The government has a "direct and material" interest in set-top box controls, argues state signal provider Sentech.
The argument is contained in Sentech's responding affidavit to a filing lodged by free-to-air broadcaster etv over the Department of Communications' May decision to have Sentech handle the system.
Etv lodged its court application last month, challenging minister Dina Pule's decision and asking that it be overturned. The matter is set down for tomorrow, about a month-and-a-half before digital TV is set to go live commercially across around two-thirds of SA.
The legal dispute could delay the launch, as etv argues the matter must be sorted out before migration can start. About 11 million houses will need decoders to convert digital signal for viewing on analogue sets. The state will subsidise about 70% of the cost of five million boxes.
Conflicted broadcasters
Sentech CEO Setumo Mohapi writes in his responding affidavit to the challenge that the government has a "direct and material" interest in the set-top box control system when it comes to state-subsidised boxes.
The system is meant to prevent unauthorised decoders from tuning into digital broadcast, thus limiting their use outside SA in case the subsidised boxes are stolen.
Sentech, a respondent in etv's action, also argues the boxes will belong to consumers once they have been bought and do not belong to the broadcasters. Mohapi argues that etv's application for relief is vague and seeks to elevate etv and the South African Broadcasting Corporation (SABC) to exclusive controllers of the system.
Mohapi says this is despite neither broadcaster having an interest in the boxes. He adds that etv's bid aims to elevate the broadcasters to the entities in charge of the system for subsidised decoders, when controls are key to ensuring the poor have continued access to broadcasting.
"In addition, the switch from analogue to digital television terrestrial transmission will allow for the licensing of new free-to-air broadcasters, future competitors to etv and the SABC. If the relief is granted, potential for conflict arises, because, as the controllers of the set-top boxes, etv and SABC would be in a position to frustrate entry into the market on the part of new free-to-air licensees."
Surprised
In the department's responding affidavit, Pule expressed her surprise that etv took her May decision to appoint Sentech to handle decoder controls to court, because all the stakeholders have been working together.
Communications DG Rosey Sekese said the suit came unexpectedly as the minister's view is that her original May appointment of Sentech has been overtaken by events, and that the affected parties were acting in the spirit of co-operation.
In an affidavit filed before the court, Sekese says there have been negotiations and discussions since the May decision around the issue of conditional access.
"In this regard, the minister is surprised by this application, which seems to be aimed at taking technical legal points probably at the expense of digital migration, with the risk that SA may be bogged down in legal battles and failing to meet its deadline in terms of its international commitments."
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