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As digital TV operators confront threats to the industry, they are seeking ways to continue their businesses. A new chapter in local digital TV beckons at the end of the decade, as all the digital TV licences are scheduled to expire in 2029. The industry is awaiting a clearer regulatory regime to supervise the changing landscape of the Thai audiovisual (AV) market amid the digital evolution.
According to TV broadcasters, the digital TV business was dramatically affected by changing consumer behaviour, the popularity of streaming content via social platforms, and the development of over-the-top (OTT) platforms. Ad spending also declined for TV operators, while there were doubts about the calculations used to assess the viewership of programmes and channels, and whether the results truly reflect consumers' viewing habits. Digital TV operators could also be affected by the planned frequency reallocation aimed at aligning with international practice.
EASING THE BURDEN The National Broadcasting and Telecommunications Commission (NBTC) awarded 24 digital TV licences at an auction held in 2013. The Association of Digital Television Broadcasting (ADTEB) recently urged the NBTC to extend the period of those licences beyond the 2029 expiry date. ADTEB president Suphap Kleekajai said five years is not a particularly long period of time because some resolutions take time to materialise.
He said following discussions held over a number of years, association members agreed to a resolution that digital TV licences should no longer be awarded via the auction method once the licences expire. The ADTEB is also urging the government to amend the NBTC Act, which stipulates spectrum bands are a national resource and must solely be allocated by means of an auction. "We want the term of digital TV licences to be extended beyond 2029, or have alternative methods for the allocation of new operating licences, such as a beauty contest," Mr Suphap said.
The licences must no longer be auctioned at high prices, he said. Mr Suphap said the country's digital TV stations faced challenges since the NBTC auction, paying high winning bids valued at a combined 50 billion baht. Only 15 channels are still operating, as some decided to cease operations, citing the high financial burden.
He cited a Chulalongkorn University study that suggests an appropriate total for the combined winning bids of 13 billion baht for the 24 digital TV licences issued. The ADTEB also requested the regulator reconsider its plan to auction the 3500 to 3800-megahertz range for telecom service as many satellite TV stations continue to use this range to broadcast programmes. "Moreover, around 60% of the Thai audience views digital TV channels via a satellite platform," said Mr Suphap.
NBTC chairman Dr Sarana Boonbaichaiyapruck said he agreed the planned auction of the 3500MHz range might have to be revised. STAYING POWER Mr Suphap said digital TV channels represent a national TV platform because they offer reliable, responsible and verifiable content regulated by the NBTC. Other platforms are not regulated by NBTC, he said.
Takonkiet Viravan, group chairman of The One Enterprise Plc, said digital TV channels are important stakeholders in the AV sector and they must exist over the long term. Digital TV channels and their content quality are regulated and monitored by the regulator and related agencies, he said. "The issue is how can content can be efficiently aired via both terrestrial TV and streaming platforms," said Mr Takonkiet.
"We are open to adjustments and prioritised every content distribution channel." TINKERING NEEDED NBTC commissioner Pirongrong Ramasoota, who is responsible for the TV business, said earlier it is too early to forecast what will happen or whether digital TV operators will continue to provide content via TV once the licences expire. She acknowledged Thai digital TV operators have struggled to survive through the development of various broadcasting platforms.
Mrs Pirongrong said the unique nature of digital TV in Thailand makes it necessary to develop cross-platform ratings that reflect more precisely information on the popularity of each TV programme and channel among viewers. According to the latest survey conducted by Nielsen Co, watching TV remains a popular activity in 2024 across all generations in Thailand, with 57% of all respondents using this medium. Some 41% of respondents listen to music, 33% participate in sports or exercise, 23% cook and 22% give donations.
The survey found 61% of Gen X prefer to watch TV both online and offline in their free time, while 54% of Gen Y watch TV and 47% for Gen Z. Nielsen reported 63% of respondents in the 2023 survey watched TV offline, while 37% opted for streamed content. The percentage of respondents watching TV offline fell to 53% in the 2024 survey, while use of streaming rose to 47% this year.
UP TO FIVE MAY SURVIVE The country's digital TV channels initially broadcast their programmes on the 470-694MHz spectrum, before shifting to the current range of 470-614MHz. Some of the spectrum range was reallocated for usage by telecom service operators. In the future, it is highly likely the spectrum range being used for the digital TV system will be affected by the full adoption of 4K image technology, Mrs Pirongrong said.
She said it is possible there may only be five digital TV channels remaining in the future once the licences expire, which could operate via high-definition TV and 4K broadcasting platforms. The NBTC is pursuing an initiative to establish a "national streaming platform" as a formal, centralised platform that eventually connects all real-time streaming programmes of existing digital TV channels. The target is for the platform to become operational by next year.
The web-based platform is meant to ease uncertainty regarding the digital TV sector after 2029, when the digital TV licences expire. Mrs Pirongrong said the platform consolidates all digital TV content currently being provided via streaming. The platform can also measure viewership ratings of digital TV programmes, benefiting operators.
The TV operators connect their streaming programmes to the new platform to reflect actual business activity and viewership for broadcasts, she said. The NBTC plans to discuss the issue with related parties to develop the proper features needed for the platform. REGULATORY BALANCE The NBTC hired SCF Associates as an advisor to study and propose recommendations on the changing nature of the country's AV market.
The NBTC plans to consider the study as it works to develop the industry's regulatory framework. According to the study, current regulation is focused on existing TV broadcasters, but this does not cover all of Thai society. There is a need to emphasise the public interest, ensuring the poorest in society have the benefit of free or low-cost public service channels, according to SCF.
The company made several suggestions to the NBTC, including that the content regulation for OTTs and linear broadcasters needs to be rebalanced. Moreover, the study found the NBTC should begin negotiations with other AV industry bodies to support the establishment of a new entity responsible for supporting investment, production, distribution and promotion of Thai-produced content..
