Telecoms given little new
In spite of a pledge to establish Hong Kong as a world-class telecommunications centre, the Policy Address offered little new on the sector.
'We are committed to promoting investment in broadband telecoms infrastructure and to facilitating access,' Mr Tung said, citing a public consultation to help sort out how the various telecoms service providers interconnect.
Two key announcements on liberalisation preceded the address. The first took in the 14 applications for fixed wireless networks using roof-top microwave dishes to offer telephone services.
The second was that 34 applicants were vying for the right to build long-distance telecoms facilities.
'It would have been hard for the Policy Address to top those announcements. Maybe the Government should have waited a week for Mr Tung to have unveiled them himself,' Peter Milliken, a telecoms analyst at DBS Securities, said.
Broadband telecommunications - which allow high-speed Internet access, video conferencing and futuristic telecommunications services - have been the focus of government policy since it began its telecoms liberalisation drive in 1995 with the licensing of three new fixed-line telephone operators and the granting of a cable TV licence to Wharf (Holdings).
By forcing new licensees to wire homes and offices to a network of high-capacity fibre-optic cables, the telecoms infrastructure has been upgraded to world-class standards.
But there has been constant bickering between operators over so-called interconnection.
The various players have proved unwilling to allow competitors full access to each others' infrastructure.
The Government will give its verdict on interconnection early next year, Mr Tung said.
He confirmed that Hong Kong Cable Television would be issued a licence to offer telecoms services.