Pacific Century CyberWorks will close its moribund iTV unit in September, ending a four-year experiment with pay-television services begun by the former Hongkong Telecom.
The decision underlines the state of the Hong Kong pay-TV market, with CyberWorks opting to hand its video-on-demand licence back to the Broadcasting Authority.
Only two out of five companies that won pay-TV licences last year have committed to roll out services - Britain's Yes Television and Taiwan's Pacific Digital Media. Television Broadcasts is still trying to secure funding for its venture.
ITV was launched in February 1998 as a pioneering venture offering interactive television services such as video, home shopping and broadband Internet access.
However, it was criticised for unfriendly technology and lack of content and lost the race for subscribers with cable TV operator i-Cable Communications.
A joint venture with the Rupert Murdoch's Star TV was unwound without starting operations after Richard Li Tzar-kai's CyberWorks bought Cable & Wireless HKT in 2000.
ITV has been in 'maintenance mode' since the CyberWorks takeover, with subscribers having fallen to a few thousand from more than 90,000 two years ago.
