We can’t compete with FM radio, admits DBC as it seeks to return digital licence
Broadcaster cites underdeveloped nature of industry and lack of government support; it is the second digital broadcaster to hand back its licence
Amid growing problems in Hong Kong’s media industry, Digital Broadcasting Corporation is going off-air and has applied to return its licence to the government, citing “unsatisfactory” developments in the digital radio industry. Job losses will total 113.
The broadcaster’s shareholders and board members notified the Commerce and Economic Development Bureau of their decision on Monday morning.
DBC is the second broadcaster to surrender its digital audio broadcasting licence in a year, leaving only two others in the field – Metro Broadcast and government-owned RTHK. Phoenix URadio earlier returned its licence.
DBC boss Loh Chan said the move was not due to immediate financial difficulties, but a lack of prospects in digital broadcasting and government policies that failed to help digital radio reach a wider audience, causing difficulties in attracting advertising.
“After six years we are still facing a lot of difficulties, especially in terms of distribution and a [lack of digital audio] reception in car radios,” he said, describing the situation as “unfair”.