Cyfra+ drops Polsat, teams up with RTL7
By signing a new deal and canceling another this month, Cyfra+, the digital platform operated by Canal+Cyfrowy, a subsidiary of Canal+Polska, has both expanded and reduced its program content.
On April 21, Cyfra+ gained a new content provider after signing an agreement with RTL7 to transmit its signal. But prior to teaming up with RTL7, Canal+ decided to withdraw Polsat, the country's largest private terrestrial TV station, from its digital platform.
"We did it because we want to have stable and credible partners on the platform and the way Polsat has acted in the last few days contradicted that," said Tomasz Kazmierowski, deputy director general of Canal+Polska/Cyfra+.
Before disappearing from the platform, Polsat claimed that Cyfra+ had been transmitting its signal without its consent. According to the platform's concession granted by the Radio and Television Council (KRRiTV), Cyfra+ needs a station's approval to offer its programming. Canal+, however, claims that Polsat agreed to have its signal available on the Cyfra+ platform. Polsat used to be one of several TV stations courted by Cyfra+ and its competitor, WizjaTV, now owned by United Pan-Europe Communications. Both platforms have traditionally battled for content providers. "We won't say never, though," Kazmierowski said. "If one day the situation gets more stable, Polsat might as well be back."
In the meantime, Canal+ seems to be happy with its new partner. "The situation with Polsat made things happen faster than expected, but we did have talks with RTL7 earlier," Kazmierowski said. "But we are really glad to have RTL7 on the platform at a time when it's improving its programming."
On April 17, RTL7 introduced a new programming format aimed at young Polish families that is based on local productions. The station plans to invest zl. 20 million ($4.9 million) in local production in 2000 and expects to improve its audience share from the current 3% to 7% by the end of this year. "Their declarations were important for our decision," Kazmierowski said.
But at a time when Cyfra+ is trying to expand its programming by adding new content providers, the old ones seem to be having serious trouble sticking to previous agreements. One of Cyfra+'s partners is public broadcaster TVP, whose programming is available on the platform. But the two entities also signed a preliminary agreement last July according to which they were to jointly create thematic channels. TVP was to acquire 50% of Canal+ Cyfrowy, the platform's operator, but the public broadcaster's official owner, the Treasury Ministry, questioned the agreement and prevented the deal from going through. Treasury Minister Emil Wasacz argued that according to the agreement Cyfra+ was to have exclusive rights to TVP's signal, which contradicts the public broadcaster's official mission of unlimited availability. TVP's management took the case to court.
Last week, the regional court dismissed the charge. "Let's not treat the court's decision as final," Kazmierowski said. TVP is thinking about appealing against the ruling. "I can't imagine that we could lose such a partner and we, together with TVP, will do our best to make the cooperation actually happen," he said.
