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    Globe tests Dream TV mobile service
    By Lenie Lectura
    Reporter
     

    MOBILE television service has arrived. Globe Telecom and Philippine Multi-Media System Inc., operator of Dream Satellite TV, have started trial broadcast of mobile television.

    The service, called My Dream Mobile, can be viewed initially on the Nokia N92. This Nokia model is capable of receiving the high frequency radio signal digital video broadcasting-handheld DVB-H, or simply DBB-H, the format specific to this service.

    DVB-H allows mobile devices with similar antenna to receive digital TV signals. However, DVB-H has better video quality than analog and can be controlled by the consumer. An industry source made a short demonstration of the service last week.

    A Globe official confirmed that trial broadcast of the service is on-going. “It is just a pilot test. There is no deal with Dream TV yet. It is just an internal arrangement to test the service.”

    The National Telecommunications Commission (NTC) said that the demonstration permits they handed out to aspiring operators of mobile TV will expire this month.

    The Globe official added: “During the trial broadcast, the technical feasibility of the service will be determined and if this will add value to the company.”

    The source said Globe did not pursue earlier talks with Dream TV for a possible equity deal after the latter told a court that it had gone bankrupt and that it filed for rehabilitation last March.

    “They have set aside equity talks,” the source said. “It’s now more of an operational partnership or just a temporary link-up to test the service. Globe realized that it will be too risky for them if they pursue a more solid arrangement such as an equity deal.”

    The source also said, “How can they partner with a company that is not financially sound? They’d rather see how Dream TV will go about in its rehab first before entering into a more concrete arrangement.”

    Philippine Multi-Media told the Makati Regional Trial Court that its present financial difficulty is the result of high-operating costs and low subscriber revenue. So, it had difficulty paying its matured and maturing obligations..

    As of February 28, 2007, assets of Dream TV amounted to P1,246,733,008.00, against liabilities of 1,157,362,239.00, net of stockholders’ equity. Philippine Multi-Media is expected to post losses until 2009.

    Dream TV is the first and only commercially operational nationwide DTH provider in the country. Channel content is received from program providers, compressed and beamed via satellite.

    When pressed for comment Globe president Gerardo Ablaza said in a text message, “We don’t have any deal with Dream, whether on an equity or commercial arrangement basis.”

    Since mobile TV is essentially a broadcast service, a phone firm can not offer the service. As such, Globe needs to partner with a broadcast entity to actually offer mobile TV service.

    Since a broadcast firm needs to bill subscribers for the service, it will need a mobile-phone operator to authenticate consumers via their international mobile-equipment identity (IMEI) or SIM (subscriber identification module) card.

    Mobile TV is transmitted outside the cellular network. The source explained that the content is delivered through a satellite dish before it is beamed via a cellular site.

    “Even though there is no commercial arrangement as claimed by Ablaza, there has to be, at least, an understanding with Dream because the content can not be delivered to Globe subscribers without the permission of the cellular firm to transmit the content to their cell site using frequencies,” the source stressed.

    Mobile TV is a broadcast service that delivers content to many viewers simultaneously through a digital TV broadcast signal optimized for mobile devices, just like a conventional TV broadcast sends TV signal to homes.

    Programs on mobile TV can be viewed simultaneously by an unlimited number of subscribers, making it the ideal medium for real-time sports events, breaking news or live entertainment.

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