Showtime package of 10-12 channels that Flow shows is completely different channels than what we show.

This gives them an unfair competitive edge.  DTVTT is showing the Latin American feeds that are licensed to our region."  Another competitive edge that the North American feed gives, according to Pantin, is that ,

"Flow can show newer material not cleared for Pay-per-view in Trinidad & Tobago because they have an earlier window for the release of movies."

This is perhaps why Flow has 100,000 customers while DTVTT only has 9,000.  Pantin does admit, "Flow dominates the market; and it is because of piracy."

Additionally, Pantin alleges that Flow is able to keep its competitive edge because the cost of their cable package is TT$197 (US$31) monthly compared to DirectTV's TT$253 (US$38.50) per month.

"If Flow were on the Latin American feed they would have to charge the correct price for the cable channels and yes, its customers would be disappointed."

Pantin's view is that, "All we've asked for is a level playing field."  And there are two factors he sees that will help his case.  First of all, Pantin says that North American HBO executives have entered into the fray.

"HBO has threatened to take Flow to court as well."  Second, "Our telecommunications legislation has been strengthened.  We have been complaining since 2000 and now with the Telecom Act of 2003, we are encouraged."

Pantin believes that a clear direction on the matter would be revealed in the next two months.  Sources stated that in 1999, the former CCTT attempted to use cable boxes to provide a tiered level of packages to cable television viewers.

However, angry customers returned the cable boxes when basic cable channels were scrambled as part of the switch from analogue to digital cable technology.  Interestingly, Flow Jamaica also has some wrangling with the cable-providing community.

On the June 6th announcement that Columbus Communications, parent company of Flow Jamaica, had acquired Jamaican cable company Sauce, cable operators spoke out about the development.

In previously published reports, it was noted that the feeling in the community was that Lee Chin was attempting to create a monopoly

and that they (cable operators) would not allow it.  Columbus Communications Limited is a Barbados corporation that holds controlling interests in a number of telecommunications providers in the Caribbean.

These include Cable Bahamas Ltd, Caribbean Crossings Ltd, Merit Communications Ltd and FibraLink Jamaica Ltd.

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