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John Bitove pitched HDTV Network, a national TV network that would broadcast in high-definition free of charge, to the CRTC on February 12, 2008. He hopes to be on air within a year of getting a broadcast license.
This proposal is unique because it would establish a cross-country TV network with stations in eight markets (Vancouver, Calgary, Edmonton, Winnipeg, Toronto, Ottawa, Montreal, and Halifax), rather than purchasing and bundling existing local stations.
HDTV Network's proposal has received support from Canadian TV producers, but opposition from broadcasters.
The CRTC is skeptical since the network does not have plans to produce local news or programming. Bitove explained that if the network gets into local programming, it would also compete for local advertising revenues, something that would undercut existing local stations. He would be willing to change his business plan to accommodate two hours per week per market of local programming though. Bitove estimates that the HDTV Network would take about 3% of the national advertising pie.
If it receives a licence, the network plans to spend $350 million over seven years on original Canadian films, documentaries and series in HD, as well as video and current affairs submitted by ordinary Canadians (Marketing Daily, 02/13/2008).
The proposed network would also be a cable must-carry on digital and analog, and would retain simultaneous substitution rights. Cable companies who are facing a bandwidth crunch in the transitional period from analog to digital, don't want to be forced to add more must-carries though (Cartt, 02/14/2008).
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