MediaWorks' licence sparks worry

<p>SINGAPORE: SPH MediaWorks' launch of a new free-to-air television </p><p>station has been greeted with mixed views by media buyers. </p><p><BR><BR> </p><p>Media buyers said they are concerned amid reports that MediaWorks is </p><p>still awaiting a broadcasting licence even though Channel U - its </p><p>Chinese language station - is scheduled to launch on May 6 followed by </p><p>the English languageTV Works channel on May 20. In the last few days, </p><p>Reuters reported that MediaWorks could be forced to delay its launch </p><p>because the Singapore Broadcasting Authority (SBA) has yet to issue it </p><p>with the necessary licences. </p><p><BR><BR> </p><p>MediaWorks responded with a statement to the Singapore Stock Exchange </p><p>the next day, stating: "SPH has been working with the SBA on a licence </p><p>for MediaWorks. In the meantime, we will continue to get ready so we can </p><p>launch the channels once MediaWorks gets the licence." </p><p><BR><BR> </p><p>But its statement has not allayed agencies' concerns. Tay Tat Jin, FCB </p><p>Singapore media head, said: "There's no point discussing advertising if </p><p>they don't launch the stations on time. We asked them about the licence </p><p>and we're waiting for them to get back to us." </p><p><BR><BR> </p><p>MediaWorks also faces stiff competition from Singapore's dominant </p><p>broadcaster MediaCorp, which has restructured its ad sales department to </p><p>boost efficiencies. Instead of having sales staff assigned to </p><p>advertisers, they are now assigned to media agencies. </p><p><BR><BR> </p><p>Despite these challenges, MediaWorks appear to have won over some media </p><p>buyers. Malcolm Hanlon, general manager of Zenith Media Singapore, said </p><p>it is worthwhile advertising on the two stations because "everyone will </p><p>be tuning in to see what the new channels are like". </p><p><BR><BR> </p><p>Hanlon said the ad packages are cost efficient and advertisers can pay </p><p>according to a cost per rating point. </p><p><BR><BR> </p>