But the move is not expected to benefit its bottomline significantly as ad zapping - where local cable operators edit the advertising and resell the time slots to their advertisers - has yet to be resolved.
TVB is expected to begin broadcasts in Guangdong province by the end of September. Its sales and marketing controller KW Leung , however, declined to disclose further details, only saying that its Chinese-language free-to-air channel, Jade, would be the first in. TVB also operates the English-language Pearl channel.
As with ATV, which began broadcasting into Guangdong in July 2002, media specialists held little hope that TVB's entry would result in a new and sizeable revenue stream.
As a result of ad zapping, agencies said TVB and ATV were better of using product placement and title sponsorship, which would be more difficult for the ad zappers to remove. The two channels were widely received in Guangdong well before ATV won landing rights, allowing cable operators to illegally pick up their signals and air the shows as their own.
According to media agencies, ad zapping remains a problem for ATV as only a limited amount of its commercial airtime is protected by Guangdong authorities.
MindShare Hong Kong business director Ralph Szeto said that the large mainland advertisers, who plan to use TVB and ATV in Guangdong, would prefer using product placement and title sponsorship rather than TV commercials because of ad zapping.
TVB signed title sponsorships with property developments Country Garden and Zijing Garden and skin care brand Yingxue last year.
ATV's list of title sponsors included skin care brand Caishi and Qi Ri Xiang, pharmaceutical brand Huiren and Tai Yang Shen, slimming product Dai Yin Xiang and real estate groups.