GLOBAL COMPETITION REVIEW Telecoms and Media...in Singapore’s telecoms industry, choosing Singapore for their regional hubs and thus developing the country into a leading knowledge-based

Telecoms and MediaAn overview of regulation in44 jurisdictions worldwide 2013Contributing editors: Laurent Garzaniti and Natasha Good

Published by Getting the Deal Through

in association with:

Barretto Ferreira, Kujawski e Brancher Sociedade de Advogados (BKBG)Bentsi-Enchill, Letsa & Ankomah

BLP AbogadosCarey

Coelho Ribeiro e AssociadosCoulson Harney Advocates

Debarliev, Dameski & Kelesoska Attorneys at LawDjingov, Gouginski, Kyutchukov & Velichkov

Drew & Napier LLCEdward Nathan Sonnenbergs

Freshfields Bruckhaus Deringer LLPGreenberg Traurig SCJJ Roca & Asociados

Lenz & StaehelinMatheson

MJM Barristers & AttorneysNational Regulatory Agency for Electronic

Communications and Information Technology – MoldovaNikolinakos-Lardas Law Firm

Oentoeng Suria & PartnersSchool of Law, University of the

Thai Chamber of CommerceSeth Dua & Associates

Stikeman Elliott LLPStreamsowers & Köhn

SyCip Salazar Hernandez & GatmaitanTelecommunications Regulatory Authority – Bahrain

The Legal CircleWebb Henderson

Wierzbowski EvershedsWiltshire & Grannis LLP

Wong Jin Nee & TeoYangMing Partners

ZBV Abogados

® GCRGLOBAL COMPETITION REVIEW

Contents

www.gettingthedealthrough.com

®

Telecoms and Media 2013Contributing editors Laurent Garzaniti and Natasha Good Freshfields Bruckhaus Deringer LLP

Business development managers Alan Lee George Ingledew Robyn Horsefield Dan White

Marketing assistants Zosia Demkowicz Megan Friedman Cady Atkinson Robin Synnott

Admin assistants Parween Bains Sophie Hickey

Marketing manager (subscriptions)Rachel Nurse [email protected]

Head of editorial production Adam Myers

Production coordinator Lydia Gerges

Senior production editor Jonathan Cowie

Chief subeditor Jonathan Allen

Production editor John Harris

Senior subeditor Caroline Rawson

Subeditor Tim Beaver

Editor-in-chief Callum Campbell

Publisher Richard Davey

Telecoms and Media 2013 Published by Law Business Research Ltd 87 Lancaster Road London, W11 1QQ, UK Tel: +44 20 7908 1188 Fax: +44 20 7229 6910© Law Business Research Ltd 2013No photocopying: copyright licences do not apply.First published 2000 Fourteenth edition 2013ISSN 1471-0447

The information provided in this publication is general and may not apply in a specific situation. Legal advice should always be sought before taking any legal action based on the information provided. This information is not intended to create, nor does receipt of it constitute, a lawyer–client relationship. The publishers and authors accept no responsibility for any acts or omissions contained herein. Although the information provided is accurate as of March 2013, be advised that this is a developing area.

Printed and distributed by Encompass Print Solutions Tel: 0844 2480 112

LawBusinessResearch

Overview Laurent Garzaniti, Natasha Good and Hein Hobbelen Freshfields Bruckhaus Deringer LLP 3

Acknowledgements for Verifying Content 6

Argentina Pablo Crescimbeni and María Laura Barbosa ZBV Abogados 7

Australia Angus Henderson, Capucine Hague and Tim Quadrio Webb Henderson 16

Austria Bertram Burtscher and Stefan Köck Freshfields Bruckhaus Deringer LLP 30

Bahrain Alexandre Sérot Telecommunications Regulatory Authority – Bahrain 41

Bangladesh Daniah Khandker, Anita Ghazi Rahman, Mohibul Hassan Chowdhury and Sabrina Afroze 49 The Legal Circle

Belgium Laurent Garzaniti, Thomas Janssens, Hein Hobbelen and Anneleen Straetemans 57 Freshfields Bruckhaus Deringer LLP

Bermuda Timothy Frith MJM Barristers & Attorneys 70

Brazil Ricardo Barretto Ferreira and Fabio Ferreira Kujawski 81 Barretto Ferreira, Kujawski e Brancher Sociedade de Advogados (BKBG)

Bulgaria Violetta Kunze and Lilia Kisseva Djingov, Gouginski, Kyutchukov & Velichkov 90

Canada David Elder Stikeman Elliott LLP 101

Chile Alfonso Silva and Eduardo Martin Carey 112

China Mark Parsons, Yang Xun, Victoria White and Longbo Wang Freshfields Bruckhaus Deringer LLP 125

Costa Rica Eduardo Calderón, Luis Ortiz, Esteban Alfaro and Andrea Sittenfeld BLP Abogados 143

Dominican Republic Sharin Pablo de Roca and Yumari Torres JJ Roca & Asociados 148

European Union Laurent Garzaniti, Thomas Janssens, Hein Hobbelen and Alexia Burckett St Laurent 155 Freshfields Bruckhaus Deringer LLP

France Jérôme Philippe and Aude-Charlotte Guyon Freshfields Bruckhaus Deringer LLP 181

Germany Norbert Nolte and Sibylle Gering Freshfields Bruckhaus Deringer LLP 196

Ghana Josiah Kojo Ankomah-Sey and Susan-Barbara Adjorkor Kumapley Bentsi-Enchill, Letsa & Ankomah 207

Greece Dina Th Kouvelou and Nikos Th Nikolinakos Nikolinakos-Lardas Law Firm 215

Hong Kong Mark Parsons, Victoria White and James Chan Freshfields Bruckhaus Deringer 221

India Atul Dua, Rahul Goel and Anu Monga Seth Dua & Associates 239

Indonesia Noor Meurling, Toby Grainger, Dewi Sawitri and Alwin Redfordi Oentoeng Suria & Partners 249

Ireland Helen Kelly and Claire Morgan Matheson 257

Italy Tommaso Salonico and Luca Ulissi Freshfields Bruckhaus Deringer LLP 280

Kenya Richard Harney and Kenneth Njuguna Coulson Harney Advocates 293

Macedonia Dragan Dameski and Elena Miceva Debarliev, Dameski & Kelesoska Attorneys at Law 301

Malaysia Jin Nee Wong and Min Lee Boo Wong Jin Nee & Teo 308

Mexico Bertha Alicia Ordaz Avilés and Octavio Lecona Morales Greenberg Traurig SC 319

Moldova Sergiu Sîtnic National Regulatory Agency for Electronic Communications and Information Technology 328

Netherlands Onno Brouwer, Winfred Knibbeler and Nima Lorjé Freshfields Bruckhaus Deringer LLP 337

New Zealand Malcolm Webb, Edward Willis and Anisa Purbasari Webb Henderson 346

Nigeria Tamuno Atekebo, Otome Okolo and Chukwuyere E Izuogu Streamsowers & Köhn 354

Philippines Rose Marie M King-Dominguez and Ruben P Acebedo II SyCip Salazar Hernandez & Gatmaitan 362

Poland Arwid Mednis and Artur Salbert Wierzbowski Eversheds 370

Portugal Jaime Medeiros and Mónica Oliveira Costa Coelho Ribeiro e Associados 381

Russia Igor Gerber and Andrey Filippenko Freshfields Bruckhaus Deringer LLP 392

Singapore Chong Kin Lim and Charmian Aw Drew & Napier LLC 408

South Africa Zaid Gardner Edward Nathan Sonnenbergs 430

Spain Sergio Miralles Miravet, Alejandro Milá Valle and Carolina Luna Gordo 439 Freshfields Bruckhaus Deringer LLP

Switzerland Marcel Meinhardt, Astrid Waser and Michael Cabalzar Lenz & Staehelin 453

Taiwan Robert C Lee YangMing Partners 462

Thailand Sudharma Yoonaidharma School of Law, University of the Thai Chamber of Commerce 470

United Kingdom Rod Carlton, Mark Sansom and Olivia Hagger Freshfields Bruckhaus Deringer LLP 479

United States John Nakahata, Kent Bressie and Paul Margie Wiltshire & Grannis LLP 497

Quick Reference Tables 507

Singapore Drew & napier LLC

408 Getting the Deal Through – Telecoms and Media 2013

SingaporeChong Kin Lim and Charmian Aw

Drew & Napier LLC

Communications policy

1 Policy

Summarise the regulatory framework for the telecoms and media

sector. What is the policymaking procedure?

Singapore puts significant emphasis on the development and main-tenance of a sophisticated and vibrant telecoms and media industry.

On 23 November 2001, the Singapore government established a unified ministry, the Ministry of Information, Communications and the Arts (MICA), to ensure better policy coordination and consist-ent policy formulation across the converging industries of telecoms, IT and broadcasting. On 1 November 2012, MICA was renamed the Ministry of Communications and Information (MCI), follow-ing a cabinet reshuffle. Both the Info-communications Development Authority of Singapore (IDA) and the Media Development Authority (MDA) have been placed under the direct authority of MCI.

The IDA is the statutory body responsible for the development, promotion and regulation of the info-communications industry. In 1999, the IDA was formed by the merger of the National Computer Board and the Telecommunications Authority of Singapore. The first was the statutory body overseeing the development of IT; the second was the statutory body regulating the telecoms industry. The IDA has therefore assumed responsibility for overseeing the development of both the telecoms and IT sectors.

The MDA is the statutory body responsible for broadcasting and content regulation, irrespective of the transmission medium. The MDA was formed on 1 January 2003 by the merger of the Singapore Broadcasting Authority, the Films and Publications Department and the Singapore Films Commission.

TelecomsThe Singapore telecoms industry was, as of 1 April 2000, fully liberalised to encourage greater competition. The government hopes that, with full liberalisation, global players will increasingly participate in Singapore’s telecoms industry, choosing Singapore for their regional hubs and thus developing the country into a leading knowledge-based economy and telecoms hub for the Asia-Pacific region. Full liberalisation notwithstanding, a telecoms licence is granted at the discretion of the IDA. The government has also formulated an iN2015 (Intelligent Nation 2015) master plan to navigate Singapore’s transition into a global city. Led by the IDA, it is Singapore’s 10-year master plan to realise the potential of info-communications in Singapore.

The IDA, in consultation with MCI, formulates policies for the telecoms industry. Before making any decision on key regulatory and licensing issues, it is common for the IDA to produce policy papers and invite the public or industry to comment on the issues. The IDA also engages the industry in dialogue as part of its consultative policymaking process. When necessary, IDA reconvenes industry working groups to address inter-operator technical and operational issues relating to inter-operator SMS, number portability, directory enquiry and mobile number portability.

MediaThe MDA’s vision is to transform Singapore into a global media city. Shortly after the MDA’s formation, it published its Media 21 blueprint to outline its plans for the industry and various initiatives to nurture home-grown media enterprises and attract foreign direct investment in the media industry. The blueprint covered the full range of media industries, from print, broadcasting, film and publishing to new areas such as digital and online media. In 2009 the MDA launched an updated national blueprint called the Singapore Media Fusion Plan (SMFP), which aims to transform Singapore into a trusted global capital for new Asia media. Among other things, the SMFP aims to capitalise on the opportunities brought about by the digital media revolution and developments in Asia, and provides a framework to enhance the economic contribution of Singapore’s media sector.

In respect of policy formulation, the MDA consults a number of committees in creating and developing its regulatory framework. These include the National Internet Advisory Committee and other programme advisory committees. Their members are drawn from a cross-section of society and the media industry.

Although the telecoms and media sectors have developed con-siderably and rapidly over the past 10 years, content and broad-casting regulation remains separate from infrastructure regulation. Therefore, firms should be mindful that they must comply with both the licensing and regulatory requirements imposed by the MDA for content and broadcasting, and those imposed by the IDA for the establishment and operation of any infrastructure.

2 Convergence

Has the telecoms-specific regulation been amended to take account

of the convergence of telecoms, media and IT? Are there different

legal definitions of ‘telecoms’ and ‘media’?

Yes. MICA (as it was then named) noted that telecommunications systems may be used for purposes other than telecommunications, such as for the provision of broadcasting services. Therefore, at the end of 2011, the Telecommunications Act (Cap 323) (Telecoms Act) was revised to include powers for the IDA, after consultation with the MDA, to give directions to a telecommunications licensee in rela-tion to the provision of any broadcasting service, the operation of which requires a telecommunications system.

Section 72 of the Telecoms Act further states that the Telecoms Act shall not apply to the licensing of any broadcasting service or any broadcasting apparatus that is already subject to regulation under the Broadcasting Act (Cap 28). This makes clear that there remains a distinction between the regulatory frameworks for telecoms and broadcasting, the latter being regulated by the MDA. For example, content regulation remains the responsibility of the MDA.

As mentioned in question 1, both the IDA and the MDA are under the direct authority of MCI. The intention was to ensure that the two regulatory authorities would be better placed to jointly develop

Drew & Napier LLC SiNgapore

www.gettingthedealthrough.com 409

Singapore’s information, communications and media industries in a coordinated and harmonised manner. Although existing telecoms regulation does not yet reflect a complete convergence of telecoms, media and IT, this may change in the future.

‘Telecommunications’ is defined differently from ‘media’. ‘Telecommunications’ is defined very broadly under the Telecoms Act as:

[A] transmission, emission or reception of signs, signals, writing, images, sounds or intelligence of any nature by wire, radio, optical or other electromagnetic systems whether or not such signs, signals, writing, images, sounds or intelligence have been subjected to a rearrangement, computation or other processes by any means in the course of their transmission, emission or reception.

‘Media’ is defined in the Media Development Authority of Singapore Act (Cap 172) (MDA Act) as referring to any film, newspaper, broad-casting service or publication (as defined in the Films Act, Newspaper and Printing Presses Act, Broadcasting Act and Undesirable Publi-cations Act respectively). The minister may further specify in the Gazette any other thing to be included under ‘media’.

This difference in definitions suggests a distinction between the provision of infrastructure and content regulation: the IDA is concerned with the acts of transmission, emission and reception of signs and signals, whereas the MDA is concerned with regulating the content in the above-mentioned forms of media. Where services appear to concern issues of both network infrastructure and broadcasting of content, service providers (eg, internet service providers) require licences from both the IDA and MDA, for infrastructure and content provision, respectively.

Nevertheless, the IDA and MDA do frequently collaborate on projects involving convergent media and technologies. For example, the MDA and IDA have been collaborating on the implementation of Singapore’s upcoming switch to nationwide digital TV. In particular, both regulators recently developed a set of technical specifications for an integrated receiver decoder for use with the second-generation digital terrestrial television broadcasting system, which would allow equipment manufacturers and/or suppliers to bring in compatible devices that would provide good reception of free-to-air digital terrestrial television services.

In March 2012 the Singapore government appointed a Media Convergence Panel to study the issues arising from a converged media environment, and to make recommendations to address the challenges arising therefrom. In November 2012 the panel issued its final report, containing, among others, various recommendations to address the regulatory challenges identified. The panel’s recom-mendations include updating the framework for content regulation (such as in the area of classification ratings) and for media licensing, enhancing the vibrancy of local content, and developing appropriate responses to copyright and digital piracy challenges.

3 Broadcasting sector

Is broadcasting regulated separately from telecoms? If so, how?

The broadcasting sector and content are at present regulated sepa-rately from telecoms in Singapore. The statutory body responsible for broadcasting and content regulation (irrespective of the transmission medium) is the MDA and the primary applicable legislation is the MDA Act and the Broadcasting Act. The telecoms sector is regulated by the IDA under the Telecoms Act and the IDA Act (Cap 137A).

Telecoms regulation − general

4 WTO Basic Telecommunications Agreement

Has your jurisdiction committed to the WTO Basic Telecommunications

Agreement and, if so, with what exceptions?

Singapore is a signatory to the WTO Basic Telecommunications Agreement. Singapore committed to provide for limited competition in wire-based public switched telephony services beginning in 2000, with full competition in 2002. Singapore also committed to open markets for mobile data, cellular telephony, trunk radio services and paging services from April 2000, and to the provision of domestic and international resale of public switched capacity (not including the connection of leased lines to the public network) for most basic services, including voice, data and ISDN. Since the full liberalisation of the telecoms industry on 1 April 2000, Singapore has met and exceeded its WTO commitments in relation to the telecoms sector.

5 Public/private ownership

What proportion of any telecoms operator is owned by the state or

private enterprise?

Singapore Telecommunications Ltd (SingTel) is the incumbent telecoms service provider. Based on shareholder information disclosed in SingTel’s Annual Report 2011/2012, Temasek Holdings (Pte) Ltd, the Singapore government’s private investment arm, holds a direct interest of approximately 54 per cent in SingTel’s issued share capital. The rest of the shares are held by various institutional investors and the public. Temasek Holdings also holds a deemed (indirect) interest of approximately 57 per cent and 20 per cent in the other two largest telecommunications operators, StarHub and M1, respectively (based on information stated in their 2011 annual reports).

6 Foreign ownership

Do foreign ownership restrictions apply to authorisation to provide

telecoms services?

Since 1 April 2000, no direct or indirect foreign equity limits have been applicable to telecoms licences. However, other than in exceptional circumstances, the IDA’s current practice is to issue facilities-based telecoms licences only to companies incorporated in Singapore, which can be wholly owned by a foreign entity. In the case of services-based licences, the IDA would also issue licences to foreign companies with a local registered branch. Merger and acquisition control regulations exist under the Telecom Competition Code 2012 (TCC) (see questions 51, 52 and 54).

7 Fixed, mobile and satellite services

Comparatively, how are fixed, mobile and satellite services regulated?

Under what conditions may public telephone services be provided?

Fixed, mobile and satellite services are regulated by legislation and through licence conditions.

Legislative frameworkThe Telecoms Act is the primary legislation governing the telecoms industry in Singapore. It sets out the broad licensing and regula-tory framework for the telecoms sector. Specific issues are dealt with through regulations, codes of practice, standards of performance, directions and advisory guidelines issued by the IDA, pursuant to its powers under the Telecoms Act.

The Telecoms Act does not make a distinction between fixed, mobile and satellite services per se. This is consistent with the technology-neutral approach that the IDA has taken in regulating the industry. There are, however, licensing and regulatory requirements that are service-specific. For instance, the Telecommunications (Radio-Communications) Regulations (the Radio-Communications



Regulations) regulate the licensing process for radio frequency (RF) spectrum, the use of RF spectrum and the operation of radio stations and networks. This set of regulations is applicable primarily to mobile services.

Other regulations cover specific issues pertaining to fixed, mobile and satellite services. Examples of such regulations are the Telecom-munications (Class Licence) Regulations, the Telecommunications (Dealers) Regulations and the TCC. The TCC regulates competi-tion, interconnection and market access across the entire telecoms industry.

Licensing frameworkAll persons operating and providing telecoms systems and services in Singapore must be licensed under section 5 of the Telecoms Act. The IDA categorises licences for the operation and provision of telecoms systems and services into either facilities-based operations (FBO) or services-based operations (SBO), and where RF is required for the provision of wireless services, additional licensing is required under the Radio-Communications Regulations.

FBO licenceA person intending to deploy telecoms infrastructure (generally taken to refer to any transmission facility) to provide telecoms services to other telecoms licensees or end-users must obtain an FBO licence. The IDA adopts a technology-neutral approach towards the licensing of telecoms infrastructure. The configuration of the systems deployed and the technology platform (wireless or wired) adopted will be left to the choice of the licensee, subject to spectrum and other physical constraints.

An FBO licence is on a higher hierarchical level than an SBO licence. As such, an FBO licensee does not need an SBO licence if it wishes to provide services that on their own would have required an SBO licence. The converse, however, does not apply. An SBO licen-see that wishes to deploy telecoms infrastructure in the provision of telecoms services must apply for an FBO licence. The FBO licence will then replace the SBO licence.

Although the general conditions of an FBO licence are stand-ardised across all FBO licensees, the specific terms and conditions of each individual FBO licensee are dependent on the services that the licensee may provide.

The following are some telecoms systems and services that require an FBO licence:• anyterrestrialtelecomsinfrastructureforthecarriageoftele-

coms or broadcasting traffic (international, local nationwide or selected local geographic broadcast coverage), including but not limited to:

• submarine cables (including the establishment of frontier sta-tions, backhaul and sale of indefeasible rights of use);

• satellite international gateways; and • domestic telecoms networks (including core backbone and

local access networks);• publicswitchedtelephoneservices;• publicswitchedmessageservices;• publicswitchedISDNservices;• leasedcircuitservices;• publicswitcheddataservices;• publicradiocommunicationservices;• publiccellularmobiletelephoneservices(PCMTS);• publicradiopagingservices(PRPS);• publictrunkedradioservices(PTRS);• publicmobiledataservices(PMDS);• publicmobilebroadbandmultimedia services (including3G

mobile communication systems);• publicfixed-wirelessbroadbandmultimediaservices;• terrestrialtelecommunicationnetworkforbroadcastingpurposes

only; and• satelliteuplink/downlinkforbroadcastingpurposes.

SBO licenceSBO licences are granted to operators that do not intend to deploy telecoms infrastructure. Such licensees may instead lease telecoms network elements (such as transmission capacity) from FBO licensees to provide telecoms services, or resell the telecoms services of other telecoms licensees.

SBO services can be individually licensed or class-licensed. Class licensing is a licensing scheme where the standard terms and condi-tions that apply to the category of licences are published in an official gazette for compliance. Operators providing the services within the scope of the class licence will be deemed to have read and agreed to the terms and conditions of the class licence. Generally, operators leasing international transmission capacity to provide telecoms serv-ices will be licensed individually.

The telecoms services that require SBO (individual) licensing include, without limitation:• internationalsimpleresale;• resaleofleasedcircuitservices;• publicinternetaccessservices;• internetexchangeservices;• virtualprivatenetworkservices;• manageddatanetworkservices;• mobilevirtualnetworkoperation;• liveaudiotextservices;• globalmobilepersonalcommunicationsbysatellite(GMPCS)

services;• IPtelephonyservices;• satellitemobiletelephoneordataservices;• mobilecommunicationsonaircraft;• voiceanddataserviceswithmaskingofcalling line identity;

and• prepaidservicesforothertelecomsservices,suchas: • callback and call re-origination services; • internet-based voice and data services; • store-and-retrieve value-added network services; • store-and-forward value-added network services; • international calling card (ICC) services; and • resale of public switched telecoms services.

Telecoms services that require only an SBO (class) licence include, without limitation:• postpaidtelecomservices,suchas: • callback and call re-origination services; • internet-based voice and data services; • resale of public switched telecoms services; • store-and-retrieve value-added network services; • store-and-forward value-added network services; and • ICC services;• audiotextservices;and• publicchainpayphoneservices.

The IDA and MDA have concurrent licensing and regulatory jurisdiction over certain services, for example: audiotext, videotext and teletext services; broadcast data services; value-added network computer online services; and computer online services that are provided by internet content providers and internet service providers. These services are considered licensable broadcasting services and are therefore deemed to be class-licensed under the Broadcasting (Class Licence) Notification. Internet content providers and internet service providers (ISPs) that are class-licensed as such are additionally subject to the Internet Code of Practice issued by the MDA.

Licensing – radio frequencyUnder the Radio-Communications Regulations, RF may be allocated administratively by the IDA or via a grant of a spectrum right. RFs required for the provision of 2G and 3G mobile services, wireless broadband and local multipoint distribution services (LMDS) have



been granted as spectrum rights through an auction process (see questions 20 and 26). RF required for the operation of a satellite is generally allocated administratively or assigned by the IDA as part of the satellite licence (see question 20). The Radio-Communications Regulations also regulate the installation and maintenance of radio communications stations or networks in Singapore.

Provision of publicly available telephone servicesSince 1 April 2000, subject to the IDA’s licensing requirements, any person may apply to the IDA for a licence to provide telecoms services to the public. There are no special conditions imposed by the IDA for such service. A holder of an FBO licence may, however, depending on the scope and requirements of its operations, apply to the IDA to be designated as a public telecoms licensee (PTL) under section 6 of the Telecoms Act. A PTL is accorded certain statutory powers under the Telecoms Act to facilitate the deployment of telecoms infrastructure, including the power to enter state and private property to lay telecoms infrastructure. The IDA will grant such applications only if the FBO licensee has committed to substantial telecoms infrastructure investment and roll-out so as to offer services to a significant proportion of the population within a reasonable time. At present, five licensees have been designated as PTLs (including SingTel, StarHub and StarHub Cable Vision). The IDA also reserves the right to impose basic service obligations on a PTL.

8 Satellite facilities and submarine cables

In addition to the requirements under question 7, do other rules apply

to the establishment and operation of satellite earth station facilities

and the landing of submarine cables?

Establishment of satellite earth station facilitiesWhere an operator wishes to establish and operate satellite earth station facilities to provide telecoms services, in addition to an FBO licence the operator must also obtain a satellite communication station licence from the IDA for the operation and use of the earth station and associated equipment; and necessary approvals for the site and building plans of the earth station from the Urban Redevelopment Authority (URA) and Building and Construction Authority (BCA).

However, if an operator wishes to establish and operate satel-lite earth station facilities to provide broadcasting services only, the operator will not require an FBO licence. Instead, in addition to the satellite communication station licence and URA and BCA approv-als, the operator will have to obtain: • asatelliteuplinkanddownlinklicence,orsatellitedownlinkonly

licence, from the IDA for the transmission or reception of broad-cast signals (annual licence fee payable to the IDA: S$5,000, or S$200, respectively); and

• abroadcastinglicenceissuedbytheMDA(thetypeoflicencetobe issued will depend on the nature of the broadcasting services provided).

A satellite communication station licence is required for the installa-tion and operation of an earth station that includes the use of earth station equipment. Frequency will generally be assigned as part of the grant of this licence. When the licence is granted, a permit is also required to import the equipment into Singapore. The licence is for an initial term of one year, subject to renewal on a yearly basis there-after. In obtaining BCA’s approval, it is possible that other relevant authorities (for example, the Fire Safety and Shelter Department) may be required to endorse parts of the building plan before BCA will give its final approval.

Landing of submarine cablesTo land submarine cables in Singapore, the operator must obtain an FBO licence from the IDA. The operator must also obtain approval from other relevant authorities, including the Singapore Maritime Port Authority, in relation to the allocation of a cable route in

Singapore’s sea corridor. Land use planning approval from URA, BCA or both will be required for connectivity to the nearest road from the beach manhole, and if a party wishes to construct its own cable landing station. Applicants may request the IDA to facilitate its engagements with the other authorities.

9 Universal service obligations and financing

Are there any universal service obligations? How is provision of these

services financed?

Yes, the Telecoms Act provides for the imposition of universal service obligations (USO). Generally, USO are applied only to PTLs (ie, telecoms licensees designated under section 6 of the Telecoms Act by the IDA). For example, SingTel, the incumbent telecoms operator, is required under its licence to provide basic telephone services to any person in Singapore who requests such service. In respect of next-generation access networks in Singapore, with the creation of the next-generation nationwide broadband network (Next Gen NBN), the IDA has imposed USO on both the Next Gen NBN Network Company (NetCo) and Operating Company (OpCo). The NetCo’s USO took effect from 1 January 2013. As part of its USO, the NetCo will have to fulfil all requests to provide its fibre services to all locations in Singapore. Correspondingly, the OpCo must meet all reasonable requests by any operating company or downstream retail service providers (RSPs) for access to a basic set of wholesale services offered under its standard interconnection offer document. Compliance with USO is not financed by a statutorily created fund (such as universal service funds in other jurisdictions) or contributions from industry.

10 Operator exclusivity and limits on licence numbers

Are there any services granted exclusively to one operator or for which

there are only a limited number of licences? If so, how long do such

entitlements last?

With effect from 1 April 2000, the telecoms industry in Singapore has been fully liberalised and is subject to market competition. Although no operator has exclusivity over any telecoms service, for the devel-opment and implementation of the Next Gen NBN in Singapore, the IDA has licensed OpenNet, the Next Gen NBN Network Company (NetCo), as the sole provider and operator of the passive infrastruc-ture of the Next Gen NBN. OpenNet as the Next Gen NBN NetCo is required by the IDA to offer its infrastructure based on a standard interconnection offer document, the terms and conditions of which have been approved by the IDA as fair, competitive and non-discrimi-natory. There is no known expiry date for these entitlements.

11 Structural or functional separation

Is there a legal basis for requiring structural or functional separation

between an operator’s network and service activities? Has structural

or functional separation been introduced or is it being contemplated?

See question 30.

12 Number portability

Is number portability across networks possible? If so, is it obligatory?

Number portability across mobile networks and fixed line services is obligatory. From 1 January 2008, consumers porting their fixed line numbers will also no longer need to pay monthly recurring porting fees. Syniverse Technologies was appointed to operate the centralised number portability database system for seven years, starting with the launch of full mobile number portability in June 2008.



13 Authorisation timescale

Are licences or other authorisations required? How long does the

licensing authority take to grant such licences or authorisations?

All persons operating and providing telecoms systems and services in Singapore must be licensed under section 5 of the Telecoms Act. The IDA categorises licences for the operation and provision of telecoms systems and services into either facilities-based operations (FBO) or services-based operations (SBO) (see question 7). An FBO licence is typically issued within four weeks, an SBO (individual) licence within 14 working days and an SBO (class) licence immediately upon acceptance of a completed online application by the IDA, provided the applicants submit all the necessary information.

14 Licence duration

What is the normal duration of licences?

FBO licences

FBO licences and spectrum rights Licence fee and duration

FBO designated as PTL Initial fee: none

Annual fee: 1% annual gross turnover (AGTO), subject to a minimum of S$250,000 per year

(wef start of licensee’s financial year in 2013:

• S$200,000forfirstS$50millionAGTO;

• 0.8%AGTOfornextS$50milliontoS$100million;

• 1%AGTOforAGTOaboveS$100million)

Licence duration: 20 years, renewable as the IDA thinks fit

Terrestrial telecoms networks for telecoms purposes

Initial fee: none

Annual fee: 1% AGTO, subject to minimum of S$100,000 per year






Public cellular mobile telephone services

Public mobile broadband multimedia services

Public fixed-wireless broadband multimedia services

Owing to limited frequency spectrum, the licence fees and licence duration will be specified together with the approach to award the respective spectrum rights and licences, via a comparative selection exercise and/or an auction exercise

Public radio paging services

Public mobile data services

Public trunked radio services

Initial fee: none

Annual fee: 1% AGTO, subject to minimum of S$1,200 per year






Terrestrial telecoms network for broadcasting purposes only

Satellite uplink/downlink for broadcasting purposes

Initial fee: none

Annual fee: S$5,000

Licence duration: 10 years, renewable every 5 years

SBO licencesAll SBO (individual) licences are valid for five years and renewable every five years. No renewal is required for SBO (class) licences.

15 Fees

What fees are payable for each type of authorisation?

In the course of 2013, the IDA will transition to a new licence fee structure for both FBO and SBO licensees. Licensees will be subject to the current licence fee structure until the commencement of their respective FY2013–2014, whereupon they would be subject to the new licence fee structure. The current and new licence fee structures for FBO licences are outlined in the table in question 14.

The current and new licence fees payable for SBO licences are:

SBO (individual) licence

SBO (individual) Initial fee: none

Annual fee: S$5,000


On 1st effective year:



• 0.4%AGTOforAGTOaboveS$100million

On 2nd and subsequent effective years:



• 0.8%AGTOforAGTOaboveS$100million)

Live audiotext services only S$200 every five years

SBO (class) licence

Resale of public switched telecommunication services, public chain payphone services and store and retrieve value-added network services (without the use of leased circuits)

No registration fee

All other categories of SBO (class) licences

S$200 (one-time payment)

16 Modification and assignment of licence

How may licences be modified? Are licences assignable or able to be

pledged as security for financing purposes?

The IDA may modify the conditions of a telecoms licence granted under section 5 of the Telecoms Act. The procedure to be followed is set out in section 7 of the Telecoms Act, which prescribes that, in the case of a PTL licensee, the IDA first has to give notice to the PTL licensee of the proposed modifications to the licence, including whether compensation is payable. Before finalising any direction to implement the licence modifications, the IDA is also required to give PTL licensees at least 28 days to make written representations on the proposed modifications. Although the Telecoms Act does not set out the procedure to be followed in relation to the modification of non-PTL licences, the IDA has statutory discretion under section 7 to determine the modification procedure of a non-PTL licence without any limitation (subject, of course, to judicial review). Typically, the modification procedure of a non-PTL licence is set out in the relevant licence. Under the terms of their licences, telecoms licence holders may not assign, transfer, deal with or otherwise dispose of the whole or any part of the rights, privileges, duties or obligations under the licence without obtaining the prior written approval of the IDA.

17 Retail tariffs

Are national retail tariffs regulated? If so, which operators’ tariffs are

regulated and how?

The TCC regulates retail tariffs charged by dominant licensees. Dominant licensees must file retail tariffs with the IDA and obtain the



IDA’s prior written approval of the terms on which certain telecoms services (including telecoms services to end-users) are offered. This also applies to the modification of such service offering.

In reviewing retail tariffs filed by a dominant licensee, the IDA will determine whether the proposed terms and conditions are just and reasonable or whether the prices are excessive or inadequate (from a competition perspective). The IDA will determine whether the proposed prices are competitive by benchmarking the prices with a basket of jurisdictions. To determine if the proposed prices are inadequate, the IDA will assess whether the proposed prices are either above average incremental cost or not less than those offered by licensees that provide a comparable service. The IDA will also seek to determine whether the proposed prices, terms and conditions are discriminatory by comparing them to those that the dominant licensee offers in other tariffs for comparable telecoms services. The IDA may also consider other relevant factors. Generally, the IDA will accept or reject a retail tariff within seven working days from the date of filing, and the review period will be shortened to five working days for joint promotional offerings or three working days for standalone promotions. The IDA also has the right to review any retail tariff previously approved to determine if the prices, terms and conditions remain just, reasonable and non-discriminatory.

The IDA exercised its powers to reject a retail tariff when Sing-Tel attempted to raise its local fixed-line telephone charges. Using internationally accepted costing principles, the IDA determined that SingTel had not incurred an overall deficit in the provisioning of basic local telephone services.

Non-dominant licensees are not required to file retail tariffs with the IDA. However, as a matter of practice non-dominant licensees must submit, for notification purposes only, their prices, terms and conditions for telecoms services to the IDA before providing such services. Non-dominant licensees are required under section 3.2.2 of the TCC to make available to end-users the prices, terms and condi-tions for their standard telecoms services or equipment offerings. The IDA nevertheless has the right under the FBO and SBO licences to exercise price regulation and control.

With effect from 1 March 2008, the IDA has stopped regulating the prices for resale of public switched telecommunication services (PSTS). PSTS services include provision of PCMTS and public ISDN services. Licensees who currently provide resale of PSTS include hotels, service apartment providers, office rental companies and com-panies providing payphone services for local and international calls within their premises. From 1 March 2008, these licensees will have the flexibility to set their own prices for the resale of PSTS. Neverthe-less, PSTS resellers must still comply with the IDA’s requirement to disclose the prices, terms and conditions of any telecommunications service prior to providing that service to end-users.

18 Customer terms and conditions

Must customer terms and conditions be filed with, or approved by, the

regulator or other body? Are customer terms and conditions subject to

specific rules?

Retail tariffs filed by dominant licensees for approval with the IDA must include the customer terms and conditions. As a matter of practice, non-dominant licensees are also required to notify the IDA of their customer terms and conditions. Section 3 of the TCC also sets out minimum service requirements and consumer-protection rights that must be embodied in all end-user service agreements. These include provisions relating to minimum quality of service standards, prohibition against charging for unsolicited telecoms services, billing timelines, clarity and the right to dispute charges. The IDA also has the right under the FBO and SBO licences to require licensees to file their schemes of service, including non-price terms and conditions for the provision of services, with the IDA before the launch or announcement of such services.

19 Changes to telecoms law

Are any major changes planned to the telecoms laws?

The two most important pieces of telecoms legislation in Singapore, the Telecoms Act and the TCC, were last revised in 2011 and 2012 respectively. The most recent review of the Telecoms Act concluded at the end of 2011, with the revised Telecoms Act coming into effect on 1 February 2012. Shortly thereafter, the most recent version of the TCC was issued on 9 April 2012, following a review conducted by the IDA to implement the recent revisions to the Telecoms Act. In particular, section 10 of the TCC, which deals with acquisitions and consolidations in the telecoms sector, was substantially revised in order to implement changes in the Telecoms Act (see ‘Update and trends’ for further details).

Telecoms regulation – mobile

20 Radio frequency (RF) requirements

For wireless services, are radio frequency (RF) licences required in

addition to telecoms services authorisations and are they available

on a competitive or non-competitive basis? How are RF licences

allocated? Do RF licences restrict the use of the licensed spectrum?

Any person intending to operate and provide wireless telecoms systems and services (eg, PCMTS or wireless broadband access) will require an FBO licence, a station or network licence for establishing the radio station or network and a spectrum right for the required RF.

A spectrum right is granted according to the Radio-Communica-tions Regulations (last amended in 2011). The Radio-Communica-tions Regulations empower the IDA to grant to any person the right to use RF spectrum for a specified period through any procedure that the IDA may adopt, including a market-based allocation (ie, an auction), tender or allocation for a predetermined fee or a negoti-ated fee. For example, in February 2008 and February 2009, the IDA conducted auctions for PCMTS and 1,800MHz spectrum rights respectively. On 1 April 2011, the IDA further granted one 2x5 MHz lot of 1,800MHz spectrum to M1 following an auction.

RF may also be assigned by the IDA as part of the relevant tele-coms licence. In such event, no additional licence or spectrum right is granted for the required RF, as such RF is allocated administratively rather than through a competitive process such as an auction. Typi-cally, RF that is not subject to market constraints will be allocated administratively and on a fixed annual fee basis.

In addition to the right to use RF, any person seeking to establish a radio station or network must obtain a station or network licence from the IDA issued on a fixed annual fee basis.

A person who uses a radio-communications station in connec-tion with a PCMTS, PRPS, public mobile data system, public trunked radio system, public satellite mobile telephone or data system, or public wireless broadband access system is deemed to have been granted a class licence to establish and operate the station.

21 Radio spectrum

Is there a regulatory framework for the assignment of unused radio

spectrum (refarming)? Do RF licences generally specify the permitted

use of the licensed spectrum or can RF licences for some spectrum

leave the permitted use unrestricted?

Pursuant to its exclusive privilege under the Telecoms Act, the IDA can determine how RF is allocated. The IDA can also make decisions on the assignment of unused radio spectrum. Specifically, the Radio-Communications Regulations give the IDA the right to prepare and publish radio spectrum plans and RF band plans. The Radio Spectrum Master Plan is a document prepared by the IDA pursuant to such statutory right and it serves to inform the industry and interested parties on the allocation and availability of



spectrum, technological trends in the use of spectrum and the IDA’s policy with regard to spectrum allocation and reallocation for public communication networks. The IDA is also empowered under the Radio-Communications Regulations to vary or revoke any radio spectrum plan or RF band plan, in whole or in part.

Regarding permitted use of licensed radio spectrum, the general powers of section 5A(8) of the Telecoms Act and regulation 10(i) of the Radio-Communications Regulations give the IDA the discre-tion to include in the licences a direction to the grantee on its use of the spectrum right. Additionally, the grantee may be restricted in its use of equipment within the allocated RF spectrum. For example, no station fitted in an aircraft shall be operated or used while such aircraft is at rest on land or on water in Singapore, barring certain exceptional circumstances as stated in regulation 36 of the Radio-Communications Regulations.

22 Spectrum trading

Is licensed RF spectrum tradable?

Licensed RF granted under a spectrum right may be traded and shared, subject to the IDA’s prior approval, TCC provisions and any restrictions and conditions specified by the IDA. At present, the IDA has not issued any specific regulations on the trading and sharing of RF, although conditions may be imposed via the licences.

23 Mobile virtual network operator (MVNO) and national roaming traffic

Are any mobile network operators expressly obliged to carry MVNO or

national roaming traffic?

At present, mobile network operators are not expressly obliged to carry MVNO traffic or national roaming traffic.

24 Mobile call termination

Does the originating calling party or the receiving party pay for the

charges to terminate a call on mobile networks? Is call termination

regulated, and, if so, how?

Singapore currently operates a mobile-party-pays charging regime under which the receiving mobile party pays for both incoming and outgoing calls. Therefore, for fixed-to-mobile calls, the fixed-line operator (originating party) is not required to pay call termination charges to the mobile operator (receiving party) as the mobile operator is already compensated for terminating such calls. Call termination when provided as a service by a dominant licensee is regulated under the reference interconnection offer (RIO). Furthermore, origination, transit and termination charges for calls, including calls to mobile networks, are regulated and details of their computation are contained in appendix 1 of the TCC.

25 International mobile roaming

Are wholesale and retail charges for international mobile roaming

regulated?

No, international mobile roaming rates (whether wholesale or retail) charged by local mobile network operators are not formally subject to IDA regulation. However, in 2011, the IDA and the Malaysian Communications and Multimedia Commission (MCMC) announced that they had, working together with mobile operators of both countries, successfully completed bilateral efforts to reduce mobile roaming rates between Singapore and Malaysia. Commencing on 1 May 2011, wholesale inter-operator charges and the retail subscriber charges for Singaporean and Malaysian mobile phone subscribers were reduced so that these subscribers could enjoy price reductions of up to 30 per cent for voice calls and 50 per cent for SMS messages when they use the mobile roaming service provided by all mobile operators in Malaysia and Singapore. Similarly, in June 2012, it was

jointly announced by the Singapore and Brunei governments that the telecoms regulators of Brunei and Singapore would work with mobile operators to reduce roaming rates between the two countries.

26 Next-generation mobile services

Is there any regulation for the roll-out of 3G, 3.5G or 4G mobile

services?

3G mobile servicesAn operator wishing to provide 3G mobile services will require a 3G FBO licence, a 3G spectrum right and a station or network (spec-trum) licence. A 3G spectrum right guarantees the right to use the RF identified in the grant for the purposes of operating 3G systems and providing 3G services. 3G spectrum rights were auctioned in April 2001 and were granted to the three existing mobile network operators: MobileOne (M1), SingTel Mobile and StarHub Mobile. Upon the grant of their 3G spectrum rights, the grantees were accord-ingly issued with 3G FBO licences and station or network (spectrum) licences. No new entrants participated in the 2001 3G spectrum auction.

Pursuant to their licences, 3G FBO licensees were required to complete a nationwide network roll-out of 3G systems and services by 31 December 2004. Each licensee was obliged to provide cover-age for the whole island of Singapore, including but not limited to MRT underground stations, lines and road tunnels, offshore islands and territorial waters up to 15km from the coastline of the island of Singapore.

The IDA indicated in the information memorandum for the 3G Spectrum auction that the licences of existing FBO licensees operating PCMTS networks would be modified to require these licensees to offer new 3G entrants roaming services on their PCMTS networks. The modified licences will require the holders to negotiate appropriate roaming agreements with new 3G entrants. The IDA has indicated that it will intervene where agreement cannot be reached. Any such agreement reached through the IDA’s intervention will expire three years from the date of the agreement, or at the end of the nationwide 3G roll-out period, whichever is earlier. Such roaming agreements may be extended for an additional year subject to the parties agreeing on applicable rates for that year.

The IDA has subsequently held auctions to grant additional spectrum frequency to meet operators’ increased demand for frequency spectrum.

3.5G and 4G mobile servicesThe IDA adopts the same licensing framework for 3.5G mobile services as it does for 3G mobile services (see above).

In respect of 4G mobile services, the IDA is currently closely monitoring developments made by mobile operators, and in its published Radio Spectrum Master Plan (version 2.4, November 2012), the IDA has noted that the following spectrum bands have been identified by the ITU for international mobile telecommunications: (i) 450–470MHz; (ii) 698–960MHz; (iii) 1,710–2,025MHz; (iv) 2,110–2,200MHz; (v) 2,300–2,400MHz; (vi) 2,500–2,690MHz; and (vii) 3,400–3,600MHz.

The IDA has stated that its primary interest is to give flexibility for 4G services to operate within bands (iii), (v) and (vi), while ensuring that such services will not interfere with other services, such as satellite or radar in the adjacent bands. The IDA will also be taking appropriate measures to ensure that there is adequate lead time for existing services to migrate to other alternative modes of reception, should and when the need to do so arises. The IDA commenced a public consultation exercise on 10 April 2012 to gather feedback on a proposed framework



for the reallocation of spectrum for 4G telecommunication systems and services. The areas consulted upon included the spectrum bands and amount of spectrum to be made available, allowable uses for the spectrum, key proposed spectrum right conditions, as well as details relating to the method of allocation such as auction formats. Following the consultation, the IDA issued a decision on 16 January 2013 regarding the Framework for the Reallocation of Spectrum for 4G Telecommunication Systems and Services. The IDA decided to put up a total of 270MHz of spectrum for 4G, comprising 150MHz of spectrum in the 1,800MHz band and 120MHz of spectrum in the 2.5GHz band for auction in the middle of 2013. Successful bidders will be required to provide nationwide coverage within 12 months and coverage for MRT underground stations/lines and road tunnels within 36 months of the commencement of the new spectrum rights. The new spectrum rights for spectrum in the 2.5GHz band will commence on 1 July 2015 while those in the 1,800MHz band will commence on 1 April 2017. To incentivise new entry, the IDA has also decided to set aside 2 x 20MHz of spectrum in the 2.5GHz band for exclusive bidding by operators that do not currently provide nationwide mobile system and service coverage in Singapore.

Telecoms regulation – fixed infrastructure

27 Cable networks

Is ownership of cable networks, in particular by telecoms operators,

restricted?

At the time of writing, there are no such restrictions in Singapore.

28 Local loop

Is there any specific rule regarding access to the local loop or local

loop unbundling? What type of local loop is covered?

Under the TCC, dominant licensees are required to offer unbundled network elements (which include local loop and line-sharing (loop spectrum)) to FBO licensees requesting such elements. Local loops, in the Singapore context, refer to the twisted copper pairs that run from telecom exchange buildings to end-users’ premise (eg, via ADSL). Local loops are typically used for voice telephony services as well as internet access services. The provision of local loops as unbundled network elements includes the provision of sub-loops, line sharing and internal wiring.

By a notice published on 21 January 2011, the IDA designated OpenNet, SingTel and the incumbent cable network operator, StarHub Cable Vision Ltd (SCV), as dominant licensees. By a further notice published on 22 September 2011, the IDA designated CityNet as a dominant licensee.

At the time of writing, an FBO licensee seeking access to SingTel’s local loop may elect to rely on SingTel’s RIO to provide such access. Where local loops or sub-loops are licensed under SingTel’s RIO, SingTel may only reject a request for licensing on the grounds set out in Schedule 3A of SingTel’s RIO, and must provide reasons for its rejection. SCV does not have to comply with similar interconnection provisions (see question 29).

More generally, the TCC includes provisions for infrastructure sharing applicable to FBO licensees only. Infrastructure sharing under the TCC is mandated where the IDA deems specific infrastructure to be critical support infrastructure (CSI). FBO licensees may request infrastructure sharing in accordance with section 7 of the TCC. Section 7 also sets out the criteria under which infrastructure will be deemed as CSI by the IDA.

29 Interconnection and access

How is interconnection regulated? Can the regulator intervene to

resolve disputes between operators? Are wholesale (interconnect)

prices controlled and, if so, how? Are wholesale access services

regulated, and, if so, how?

Regulation of interconnectionInterconnection arrangements between telecoms licensees are governed under the TCC. Section 5.2 of the TCC imposes a duty on telecoms licensees to interconnect.

For interconnection arrangements between non-dominant licensees, the IDA will generally not intervene in the negotiation, implementation or enforcement of such agreements. The IDA only imposes minimum regulatory requirements under sections 5.4 to 5.4.8 of the TCC with which non-dominant licensees must comply in respect of their interconnection arrangements.

Section 6 of the TCC provides a basis for the IDA to intervene in the negotiations for the implementation and enforcement of inter-connection arrangements with a dominant licensee. This is on the basis that a dominant licensee may lack the incentive to enter into interconnection agreements voluntarily on a commercial basis.

The TCC requires a dominant licensee to provide interconnection-related services (IRS) and mandated wholesale services (MWS) to other licensees. A dominant licensee is not otherwise required to offer any telecommunication service on a wholesale basis although, if it chooses to do so, it must offer wholesale access services in accordance with the requirements under the TCC, such as to offer services at prices, terms and conditions that are just, reasonable and non-discriminatory.

IRS consists of: • physicalandlogicalinterconnection;• origination,transitandtermination;• essentialsupportfacilities;• unbundlednetworkelements;and• unbundlednetworkservices.

MWS is defined in section 8.1 of Appendix 2 of the TCC as services that are necessary inputs for the provision of competitive services in Singapore; and sufficiently costly or difficult to provide, in that requiring other licensees to do so would create a significant barrier to the provision of competitive services in Singapore by an efficient licensee.

A qualifying telecoms licensee seeking to obtain IRS or MWS from a dominant licensee may do so:• byacceptingthedominantlicensee’sRIO;• byadoptinganexistingagreementfortheprovisionofIRSand

MWS (as the case may be) that has been entered into between the dominant licensee and any similarly situated licensee; or

• byseekingtonegotiateanindividualinterconnectionagreementwith the dominant licensee. The TCC provides for a comprehen-sive dispute resolution framework to facilitate the negotiation of an individual interconnection agreement.

At least four telecoms operators have been designated as dominant licensees: OpenNet, SingTel, SCV and CityNet (which provides access to ducts, manholes and central offices required by other FBOs in rolling out their network) as dominant licensees under the revised TCC. SingTel’s RIO was last reviewed by the IDA in 2011–2012. The issues that were examined by the IDA during the review included access to co-location space, the removal of number portability services from the RIO, and the provision of transit services. SingTel’s latest revised RIO was approved by the IDA in February 2012 and was deemed effective from 30 January 2012.

SCV has been exempted from interconnection provisions applicable to dominant licensees for technical reasons. However, it continues to comply with other dominant licensee obligations, such as tariff filing. Further, SCV is required by the IDA to provide



cable open access to competing ISPs in a non-discriminatory and transparent manner.

In late 2008, SingTel submitted two exemption requests to the IDA seeking exemption from dominant licensee obligations for: first, the provision of telecommunication services in six individual markets relating to business-related phone and internet offerings; and second, all retail telecommunication services to customers in the business and government customer segment with an annual spending on telecom-munication services of at least S$250,000. After three rounds of pub-lic consultations, the IDA’s final decision (issued on 2 June 2009) was to exempt SingTel from ex ante dominant licensee obligations in the terrestrial international private leased circuit and backhaul markets. Further, on 21 January 2011, the IDA issued a notice exempting SingTel from its dominant licensee obligations in commercial retail international telephone services, residential international telephone services, wholesale international telephone services, international managed data services, international IP transit, leased satellite band-width, very small aperture terminal service, digital video broadcast-IP, satellite TV uplink, satellite TV downlink, satellite international private leased circuit, terrestrial international private leased circuit and backhaul markets.

As the sole provider of passive infrastructure for the Next Gen NBN, OpenNet is subject to structural separation requirements, as well as other obligations to ensure fair competition and market access (see questions 11 and 30). Similar to SingTel, OpenNet must also provide services and infrastructure access based on a standard interconnection offer document approved by the IDA.

Dispute resolutionThe IDA is generally not involved in the day-to-day implementation of interconnection agreements entered into by non-dominant licen-sees. Further, as these agreements are essentially private contracts, the IDA will not resolve disputes arising therefrom. However, a non-dominant licensee may request that the IDA provide an interpreta-tion of the Telecoms Act, any subsidiary legislation, any IDA decision or any provision of the TCC, if pertinent to a dispute. In the event of a dispute in relation to interconnection agreements entered into with a dominant licensee, the following options apply: both parties may request that the IDA provides conciliation (as defined in the TCC); or either party may request that the IDA resolve the dispute pursuant to the dispute resolution procedures under the TCC. The procedures for requesting the IDA to resolve disputes, the process for submitting petitions and responses by the parties in dispute and the standards that the IDA will apply to resolve disputes are specified in the IDA’s Dispute Resolution Guidelines. If the IDA declines to intervene, the licensees may resolve the dispute in any mutually agreeable manner.

Control of wholesale (interconnect) prices and basic interconnect tariffs A dominant licensee must obtain the IDA’s approval for the prices and terms on which it will provide IRS and MWS under its RIO. A dominant licensee also has an obligation to file a tariff with the IDA and to obtain the IDA’s approval of the terms on which certain telecoms services (which include wholesale telecoms service) are provided. Any licensee entitled to obtain IRS or MWS may request the current prices from the IDA. Otherwise, the prices for IRS and MWS are not generally made available to the public. Appendix 1 of the TCC specifies the methodology that a dominant licensee must use to develop the prices for IRS and MWS contained in its RIO. Briefly, the IDA requires the dominant licensee to use long run average incremental costs, which is a common measure for forward-looking economic cost, to compute the prices for most of the IRS that the dominant licensee is obligated to provide.

30 Next-generation access (NGA) networks

How are NGA networks regulated?

To ensure effective open access of the Next Gen NBN infrastructure to downstream operators, the IDA has required structural separa-tion between the NetCo (which builds the underlying passive infra-structure) and the OpCo (which will provide the NGN services). Structural separation will require the NetCo to demonstrate that it is not under the effective control of its downstream operators, such as the OpCo and RSPs, and vice versa. However, the IDA places less stringent separation requirements upon the OpCo, which is only required to be operationally separated from its downstream opera-tors. Under operational separation, the OpCo must be established as a separate legal entity, but it can nevertheless be fully owned by its downstream operating units. At present, NGNs are regulated under existing telecommunications and media legislation, and through con-tractual obligations between the key NGN entities and the IDA. In particular, the IDA has released specific regulations to provide for licensing and regulatory frameworks to regulate the activities of the NetCo and the OpCo.

Creation and licensing of NetCoThe IDA issued an RFP on 11 December 2007 for the creation of the NetCo, the exclusive builder and operator of the passive Next Gen NBN infrastructure in Singapore. From this competitive tender process, the OpenNet consortium was selected. OpenNet comprises Canada-based Axia and three local companies, SingTel, Singapore Press Holdings and SP Telecommunications.

In fulfilment of its contractual obligation under the IDA’s RFP, OpenNet submitted a proposed Interconnection Offer (ICO) to the IDA, setting out the prices, terms and conditions upon which it would provide Next Gen NBN services.

The ICO represents standard terms and conditions upon which the NetCo must offer certain mandated services to telecommunication licensees seeking access to Next Gen NBN infrastructure (NetCo qualifying persons). The ICO comprises two parts: an outline of the procedures by which NetCo qualifying persons are to engage OpenNet and enter into an ICO agreement; and the terms and conditions upon which OpenNet will enter into an ICO agreement with such persons. The NetCo ICO was finalised on 30 October 2009, having undergone public consultation and specific drafting amendments directed by the IDA. In 2011–2012, the IDA conducted a comprehensive review of the NetCo ICO. On 17 July 2012, the NetCo and StarHub Ltd submitted requests to the IDA to reconsider certain directed amendments. The IDA completed its review of OpenNet Pte Ltd and StarHub Ltd’s reconsideration requests, and issued its decision on the reconsideration requests on 5 October 2012.

At the time of writing, the full details of the development of the NetCo ICO can be obtained from www.ida.gov.sg/policies-and-regulations/consultation-papers-and-decisions/completed/Review-of-Interconnection-Offer-for-the-Provision-of-Services-on-the-Next-Generation-Nationwide-Broadband-Network#.UL4CIobhKSo.

In addition, the IDA issued the NetCo Interconnection Code on 25 February 2009. The NetCo Interconnection Code is the regulatory instrument underlying the ICO and it specifies, inter alia, the pricing, terms and conditions for the services offered by the NetCo under the ICO, as well as the obligations placed on both the NetCo and the NetCo qualifying persons. The obligations contained in this code are in addition to those contained in the Telecommunications Act, other statutes, regulations, directions, licences and codes of practice.



Telecoms regulation – internet services

31 Internet services

How are internet services, including voice over the internet,

regulated?

The IDA regulates the provision of internet services as telecoms serv-ices. A telecoms licence is required to establish, install and maintain a public internet access facility or a system to provide such services. The provision of public internet access services requires an SBO (individ-ual) licence. A telecoms licence is also required to establish, install and maintain an internet exchange facility or system for providing high-speed bandwidth connections to the internet backbone. The provision of internet exchange services requires an SBO (individual) licence. The provision of voice over internet protocol (VoIP) is similarly a licensable service and is subject to SBO licensing. In respect of content regulation, internet access providers and internet content providers are class-licensed under an automatic licensing framework embodied in the Broadcasting (Class Licence) Notification and there is no need to obtain prior approval from the MDA. In addition to the conditions of their class licences, these internet access and content providers must observe the Internet Code of Practice issued by the MDA.

32 Internet service provision

Are there limits on an internet service provider’s freedom to control

or prioritise the type or source of data that it delivers? Are there any

other specific regulations or guidelines on net neutrality?

The IDA requires residential fixed broadband internet access service providers to publish, on their websites, information about their respective network management policies (including whether traffic shaping is implemented).

On 16 June 2011, the IDA issued a policy paper which set out five principles representing its approach towards net neutrality that ISPs and telecom network operators are required to adhere to: • noblockingoflegitimateinternetcontentorimposingofdis-

criminatory practices, restrictions, charges or other measures which would effectively render any legitimate internet content inaccessible or unusable;

• theymustcomplywithcompetitionandinterconnectionrulesinthe TCC;

• theymustprovideinformationtransparencyastonetworkman-agement practices and typical internet broadband download speeds;

• theymustmeetminimumbroadbandqualityofservicestandardsprescribed by the IDA; and

• ISPsandtelecomnetworkoperatorsareallowedtooffernicheor differentiated services.

In particular, the IDA recognised that, in order to promote the development of online services, ISPs and network operators must be given the flexibility to offer specialised or customised internet content, applications and services to meet the needs of changing customer demands or niche user groups. At the same time, such flexibility cannot result in discriminatory practices that render legitimate internet content effectively inaccessible or unusable. In this respect, the IDA has indicated in its decision that it intends to deal with any complaints on a case-by-case basis.

33 Financing of basic broadband and NGA networks

Is there a government financial scheme to promote basic broadband

or NGA broadband penetration?

The Singapore government has been keenly promoting the development of basic broadband infrastructure, application and services since the 1990s. Many initiatives have been put in place over the years to promote the establishment of nationwide broadband

networks. More recently, the government has devoted greater efforts to encouraging the roll-out and take-up of NGA broadband services, in particular service offerings over the recently constructed Next Gen NBN. In 2006, the IDA, in conjunction with the Singapore government, launched the 10-year iN2015 master plan to develop the information and communications sector, use technologies to enhance the competitiveness of key economic sectors and build a better-connected society.

In terms of government financial schemes for the promotion of a Next Gen NBN as part of the iN2015 initiative, it was announced in December 2007 that the government would grant up to S$750 million for the development of this high-speed broadband network. This is part of the government’s intention to adopt a public-private partnership approach with regard to the building, ownership and operation of the network. In particular, the government hopes that more small firms will be able to offer online services without being burdened by the cost of building the network. In line with the promo-tion of Next Gen NBN and the iN2015 master plan, the IDA has also spearheaded other broadband initiatives, including the Singapore Internet Exchange (SGIX), which will be a neutral internet exchange for local and international IP traffic. By establishing multiple nodes in different sites in Singapore as its core, the SGIX will play a sig-nificant role in the deployment of services over the Next Gen NBN, allowing for the efficient exchange of traffic, reducing latency and ensuring sustainable, reliable transmission of bandwidth-intensive services to end-users.

To complement the Next Gen NBN, a wireless broadband network has also been deployed in key catchment areas around Singapore: Wireless@SG allows end-users to enjoy indoor and outdoor wireless broadband access in public areas.

Media regulation

34 Ownership restrictions

Is the ownership or control of broadcasters restricted? May foreign

investors participate in broadcasting activities in your jurisdiction?

Ownership controlsThe Broadcasting Act contains ownership and control provisions that apply to broadcasting companies as defined therein. A ‘broad-casting company’ is a Singapore-incorporated company or Singapore branch office that holds a ‘relevant licence’. A relevant licence refers to any free-to-air licence, or any broadcasting licence under which a subscription broadcasting service may be provided, that permits a broadcast capable of being received in 50,000 dwelling houses or more. In addition, the minister may designate any other broadcasting licence as a relevant licence on public interest or national security grounds. A class licence will not be considered a relevant licence.

Under the Broadcasting Act no person may, on or after 2 September 2002, become a 12 per cent controller or an indirect controller of a broadcasting company without first obtaining the approval of the minister. The terms ‘controller’ and ‘indirect controller’ are defined in section 36 of the Broadcasting Act.

Pursuant to section 33(2) of the Broadcasting Act, unless the MDA approves otherwise, the chief executive officer of a broadcast-ing company and at least half of its directors must be citizens of Singapore. A broadcasting company may request to be exempt from this requirement, and exemptions have been made by the MDA.

Notably, the category of niche subscription television licensees has been exempted from all foreign ownership restrictions (see question 41).

Broadcasting licensees that are regulated persons (within the meaning of section 16(3) of the MDA Act) are subject to the provisions on consolidations and mergers in the MDA Act and the Media Market Conduct Code (MMCC) (see questions 51, 52 and 54).



Foreign investorsThere are provisions regulating foreign participation in a broad-casting company. Prior approval of the MDA must be obtained if a person wishes to receive funds from a foreign source to finance any broadcasting service owned or operated by a broadcasting company (section 43(1) of the Broadcasting Act). In addition, no company (unless the minister approves otherwise) is to be granted or permitted to hold a relevant licence (as defined in the Broadcasting Act) if the minister is satisfied that: • anyforeignsource,aloneortogetherwithoneormoreforeign

sources: • holds not less than 49 per cent of the shares in the company

or its holding company; • is in a position to control voting power of not less than 49

per cent in the company or its holding company; or • alloramajorityofthepersonshavingthedirection,control

or management of the company or its holding company are appointed by, or accustomed or under an obligation to act in accordance with the directions of, any foreign source.

35 Cross-ownership

Are there any regulations in relation to the cross-ownership of media

companies, including radio, television and newspapers? Is there any

suggestion of change to regulation of such cross-ownership given the

emergence of ‘new media’ platforms?

No regulations specifically prohibit the cross-ownership of media companies, including radio, television and newspapers. Such merg-ers and acquisitions between media companies are regulated by the MDA. The prior written approval of the MDA is required for all consolidations or mergers between a regulated person (as defined in the MDA Act) and another regulated person, or any other person (not being a regulated person) carrying on business in the media industry (section 23 of the MDA Act). Paragraph 8 of the MMCC details the MDA’s regulation of such consolidation activities. Intra-group consolidations are exempted from the requirement to obtain the MDA’s approval under paragraph 8.2 of the MMCC. At the time of writing, there has not been any suggestion of impending change to regulation of such cross-ownership.

36 Licensing requirements

What are the licensing requirements for broadcasting, including the

fees payable and the timescale for the necessary authorisations?

Under section 5 of the Broadcasting Act, the MDA may grant two types of licences: broadcasting licences and broadcasting apparatus licences.

Broadcasting licencesTo broadcast programmes in Singapore, a person must obtain a broad-casting licence from the MDA. Broadcasting licences may be granted for the following categories of licensable broadcasting services:• free-to-air nationwide, localised and international television

services; • subscriptionnationwide,localisedandinternationaltelevision

services; • nichesubscriptiontelevisionservices;• specialinteresttelevisionservices;• internetprotocoltelevision(IPTV)services;• mobiledigitaltelevisionservices(ie,serviceswhichallowthe

receipt of television programmes on outdoor premises such as foodcourts and public transportation services, for example, buses, taxis and ferries);

• free-to-airnationwide,localisedandinternationalradioservices;• subscription nationwide, localised and international radio

services; • specialinterestradioservices;

• audiotext,videotextandteletextservices;• video-on-demandservices;• broadcastdataservices;and• computeronlineservices.

The fees payable for many of the services listed above (in particular, the free-to-air or subscription television broadcasting services) are not publicly available and are subject to revision. Listed below are the licence fees that have been published by the MDA as payable for the following broadcasting services: • S$5,000perannumforasubscriptioninternationaltelevision

services licence (commonly known as a satellite broadcasting licence). A performance bond of S$50,000 must be given to the MDA by broadcasters not based or registered in Singapore. The performance bond must be issued by a financial institution approved by the MDA;

• aconcessionaryrateof0.5percentoftotalrevenueforthefirstthree years of operation for a nationwide subscription televi-sion licence, and 2.5 per cent of total revenue for the subsequent years, subject to a minimum licence fee of S$50,000 per year throughout. In addition, a performance bond of S$200,000 must be furnished. A nationwide subscription licence is valid for 10 years;

• aconcessionaryrateof0.5percentoftotalrevenueforthefirstthree years of operation for a niche subscription television licence, and 2.5 per cent of total revenue for the subsequent years, subject to a minimum licence fee of S$5,000 per year throughout. In addition, a performance bond of S$50,000 must be furnished. A niche licence is valid for five years; and

• S$1,000peryearforatelevisionreceive-only(TVRO)licence(per satellite dish).

Section 8(2) of the Broadcasting Act provides that a broadcasting licence must be in such a form and for such a period and may contain such terms and conditions as the MDA may determine. The Broadcasting Act sets out certain conditions that licensees must comply with, for example, compliance with the MDA’s codes of practice and certain public service broadcasting obligations. Templates of such licences are not publicly available. The MDA has not indicated publicly how long it will take to process a licence application. Generally, the MDA takes two to eight weeks to process an application, provided that the applicant has submitted all the information required for the MDA’s evaluation purposes. For more complex or novel applications, the MDA may take longer.

In addition to the individual broadcasting licences listed above, there is also a class-licensing regime. The MDA has specified that the following licensable broadcasting services are subject to the class licence regime: • audiotext,videotextandteletextservices;• broadcastdataservices;• VANcomputeronlineservices;and• computeronlineservicesthatareprovidedbyinternetcontent

providers and ISPs.

A company wishing to provide a licensable broadcasting service that is subject to the class licence regime must register with the MDA. In particular, audiotext service providers and ISPs must register with the MDA within 14 days of commencing the service. The MDA will take about one week to process the registration forms. Registration forms for the services subject to the class licence regime are on the MDA’s website.

All class licensees must comply with the licence conditions contained in the Broadcasting (Class Licence) Notification. In addition, internet content providers and ISPs must comply with the Internet Code of Practice (available at www.mda.gov.sg). The yearly fees payable for the services listed below have been published in the Schedule of the Broadcasting (Class Licence) Notification:



• S$2,000fortheprovisionofteletextservices;• S$1,000fortheprovisionofcomputeronlineservicesbyinternet

access service providers; • S$1,000 for the provision of computer online services by

non-localised internet service resellers (with 500 or more user accounts);

• S$100fortheprovisionofcomputeronlineservicesbynon-local-ised internet service resellers (with less than 500 user accounts); and

• S$100(perpremise)forlocalisedinternetservice.

The fees payable for the services not mentioned in the Broadcasting (Class Licence) Notification are not publicly available. If broadcasting infrastructure is to be deployed, a licence (typically an SBO licence) from the IDA may also be required (see question 7).

Broadcasting apparatus licencesTo install, import, sell or operate any broadcasting apparatus in Singapore, a person must obtain a licence from the MDA under section 20 of the Broadcasting Act. This requirement applies to all apparatus currently listed under the First Schedule to the Broadcast-ing Act (ie, broadcast television receiver, broadcast sound receiver, TVRO system). The MDA retains the discretion to exempt any per-son or broadcasting apparatus (or class thereof) from this licence requirement.

37 Foreign programmes and local content requirements

Are there any regulations concerning the broadcasting of foreign-

produced programmes? Do the rules require a minimum amount of

local content? What types of media are outside of this regime?

There are no express regulations concerning the broadcast of foreign programmes, irrespective of media type. Such broadcasts are, how-ever, subject to paragraph 16 of the Schedule of the Broadcasting (Class Licence) Notification that states that an internet content pro-vider licensee shall remove or prohibit the broadcast of the whole or any part of a programme included in its service if the MDA informs the licensee that its broadcast is against the public interest, public order or national harmony, or offends good taste or decency.

There are no explicit rules requiring a minimum amount of local content. However, under section 17 of the Broadcasting Act, the MDA may require a broadcasting licensee to broadcast programmes provided by the MDA or the Singapore government as a condition of its licence, including the following:• programmesforschoolsorothereducationalprogrammes;• newsandinformationprogrammesproducedinSingaporeor

elsewhere; • artsandculturalprogrammes;and• dramaandsportsprogrammesproducedinSingapore.

Further, free-to-air television and subscription television broadcast-ing licensees may be subject to programme codes issued by the MDA containing programming and content guidelines, such as the Free-to-Air TV Programme Code, Subscription TV Programme Code and Content Code for Niche Services (available at www.mda.gov.sg). Generally, programme codes will contain guidelines congruent with national objectives, uphold racial and religious harmony, observe societal and moral standards and promote positive family values. Section 19 of the Broadcasting Act also provides for a must-carry provision (discussed in question 39).

38 Advertising

How is broadcast media advertising regulated? Is online advertising

subject to the same regulation?

At present, stricter content standards are applied to advertisements in public places (in view of their unsolicited viewing) and in mediums that have a wider impact on the general public, such as advertise-ments on TV. The Advertising Standards Authority of Singapore (ASAS) lays down broad industry codes and guidelines. The Singa-pore Code of Advertising Practice (SCAP) is reviewed periodically by ASAS, most recently in 2008. The basic premise of the SCAP is that all advertisements should be legal, decent, honest and truthful. The SCAP applies to all advertisements for any goods, services and facilities appearing in any form or any media, including online adver-tisements in information network services, electronic bulletin boards, online databases and internet services. The SCAP seeks to promote a high standard of ethics in advertising through self-regulation against the background of national and international laws and practices, including the International Code of Advertising Practice published by the International Chamber of Commerce. Alongside the ASAS, the MDA also plays a role in guiding the advertising industry when the need arises. For TV broadcasts, the MDA issues advertising codes to broadcasters, which are stricter than those for the print media due to TV’s wider reach. The MDA has issued Television and Radio Advertising Codes (the Advertising Codes). These aim to protect the interests of viewers as consumers and require advertisements to be truthful, lawful and not to contain any misleading claims. All claims and comparisons must be capable of substantiation. The Advertising Codes require advertisements to respect public taste and interests and uphold moral and social values. The Advertising Codes also stipulate that broadcasters should exercise discretion when schedul-ing advertisements and trailers to ensure that these are appropriate for the viewing audience.

With regard to holders of class licences, paragraph 16 of the Schedule to the Broadcasting (Class Licence) Notification states that a licensee shall remove or prohibit the broadcast of the whole or any part of a programme included in its service if the MDA informs the licensee that its broadcast is against the public interest, public order or national harmony, or offends good taste or decency. In the case of online advertising, internet content providers and ISPs are considered class licensees and must also comply with paragraph 16 of the Schedule to the Broadcasting (Class Licence) Notification. In addition, paragraph 13(a) of the same requires licensees to comply with the MDA’s codes of practice. In this respect, the MDA-issued Internet Code of Practice requires class licensees to use best efforts to ensure that prohibited material is not broadcast over the internet to users in Singapore. Examples of prohibited material include, without limitation, content that endorses ethnic, racial or religious hatred, strife or intolerance, and material that depicts extreme violence. Internet content and service providers must also ensure that these advertisements are in line with the SCAP.

Separately, the Undesirable Publications Act (Cap 338) prevents the importation, distribution or reproduction of undesirable publications. This covers any form of advertising including online advertising.

39 Must-carry obligations

Are there regulations specifying a basic package of programmes that

must be carried by operators’ broadcasting distribution networks?

Is there a mechanism for financing the costs of such obligations?

The Broadcasting Act provides for a must-carry obligation. Under section 19 of the Broadcasting Act, the MDA may require a broad-casting licensee to provide for transmission and reception of any broadcasting service that is provided by any other person or that is specified in its licence (see below for details). Additionally, must-carry obligations are imposed on all nationwide subscription TV licensees



to allow their subscribers to access all local free-to-air channels on their network.

Paragraphs 2.1.5 and 2.7 of the MMCC impose a mandatory obligation upon all licensed subscription television service providers who acquire exclusive broadcasting rights to any channel or programming content (supplying licensee) to provide such channels or content for cross-carriage on the pay-TV network of other subscription nationwide television service providers, who are in turn obliged to carry such channels and content on all relevant platforms (as defined in paragraph 2.3(ea) of the MMCC) in their entirety, without any alteration or degradation in quality. A relevant platform means a managed network over or using any (or any combination of) hybrid fibre coaxial, optical fibre or asymmetric digital subscriber line. Supplying licensees may stand to benefit from an increased subscriber base, as the MMCC requires that any consumer accessing such cross-carried content shall, for billing and operational purposes, also be considered a subscriber of the supplying licensee. The mandatory cross-carriage obligation applies to all exclusive channel and content arrangements signed or renewed on or after 12 March 2010. Under paragraph 2.4 of the MMCC, free-to-air television and radio licensees (and any other person as the MDA may direct) must comply with the MDA’s requirements regarding the broadcast of events that are of national significance. The MDA will provide written notification to free-to-air television and radio licensees regarding the events of national significance that they are to broadcast. The MDA will generally designate only very select events as events of national significance that are to be broadcast live or delayed.

The following events are currently identified in the MMCC as being events of national significance: • NationalDayparade;• NationalDayrally;• theprimeminister’sNationalDaymessage;• parliamentaryproceedings, including thebudget speechand

debate; • generalelection,by-electionandpresidentialelection;and• statefunerals.

The MDA may specify additional events or remove existing ones.If it is not desirable for more than one entity to locate cameras

and other equipment at the site of such an event, the MDA may select a broadcaster to be the sole broadcaster for the event (the lead broadcaster), or conduct a competitive tender for the position. The lead broadcaster must make the feed from the event available to all free-to-air television and radio licensees and any other person that the MDA specifies.

Any television or radio licensee that receives the feed from the lead broadcaster has an obligation to compensate the lead broad-caster for reasonable costs that are not otherwise compensated (eg, through government subsidies) incurred by the lead broadcaster in providing the television or radio licensee with the feed.

40 Changes to the broadcasting laws

Are there any changes planned to the broadcasting laws? In particular,

do the regulations relating to traditional broadcast activities also apply

to broadcasting to mobile devices or are there specific rules for those

services?

On 12 March 2010, the MDA issued a revised MMCC, with the most important amendment being the incorporation of an additional public interest obligation to enable mandatory cross-carriage of exclusive content in the pay-TV market. Other amendments in the MMCC 2010 included a new provision to prevent an enterprise from leveraging its dominance (or the dominance of its affiliate) from one media market to another; and the expansion of the obligation on dominant persons to provide advertising capacity to other media companies, which now include smaller media players, to promote their media services on reasonable and non-discriminatory prices, terms and conditions.

Effective from 1 July 2011 further amendments were made to the MMCC in relation to the implementation of the cross-carriage measure. These amendments included:• imposingadditionaldutiesonsupplyingqualifiedlicenseesin

relation to the supply of any qualified content to receiving quali-fied licensees (RQLs);

• imposinganexpressdutyonRQLstoensurethattheydonot,inreceiving and transmitting qualified content, violate or infringe any intellectual property rights; and

• empoweringtheMDAtoobtainstatutorydeclarationsasneces-sary from key appointment holders of pay-TV retailers.

The MDA also issued clarifications on the then-existing provisions in the MMCC as follows:• ‘qualified content’ includespackaged channelsor individual

pieces of programming content (whether delivered through linear transmission or non-linear basis) where certain triggers are fulfilled. However, value-added services which do not alter the underlying nature of the programming content lie beyond the scope of the cross-carriage measure; and

• ‘relevantplatform’referstoamanagednetworkoverorusingany one or any combination of hybrid fibre-coaxial, optical fibre and asymmetrical digital subscriber line.

In January 2008, the MDA completed a public consultation on its proposed policy and regulatory framework for mobile broadcasting services in Singapore. On 14 April 2011, the MDA issued its decision in relation to the framework for regulating mobile broadcasting serv-ices. Accordingly, every cellular mobile TV service provider will need to obtain an individual broadcasting service licence before transmit-ting TV services. Previously, such providers were only required to obtain a Broadcasting (Class) Licence.

The MDA maintains its existing two-tier licensing framework (nationwide and niche licensing) in respect of the regulation of mobile TV service (MTVS) operators and cellular mobile operators that wish to provide content services on their cellular network. How-ever, the MDA has refined the criteria defining a niche service. In order to be classified as providing niche services, a service provider would have to satisfy the following criteria: • anysinglechannelofferedbytheserviceprovidermusthavea

daily reach of no more than 100,000 unique viewers; or • theserviceprovideranditsrelatedcorporationsmusthavea

daily reach of no more than 250,000 unique viewers.

Further, the revised threshold criteria will apply across all related corporations (defined in section 6 of the Companies Act (Cap 50) as all affiliates and related subsidiaries belonging to the same parent company). This means that a service provider will not qualify for a niche subscription TV licence if, at the time of application for such licence, any of its related corporations holds a nationwide TV licence, or if the combined reach of all its related corporations exceeds 250,000 unique viewers. Previously, a niche service referred to a service where the service operator targets no more than 100,000 subscribers.

MTVS and cellular mobile TV service licensees will be exempt from paying licence fees for the first five years of the service, in an initiative by the MDA to promote the growth of mobile TV services.

The MDA is currently in the process of drafting a licensing framework for multiplex licences. The MDA has proposed that multiplex licences be issued for a duration of 10 years, with renewal of the licence contingent upon the licensee’s compliance with the licence conditions. It is proposed that a competitive tender will be implemented to select MTVS multiplex licensees, and up to four MTVS multiplex licences issued to give access to two 8MHz channels at UHF and two 1.7MHz channels at VHF.



41 Regulation of new media content

Is new media content and its delivery regulated differently from

traditional broadcast media? How?

The MDA adopts a flexible two-tier licensing framework for the provision of IPTV services in Singapore: nationwide subscription TV licence and niche subscription TV licence (niche licence). The niche licence is a new type of licence designed to facilitate the growth of IPTV and other novel services in Singapore by offering operators greater flexibility to roll out services for different market segments, with less onerous regulatory obligations. In particular, the niche licence does not impose any ownership or must-carry obligations on the licensee. Niche licence holders are restricted to transmitting any single channel to up to 100,000 unique viewers in Singapore and transmitting to up to 250,000 unique viewers (including transmis-sion by its related corporations). Such licensees will also be subject to the usual advertising time limits for scheduled programming and programme content codes for subscription and VOD programmes.

The other licence category is the nationwide subscription TV licence, which applies to operators targeting the mass market (ie, more than 100,000 subscribers). The first nationwide IPTV licence was awarded to SingNet Pte Ltd in January 2007 for the provision of SingTel’s mioTV service.

Licence applicants are free to decide which licence tier they wish to operate under. Importantly, trial licences are also available for the provision of IPTV services (temporary subscription TV licence). This allows applicants to conduct marketing or technical trials prior to the commercial launch of their service. Key licence conditions include licence period of six months, licence fee of S$2,500, and no perform-ance bond is required.

The MDA has stated that it will not limit the number of niche licence holders, and it welcomes local and overseas IPTV service providers to establish their presence in Singapore. Below is a brief summary highlighting the key conditions and differences between the niche licence and nationwide subscription TV licence:

Niche subscription TV licence Nationwide subscription TV licence

Licence duration 5 years 10 years

Number of subscribers

• Dailyreachofanysinglechannel reaches up to 100,000uniqueviewers;or

• dailyreachofbroadcasterreaches up to 250,000 unique viewers.

This threshold applies to related corporations.

No limit to the number of subscribers in Singapore

Licence fee 2.5% of total revenue. A minimum licence fee of S$5,000 per annum will be applicable throughout.

New service licensees may enjoy a concessionary rate of 0.5% of total revenue or S$5,000, whichever is the higher amount in the first three years of the licence duration.

2.5% of total revenue. A minimum licence fee of S$50,000 per annum will be applicable throughout.

New service licensees may enjoy a concessionary rate of 0.5% of total revenue or S$50,000, whichever is the higher amount in the first three years of the licence duration.

Performance bond

S$50,000, in the form of either banker’s guarantee or cash.

S$200,000, in the form of either banker’s guarantee or cash.

Ownership No ownership conditions Subject to the ownership conditions as stipulated in part X of the Broadcasting Act.

Must carry No must-carry obligations Must-carry obligations for enabling access to local free-to-air channels are applicable for subscribers.

Advertising revenue

No cap on advertising revenue Advertising revenue not to exceed 25% of total revenue.

Niche subscription TV licence Nationwide subscription TV licence

Advertising time limit

14 mins per hour advertising time limit applies for channels with scheduled programming. The 14 mins advertising time limit is not applicable for VOD content and interactive advertising services.

Content guidelines

Subscription TV programme code applies if scheduled programmes are offered, while VOD programme code applies if on-demand programmes are offered.

42 Digital switchover

When is the switchover from analogue to digital broadcasting required

or when did it occur? How will radio frequencies freed up by the

switchover be reallocated?

In June 2012, the MDA announced that all free-to-air channels will be transmitted digitally by the end of 2013 using the DVB-T2 (digital video broadcasting – second generation terrestrial) broadcasting standard. In this regard, the MDA has announced that nationwide free-to-air broadcaster MediaCorp will transmit all its seven free-to-air channels digitally by December 2013. To ensure a smooth switchover, there will be a simulcast period, during which all free-to-air channels will be broadcast in digital and analogue, from December 2013 until the switchover is fully completed. The MDA intends for the switchover to be fully completed by 2020, in line with ASEAN’s committed timeframe. In its most recent Radio Spectrum Master Plan (rev 2.4, November 2012), the IDA has noted that the introduction of digital broadcasting provides an opportunity for the IDA to review the current use of broadcast spectrum, and that the IDA is coordinating with neighbouring countries to re-plan the VHF and UHF bands for digital broadcasting services and possible new wireless services.

43 Digital formats

Does regulation restrict how broadcasters can use their spectrum

(multichannelling, high definition, data services)?

The IDA’s Spectrum Management Handbook (rev 2.2, May 2012) explains that planning and channelling of the broadcasting spectrum is carried out at the international level (ITU), regional level (Asia-Pacific Broadcasting Union, ABU) and bilateral levels (ie, border coordination with neighbouring countries). As such, there are only a certain number of channels in each broadcasting allocation that can be used in Singapore. The usage plans for broadcasting services had already been established. With the advent of digital broadcasting, the IDA had also planned the spectrum allocations for both digital audio and digital video broadcasting. To provide broadcasting services, a licence is required from the MDA. Clearance on the broadcasting transmission station falls under the purview of the IDA.

As stated in the IDA’s Radio Spectrum Master Plan, the allocation of broadcasting spectrum is as follows:

Service Band (MHz) Channel bandwidth

Status

MW (medium wave) 0.5265–1.6065 10kHz Not assigned

SW (short wave) 5.95–21.85 10kHz Usage subject to coordination by ABU

FM (frequency modulation) 88–108 180 or 300kHz Mostly assigned

TV (television) 174–230

494–790

7MHz

8MHz

Fully assigned

Mostly assigned

DAB (digital audio broadcasting)

174–230

1452–1492

1.536MHz

1.536MHz

Not assigned

Not assigned

DVB (digital video broadcasting)

494–790 8MHz Mostly assigned

DBS (direct broadcasting satellite)

11700–12200 27MHz Not assigned



Regulatory agencies

44 Regulatory agencies

Which body or bodies regulate the communications sector? Is the

telecoms regulator separate from the broadcasting regulator?

The IDA is primarily responsible for the development and regulation of telecoms, IT and the postal service, while the MDA is responsible for media industry development, broadcasting and content regula-tion, irrespective of transmission medium.

45 Establishment of regulatory agencies

How is each regulator established and to what extent is it independent

of network operators, service providers and government?

The IDA is a statutory body established under the Info-communications Development Authority of Singapore Act; the MDA is a statutory body, established under the Media Development Authority of Singapore Act. By definition, these statutory bodies are bodies corporate with perpetual succession, capable of suing and being sued in their corporate names, having the power to perform acts that bodies corporate may by law perform, and also exercising and performing such other powers and functions as are conferred by the relevant acts establishing these bodies. The IDA and MDA are independent of network operators and service providers, and are independent of government-linked corporations concerned with such entities. As statutory bodies, the IDA and MDA are also structurally independent of the government, although their members consist of persons appointed by the minister.

46 Appeal procedure

How can decisions of the regulators be challenged and on what

bases?

Under section 69 of the Telecoms Act, any telecoms licensee aggrieved by an IDA decision or direction, or anything in any code of practice or standard of performance, may request the IDA to reconsider the matter or appeal to the minister, whose decision is final. Where a reconsideration request and an appeal have been simultaneously filed, the IDA will reconsider the matter and the appeal to the minis-ter will be withdrawn. The minister may confirm, vary or reverse the decision of the IDA. Under section 27 of the MDA Act, any licensee aggrieved by any decision of the MDA, or anything contained in any code of practice or any direction of the MDA, may appeal to the minister, whose decision is final. The minister can confirm, vary or reverse the decision of the MDA. A licensee that has exhausted the appeal process to the minister may seek judicial review of the decision in the courts.

Data retention, interception and use

47 Interception and data protection

Do any special rules require operators to assist government in certain

conditions to intercept telecommunications messages? Explain the

interaction between interception and data protection and privacy laws.

In general, the Telecoms Act provides that the minister may, on the occurrence of any public emergency, in the public interest or in the interests of public security, national defence or relations with the government of another country, and after consultation with the IDA, direct a licensee to stop, delay or censor messages as the minister considers requisite, expedient or necessary.

Similarly, FBO and SBO licences issued by the IDA will ordinarily contain provisions to the effect that the licensee shall, where required by the IDA, participate in any emergency activity or preparation thereof in collaboration with other relevant agencies, organisations and government ministries and departments, in accordance with the written law. For example, the Kidnapping Act empowers the public

prosecutor to authorise any police officer to, inter alia, intercept any message transmitted or received by telecoms. In addition, the Official Secrets Act provides that any person owning or controlling any telecoms system used for sending or receiving messages to or from any place out of Singapore may be required to produce originals and transcripts of such messages as the minister may request.

On 15 October 2012, the Singapore parliament passed the Personal Data Protection Act 2012 (PDPA). The PDPA is intended to set a baseline standard of data protection for all private sector organisations in Singapore. As part of the phased implementation of the PDPA, the first of the PDPA’s provisions came into effect on 2 January 2013. These mainly include provisions that set out the scope and interpretation of the PDPA, provide for the establishment of the Personal Data Protection Commission (PDPC) to administer and enforce the PDPA, provide for the establishment of Do Not Call Registers by the PDPC, and other general provisions. The substantive data protection rules in the PDPA are only expected to come into effect after a transition period of about 18 months, around mid-2014. During this transition period, there remains no overarching data protection or privacy law in effect, and regulation of data protection continues to be sector-specific and on a piecemeal basis. In any event, the PDPA is not intended to override existing sector-specific data protection frameworks even after it has been fully implemented. To the extent of any inconsistency, the provisions of other written laws will prevail. In addition, the PDPA’s provisions on data protection do not affect any obligation imposed by or under law (except for contractual obligations), which may include regulatory obligations imposed under other written laws. (Please refer to ‘Update and trends’.)

At present, there exists a patchwork of other statutes governing data protection or privacy issues such as the Official Secrets Act, the Electronic Transactions Act, the Central Provident Fund Act and the Banking Act, to name a few examples. Therefore, any interaction between interception and data protection and privacy laws is on an ad hoc manner, taking into account all of the relevant provisions in the applicable statutes. For example, in the telecoms sector the TCC protects the use of end-user service information (EUSI), and requires licensees to obtain the end-user’s consent before such information is disclosed or used (sub-section 3.2.6.2 of the TCC). However, the TCC also states that EUSI can be disclosed to provide assistance to law enforcement agencies.

48 Data retention and disclosure obligations

What are the obligations for operators and service providers to retain

customer data? What are the corresponding disclosure obligations?

Will they be compensated for their efforts?

Under the IDA’s SBO guidelines, SBO licensees that provide the following services will need to maintain a register of their subscribers, including information on the name, address and nationality of the subscriber: IP telephony services; satellite mobile telephone and data services; mobile virtual network operation; and voice and data services with masking of calling line identity. Depending on the services offered (eg, prepaid PCMTS and resale of leased circuit services), the IDA usually requires FBO licensees to maintain a similar register for a prescribed period (typically, six calendar months) after termination of service. To our knowledge, there is no established practice of compensating operators and service providers for data retention. In addition, the TCC contains regulations imposing a duty on operators and service providers to take reasonable measures to prevent the unauthorised use of EUSI. A licensee may use EUSI only for the following purposes: • planning,provisioningandbillingforanytelecommunication

services or equipment provided by the service provider; • managingbaddebtandpreventingfraud;• facilitatinginterconnectionandinter-operabilitybetweenservice

providers; and • providingassistancetogovernmentagencies.



In particular, EUSI can be disclosed so as to provide assistance to law enforcement, judicial or other government agencies, and there is no restriction stipulated in the TCC that restricts the government’s use of disclosed EUSI. An end-user is presumed to have withheld consent from the service provider to use his or her EUSI for any purpose other than that stated above.

In practice, operators and service providers may keep customer data for many reasons, including for the purpose of answering customer complaints and avoiding service interruption in the event that the operator or service provider intends to terminate a service or discontinue operations. In addition, such data must be kept to meet obligations under the TCC on the termination of services and discontinuance of operations and the IDA’s quality of service standards in relation to customer complaint reporting or service transitioning.

The PDPA does not include a general requirement for organisations to retain personal data for any particular period of time. In relation to disclosure of personal data, organisations may disclose personal data of an individual under the PDPA with the individual’s consent or without such consent in various situations that are prescribed in the PDPA. For example, an organisation may disclose personal data if the disclosure is necessary to respond to an emergency that threatens the life, health or safety of any individual, if the disclosure is necessary for any investigation or legal proceedings or if the disclosure is to an officer of a prescribed law enforcement agency.

49 Unsolicited communications

Does regulation prohibit unsolicited communications? Are there

exceptions to the prohibition?

The Spam Control Act (Cap 311A) prohibits the sending of unsolicited e-mails and text messages. Such communications are considered spam when they are commercial in nature, unsolicited by the recipient, sent in bulk and possess a link to Singapore. Senders of spam will not be penalised if the message contains a valid ‘unsubscribe’ facility and the communication fulfils the labelling requirements as specified in the Second Schedule (Requirements for Unsolicited Commercial Electronic Messages) (ie, the communication must be prefixed <ADV> in the subject header and state the senders’ identity).

The law on spam is intended to balance the interests of businesses seeking to advertise legitimately via such methods and the wish of users not to be deluged by unwanted e-mail. To achieve this balance, the Spam Control Act prescribes a statutory exception, namely when the unsolicited commercial electronic message is sent, caused to be sent or authorised to be sent by mistake, ‘mistake’ being defined in the Spam Control Act to mean a reasonable mistake of fact. This refers only to a mistake as to the person the spam was being sent to, and not as to the law regarding spam. Also, the sender can remove the ‘unsolicited’ element in the communications by seeking the express consent of the recipients of the communication prior to sending it.

Other than the Spam Control Act, there is also legislation prohibiting e-mail fraud, the sending of false or misleading advertising or product claims, or communication that contains pornography.

In addition, the PDPA also provides for a national Do Not Call (DNC) Registry to be established in Singapore, which is designed to prevent unsolicited telemarketing calls and messages. While the PDPA has been formally enacted, most of the DNC registry provisions have yet to come into operation. Under the phased implementation of the PDPA, it is expected that these provisions will come into operation after a transition period of about 12 months, in early 2014. When they come into effect, organisations will be prohibited from sending certain marketing messages to Singapore telephone numbers that are registered with the DNC Registry unless they have obtained the consent of the user or subscriber of the telephone number to the sending of such messages to that telephone number. It is currently envisaged that there will be three DNC Registers, one for each of voice messages, text messages (including SMS and MMS) and fax messages. Subscribers will be able to register their telephone numbers

on one or more of these DNC registers if they do not wish to receive marketing messages of the respective type. Organisations that intend to send marketing messages would need to regularly check the relevant register to ensure that the recipient telephone number is not registered (please refer to ‘Update and trends’).

Competition and merger control

50 Competition and telecoms and broadcasting regulation

What is the scope of the general competition authority and the

sectoral regulators in the telecoms, broadcasting and new media

sectors? Are there mechanisms to avoid conflicting jurisdiction? Is

there a specific mechanism to ensure the consistent application of

competition and sectoral regulation? Are there special rules for this

sector and how do competition regulators handle the interaction of old

and new media?

The telecoms and media sectors have been explicitly carved out of the general Competition Act (Cap 50B). Accordingly, the Competition Commission of Singapore does not have jurisdiction over competi-tion issues which fall under the purview of the MDA or the IDA.

The IDA has issued the TCC 2012, which regulates competition in the provision of telecoms services, with the IDA as the sector-specific competition regulator. Section 10 of the TCC (relating to consolidations and merger control) was substantially revised and a new section 10 of the TCC was issued as part of the TCC 2012 issued on 9 April 2012. The revised section 10 of the TCC implements several amendments that were made to part VA of the Telecoms Act at the end of 2011, which sets out the merger review framework for the telecoms sector.

Likewise, the MDA has issued the MMCC, which provides for market conduct and competition rules applicable to the media industry only, with the MDA as the sector-specific competition regulator.

Although there is currently no specific mechanism under national law to avoid conflicting exercises of jurisdiction by the IDA and MDA (especially in an increasingly convergent environment), the IDA and MDA are statutory bodies that fall under the purview of the same supervising ministry (ie, MCI), and can be expected to consult with each other to ensure that their policies and the implementation thereof are not inconsistent.

In this regard, both the TCC and the MMCC contain similar provisions that the IDA and the MDA (respectively) will consult with other regulatory authorities, where feasible and appropriate, to develop a consistent regulatory policy that promotes fair and effective competition and serves the public interest.

51 Competition law in the telecoms and broadcasting sectors

Are anti-competitive practices in these sectors controlled by regulation

or general competition law? Which regulator controls these practices?

As mentioned in question 50, general competition law is governed under the Competition Act, which contains provisions on anti-competitive behaviour. However, the Competition Act is for general application and does not apply to the telecoms and media sectors, where sector-specific regulation exists.

In the telecoms sector, the TCC contains provisions governing anti-competitive practices and the IDA is the competition regulator that enforces the TCC. The TCC does not create any private right of action. Therefore, a telecoms licensee or end-user that has been harmed by the anti-competitive acts of a telecoms licensee must ask the IDA to take action. The TCC also specifically empowers the IDA to commence enforcement actions on its own initiative.

The provisions of the TCC apply to FBO licensees, SBO licen-sees and telecoms equipment dealer licensees, although to varying degrees, in recognition of the fact that certain licensees are subject to market forces, whereas others are not by virtue of the extent of their control over the market. The TCC regulates competition by:



• prohibitingtheabuseofadominantpositionandunfairmethodsof competition (section 8);

• prohibitingagreementsbetweentelecomslicenseesthatunrea-sonably restrict competition (section 9); and

• regulatingM&Atransactionsinvolvingentitiesthathavebeendeclared ‘designated telecommunication licensees’, ‘designated business trusts’ or ‘designated trusts’ under the Telecoms Act (section 10).

The IDA, as the competition regulator for the telecoms sector, can bring the following enforcement actions against a telecoms licensee: • interimdirectionsanddirectionstoceaseanddesist;• warnings;• directionstotakespecificremedialactions;• financialpenaltiesofuptothehigherofS$1millionor10per

cent of the annual turnover of its licensed business; and• inseriouscases,suspensionorcancellationofthelicence.

For the broadcasting sector, the MDA Act and the MMCC contain competition provisions. As with the TCC, the MMCC does not create any private right of action. Therefore a broadcasting licensee that has been harmed by the anti-competitive acts of another will have no private remedy (such as an action for damages) against that licensee. However, a person or entity may make a private request for the MDA to take enforcement action. In the event of a breach of the MMCC, the MDA will take regulatory enforcement action (similar to the enforcement actions in the TCC) against the offending broadcasting licensee. Briefly, the MMCC regulates competition by: • imposingpublic interestobligationson licensees (section2),

including a cross-carriage requirement for exclusively held content;

• prohibitingunfairmethodsofcompetition(section4);• imposingspecialdutiesandobligationsondominantlicensees

(sections 5 and 6);• prohibiting agreements that restrict or distort competition

(section 7); • regulatingM&Atransactionsinvolvingbroadcastinglicensees,

ancillary media services providers and newspaper companies (section 8); and

• ensuringaccesstoessentialresources(section9).

52 Jurisdictional thresholds for review

What are the jurisdictional thresholds and substantive tests for

regulatory or competition law review of telecoms sector mergers,

acquisitions and joint ventures? Do these differ for transactions in the

broadcasting and new media sector?

Thresholds: telecomsTelecoms transactions are governed by the Telecoms Act and the TCC. Part VA of the Telecoms Act sets out the provisions relating to merger control of designated telecommunications licensees (DTLs), designated business trusts (DBTs) and designated trusts (DTs). As notified in the Gazette, the current DTLs are: all FBO licensees, PacNet Internet (S) Pte Ltd, SingNet Pte Ltd, StarHub Online Pte Ltd, and Syniverse Technologies (Singapore) Pte Ltd. In addition, as notified in the Gazette, NetLink Trust has been designated as a DBT. At the time of writing, the IDA has yet to publicly designate any DTs.

Under the Telecoms Act:• theIDAmustbenotifiedwithinsevendaysintheeventthatany

person, whether by a series of transactions over a period of time or otherwise, is in a position to control 5 per cent or more but less than 12 per cent of the voting power in a DTL, DBT or DT, or holds 5 per cent or more but less than 12 per cent of:

• the total number of voting shares in a DTL; • the total number of units in a DBT; or • the total equity interests in a DT; or

• the IDA’spriorwritten approvalmust beobtainedbefore aperson may become a 12 or a 30 per cent controller of a DTL, DBT or DT;

• the IDA’spriorwritten approvalmust beobtainedbefore aperson may acquire, as a going concern, the whole or part of any business of a DTL, DBT or DT that is conducted pursuant to a telecoms licence; and

• the IDA’spriorwritten approvalmust beobtainedbefore aperson may obtain effective control over a DTL, DBT or DT.

A ‘12 per cent controller’ is defined under the Telecoms Act to mean a person who, alone or together with his associates, holds 12 per cent or more but less than 30 per cent of:• thetotalnumberofvotingsharesinaDTL;• thetotalnumberofunitsinaDBT;or• thetotalequityinterestsinaDTL;or• isinapositiontocontrol12percentormorebutlessthan30

per cent of the voting power in a DTL, DBT or DT.

Similarly, a ‘30 per cent controller’ is defined under the Telecoms Act to mean a person who, alone or together with his associates, holds 30 per cent or more of the total number of:• thetotalnumberofvotingsharesinaDTL;• thetotalnumberofunitsinaDBT;or• thetotalequityinterestsinaDTL;or• isinapositiontocontrol30percentormoreofthevotingpower

in a DTL, DBT or DT.

The Telecoms Act defines the term ‘associates’ broadly to include, inter alia, relatives, related corporations, corporations whose direc-tors and persons are accustomed or under an obligation to act in accordance with the directions of the first-mentioned person, as well as persons who have agreed or arranged to act together with respect to the acquisition, holding or disposal of shares, units or other equity interests in a DTL, DBT or DT.

Under the Telecoms Act, ‘effective control’ refers to the ability to cause a DTL, the trustee-manager of a DBT or the trustee of a DT to take, or to refrain from taking, any major decisions regarding the management or operations of the DTL, DBT or DT.

The IDA does not need to be notified of a transaction if the acquiring party does not reach the aforementioned 5 per cent ownership or voting power threshold in relation to DTLs, DBTs and DTs. Section 10 of the TCC sets out detailed provisions on changes in ownership and consolidations involving the aforementioned DTLs, DBTs and DTs. These provisions include procedures for notification and seeking the IDA’s approval, presumptions that the IDA will apply in reviewing such submissions, the information and documents that must be provided to the IDA in respect of consolidation applications and provisions on tender offers and share buy-backs. In addition, the IDA’s Telecom Consolidation and Tender Offer Guidelines elaborate on the procedures, standards and principles that the IDA will apply in conducting a consolidation review. The Telecom Consolidation and Tender Offer Guidelines also explain the procedures that an acquiring party must observe before making a tender offer where the Singapore Code on Take-overs and Mergers applies. The Singapore Code on Take-overs and Mergers applies to takeovers and mergers of corporations with a primary listing of their equity securities and business trusts with a primary listing of their units in Singapore, as well as unlisted public companies and unlisted registered business trusts with more than 50 shareholders or unitholders and net tangible assets of S$5 million or more.

In reviewing requests to assign a licence or change the ownership, shareholding or management of a DTL, DBT or DT in connection with a merger, acquisition or consolidation, the IDA will not give its written approval unless it is satisfied that the transaction is unlikely to substantially lessen competition in any telecoms market in Singapore or harm the public interest.



As a condition of approval, the IDA may, in regard of the post-consolidation entity:• require it to provide access to infrastructure, information

or services to other licensees, entities or end-users on a non-discriminatory basis, or reject any preferential access to infrastructure, information or services from any specified entity;

• requireittoaccountseparatelyforrevenuesfromoperationsthatare subject to effective competition and operations not subject to effective competition, and to comply with rules governing alloca-tion of joint costs and transactions between the competitive and non-competitive operations to deter cross-subsidisation;

• requireittoconductcertainoperationsthroughastructurallyseparate entity;

• requireittodivestcertainassetstoathirdpartyinanarm’s-length transaction; and

• imposeotherconditionsdesignedtoincreasecompetition.

Thresholds: broadcastingUnder the Broadcasting Act, no person has been able since 2 Septem-ber 2002 to become a 12 per cent controller or an indirect controller of a broadcasting company without first obtaining the approval of the minister (see question 34 for the definition of a broadcasting company). All broadcasting licensees that are considered regulated persons (within the meaning of section 16(3) of the MDA Act) must obtain the MDA’s prior written approval before any consolidation or merger.

Pursuant to paragraph 8 of the MMCC, the MDA will generally conclude that any regulated person entering into a consolidation that is likely to substantially lessen competition in any media market in Singapore should be prohibited (paragraph 8.3). A consolidation means a merger, acquisition, takeover or other similar transaction that results in two persons that were previously independent economic entities becoming, in effect, a single economic entity. A consolidation can take the following forms: creation of a single legal person; one person obtaining effective control over another person (ie, where a person has the ability to cause or prevent another person’s decision regarding management and major operating decisions. The MDA presumes there is effective control when a person has an ownership interest or control over voting shares of 30 per cent or more); or the media assets of a regulated person are purchased by another person, or where significant assets of two or more persons are transferred to a new legal person (ie, in the case of corporate joint ventures).

Persons seeking to consolidate should submit a consolidation application to the MDA, which must comply with certain minimum requirements. There are two application procedures available: long and short form, with the long form being the default procedure. Under the MMCC, the MDA may grant a consolidation application with or without conditions. The MDA can impose on the post-consolidation entity conditions for structural separation and behavioural conditions (eg, separate accounting for revenues from operations under effective competition and operations not under effective competition).

The MMCC dictates certain thresholds for determining whether an applicant for consolidation should use a long or short form application procedure. Briefly, a short form may be used where it is unlikely the proposed consolidation will result in the post-consolidation entity having a market share of 40 per cent or more; or a market share of between 20 per cent and 40 per cent of any media market in Singapore, and the post-consolidation combined market share of the largest three licensees, ancillary media service providers, or a combination thereof, is 70 per cent or more.

53 Merger control authorities

Which regulatory or competition authorities are responsible for the

review of mergers, acquisitions and joint ventures in the telecoms,

broadcasting and new media sectors?

The IDA is the authority responsible for such review where the transaction involves a telecoms industry licensee; where the transaction involves a broadcasting licensee, the MDA is the reviewing authority. With convergence and the advent of new media (where a single business entity may be required to hold a telecoms licence and a broadcasting licence), we can expect that the IDA and MDA will consult with each other in assessing competitive impacts arising from M&Aactivity.

54 Procedure and timescale

What are the procedures and associated timescales for review and

approval of telecoms and broadcasting mergers, acquisitions and joint

ventures?

TelecomsSection 10 of the TCC sets out the procedures by which applicants (ie, the acquirer and the DTL, the trustee-manager of the DBT or the trustee of the DT, as the case may be) may seek written approval from the IDA. Where an acquisition would result in a person becom-ing a 12 per cent controller of a DTL, DBT or DT, the applicants would need to submit a request for approval with the IDA in accord-ance with section 10.3.5 or 10.4.5 of the TCC. Where an acquisition would amount to a ‘consolidation’ with a DTL, DBT or DT, the applicants would need to submit a consolidation application with the IDA in accordance with section 10.3.6 or 10.4.6 of the TCC.

At present, section 10 of the TCC defines a ‘consolidation’ to mean a transaction that results in a person:• becominga30percentcontrollerofaDTL,DBToraDT;• acquiringanybusinessofaDTL,DBTorDTconductedpursu-

ant to a telecoms licence as a going concern; or• obtainingeffectivecontroloveraDTL,DBTorDT.

Applicants submitting a request for approval must include all the required information reasonably necessary for the IDA to determine the likely impact of the acquisition on competition and the public interest (eg, name, address and contact information of the applicants and their associates and affiliates; percentage of voting shares, units or equity interests and voting power held by the acquiring parties and their associates pre- and post-transaction; telecoms services provided by each of the applicants as well as their associates, and the estimated market shares thereof; any special or preferential rights granted to the acquiring parties and their associates; and any anticipated significant changes in the management or operations of the DTL, DBT or DT).

A request for approval must generally be submitted not less than 60 days before the completion of the relevant transaction. In addition, where acquiring parties enter into an agreement (not amounting to an open market transaction) for the transaction, applicants are required to submit the request for approval within 30 days from the time the agreement is entered into. The precise timelines to be followed would depend on the type of transaction. The IDA will generally seek to make a determination within 30 days of receiving all necessary information. However, in exceptional cases, the IDA may extend the review period and may conduct consultations where appropriate. Following its review, the IDA may deny a request, approve a request with or without conditions, or notify the applicants that the transaction constitutes a consolidation whereupon the applicants would be required to submit a consolidation application instead. Applicants will be notified in writing of the IDA’s decision.

In the case of a consolidation application, section 10 of the TCC provides that applicants must submit either a long form or a short form consolidation application. Unless the proposed consolidation is



Personal Data Protection Act 2012 comes into effectSingapore’s first general data protection law, the Personal Data Protection Act 2012 (PDPA), was passed by the Singapore parliament on 15 October 2012. The PDPA is intended to establish a baseline standard of data protection for all private sector organisations in Singapore. In addition, the PDPA provides for the setting-up of a DNC Registry, which is intended to address the growing issue of unsolicited telemarketing calls and messages.

In order to allow businesses time to adapt to the new requirements, the PDPA will be implemented in phases. According to a press release by the Ministry of Communications and Information (MCI) issued on 20 December 2012, the PDPA is to be implemented in three phases. In the first phase, a number of general provisions were brought into operation on 2 January 2013. These provisions relate mainly to the scope and interpretation of the PDPA, the establishment of the Personal Data Protection Commission (PDPC) and the Data Protection Advisory Committee, the establishment of Do Not Call (DNC) registers by the PDPC, and other general provisions of the PDPA.

In subsequent phases, the substantive DNC registry rules are expected to come into effect around early 2014, while the substantive data protection rules under the PDPA are expected to come into effect around mid-2014. The exact dates will be announced in due course.

The PDPA is intended to complement rather than override existing sector-specific data protection laws and regulations. Accordingly, the provisions of such other existing written laws will prevail to the extent that there is any inconsistency with the data protection rules under the PDPA.

The PDPA will cover ‘personal data’, which is defined to mean all data, whether true or not, from which an individual can be personally identified, or from that data and other information to which the organisation has or is likely to have access. The PDPA does not distinguish between personal data of varying degrees of sensitivity.

The PDPA applies to all private sector organisations, with certain exceptions. For instance, individuals acting in a personal or domestic capacity and employees acting in the course of their employment are not subject to the PDPA’s data protection rules. Public agencies are expressly excluded from the data protection rules, as they are subject to their own set of data protection rules.

The PDPA also recognises certain exceptions for organisations referred to as ‘data intermediaries’, which are organisations that process personal data on behalf of another organisation. The PDPA provides for these data intermediaries to be excluded from the majority of the data protection obligations. Instead, they will only be subject to obligations relating to the protection and retention of personal data that they process on behalf of another organisation pursuant to a written contract.

The substantive data protection rules under the PDPA include:• therequirementtoobtainanindividual’sconsenttocollect,use

or disclose his or her personal data, unless one of the prescribed exceptions applies, eg, such collection, use or disclosure is required or authorised by law, or is in response to an emergency thatthreatensthelife,healthorsafetyoftheindividual;

• therequirementtoinformanindividualofthepurposesforwhichhisorherpersonaldataisbeingcollected,usedordisclosed;

• therequirementtoprovideanindividualuponrequestwithaccess to his or her personal data and information about the ways in which it has been used or disclosed, subject to certain exceptions, eg, if such request is trivial, would unreasonably interfere with the organisation’s operations or would be unreasonably burdensome or expensive, or where such access couldthreatenthesafetyofanindividual;

• therequirementtocorrecterrorsandomissionsinanindividual’spersonaldata;

• therequirementtodeleteoranonymisepersonaldataassoonas it is reasonable to assume that the purpose for collecting the data is no longer served by its retention, and retention is no longerrequiredforlegalorbusinesspurposes;and

• therequirementtoensurethatpersonaldatatransferredoutofSingapore is provided with a standard of protection comparable to that under the PDPA.

The PDPC (www.pdpc.gov.sg) is the statutory body responsible for administering and enforcing the PDPA. It is empowered to issue guidelines and directions to remedy non-compliance with the new data protection rules, to review complaints and initiate investigations, as well as to impose financial penalties of up to S$1 million. An

aggrieved individual or organisation can make a written application to the PDPC to reconsider certain of its directions and decisions, or lodge an appeal to the Data Protection Appeal Panel in respect of certain decisions or directions (including reconsideration decisions) of the PDPC. An individual who suffers loss or damage directly as a result of an organisation’s contravention of the data protection rules may also commence a private civil action in court.

The DNC registry provisions under the PDPA generally prohibit organisations from sending certain marketing messages (in the form of voice calls, text or fax messages) to registered Singapore telephone numbers (including mobile, fixed-line, residential and business numbers). Such marketing messages generally have one or more of the following purposes:• offertosupply,advertiseorpromotegoodsorservices;• advertiseorpromotesuppliersorprospectivesuppliersofgoods

orservices;or• supply,advertiseorpromoteland,interestsinlandorbusiness/

investment opportunities.

There will be three separate registers for voice calls, text messages (SMS/MMS/text) and faxes, though only Singapore telephone numbers will be accepted for registration.

Registration of telephone numbers will be free of charge. Registration is permanent until withdrawn, or the termination of the number.

Under the DNC registry rules in the PDPA, organisations would need to check the relevant register before sending marketing messages, to ensure that the recipient numbers are not registered. To give organisations sufficient time to familiarise themselves with the rules of the PDPA, organisations sending out marketing messages would need to check the DNC registry at least once every 60 days for the first six months of the DNC registry’s operations, and at least once every 30 days thereafter.

IDA issues the Telecom Competition Code 2012 and revised Telecom Consolidation and Tender Offer GuidelinesOn 9 April 2012, the Infocomm Development Authority of Singapore (IDA) issued the Telecom Competition Code (TCC) 2012 to replace the TCC 2010. The IDA had revised the TCC to implement recent changes to the Telecommunications Act, including significant changes to part VA of the Telecommunications Act, which sets out the legislative framework governing review of mergers and acquisitions (M&As) in the telecoms sector.

In particular, the TCC 2012 contains a substantially revised section 10, which sets out the IDA’s procedural requirements for M&A review in the telecoms sector. In connection with the revisions to section 10 of the TCC, the IDA simultaneously issued a revised set of Telecom Consolidation and Tender Offer Guidelines, containing details of the procedures for seeking the IDA’s approval for consolidations and tender offers in the telecoms sector.

Notably, under the revised section 10 of the TCC, designated business trusts (DBTs) and designated trusts (DTs) are now included in the IDA’s M&A review framework, in addition to designated telecommunications licensees (DTLs). Hence, telecoms operators who choose to use trusts as a business vehicle to structure their operations are now covered under the revised TCC 2012.

The revised section 10 of the TCC also includes the concepts of ‘voting power’ and ‘associates’. Previously, the IDA would examine the percentage of voting shares held by an acquiring party (both directly and indirectly, using the ‘sum-the-percentages’ methodology) to determine his ownership interest in an entity. Under the revised section 10, the IDA will also take into consideration the extent of actual voting power held by an acquiring party (including control that might be established through arrangements or practices), regardless of whether he holds any direct voting shares in the entity.

The concept of ‘associates’ takes into consideration parties who may control or influence acquiring parties, or who may be controlled or influenced by acquiring parties. Under the revised section 10 of the TCC, the IDA will also examine the voting shares and voting power held by an acquiring party’s associates, in order to determine the overall control that an acquiring party has in a DTL/DBT/DT.

Under section 10 of the TCC 2012, the IDA’s prior approval is required for any transactions that would result in the following trigger events occurring in relation to a DTL/DBT/DT:• anacquiringpartybecominga12percentcontroller;• anacquiringpartybecominga30percentcontroller;• anacquiringpartyobtainingeffectivecontrol;or

Update and trends



• anacquiringpartyacquiringthewholeoranypartofthebusinessof a DTL/DBT/DT that is conducted pursuant to a telecoms licence, as a going concern.

Section 10 of the TCC 2012 provides detailed definitions of the aforementioned thresholds (please see question 52).

Where approval is required from the IDA for a transaction, such approval must generally be sought not less than 60 days before the completion of the relevant transaction. In addition, where acquiring parties enter into an agreement (not amounting to an open market transaction) for the transaction, applicants are required to submit the request for approval within 30 days from the time the agreement is entered into. The precise timelines to be followed would depend on the type of transaction. The IDA will generally seek to make a determination within 30 days of receiving all necessary information. However, in exceptional cases, the IDA may extend the review period and may conduct consultations where appropriate.

The TCC 2012 also incorporates additional enforcement powers that were conferred on the IDA as a result of recent amendments to the Telecommunications Act. In particular, the limit for financial penalties which the IDA can impose for a contravention of the TCC 2012 has been raised to the higher of 10 per cent of the annual turnover of the party’s licensable business or S$1 million.

IDA introduces ‘no islanding’ principle to ensure interoperability of IPv4 and IPv6 systems On 30 April 2012, the IDA issued a decision requiring certain ISPs to implement a ‘no islanding’ principle, with effect from 1 June 2013. The principle aims to ensure that, during the upcoming transition period from IPv4 to IPv6 in the public internet, users on IPv4-only systems will be able to access content on IPv6-only systems and vice versa.

In particular, internet access service providers (IASPs) will be required to ensure that systems, equipment and networks within their control and operation for the provision of internet access services to residential or non-business end-users in Singapore are capable of allowing access to content on the public internet, regardless of the address type of the end-user (IPv4 or IPv6). This includes IASP-issued customer-premise equipment, IASPs’ edge routers and their core network.

In addition, internet exchanges and wholesale broadband service providers will be required to ensure that they are not in a position to cause traffic from IASPs to be disrupted because of their systems’ inability to support IPv4 and IPv6.

As the principle is meant to be an interim measure for the initial stages of IPv4/IPv6 coexistence, the IDA is expected to review this principle in three years’ time after it becomes effective.

Enhanced quality of service (QoS) standards for 3G mobile services The IDA has enhanced its existing QoS standards for 3G mobile services.

With effect from 1 April 2012, 3G mobile service operators are required to achieve, inter alia:• morethan99percentcoverageinallnationwideoutdoorareas

(frommorethan95percentpreviously);• morethan99percentcoverageforroads,andunderground

(MRT)tunnels(frommorethan95percentpreviously);• morethan99percentcallsuccessratesforpublicswitched

telephonenetwork(PSTN)/mobileoriginatedcalls;and• averagemonthlycallsuccessratesacrossallcelllocationsmust

be at least 99 per cent, and the monthly dropped call rate must be less than 1 per cent.

In addition, with effect from 1 April 2013, 3G mobile service operators will be required to achieve more than 85 per cent coverage in each building.

Financial penalties of up to S$50,000 may be imposed for every instance of non-compliance.

New QoS standards for Next Gen NBN end-user connection (EUC) provisioning timeframesIn order to improve the provisioning timeframe for Next Gen NBN end-user connections (EUCs), the IDA has imposed new QoS standards on OpenNet, the network company (NetCo) appointed to build and operate the Next Gen NBN passive network. Under the new QoS standards, which took effect from 1 January 2013, OpenNet is required to provision 98 per cent of all residential EUCs within three

business days of receiving an order, and in any case, 100 per cent of all residential orders must be completed within seven business days. In terms of non-residential EUCs, OpenNet is required to provision at least 80 per cent of all EUCs within four weeks, and in any case, 100 per cent of all non-residential orders must be completed within eight weeks. Failure to comply would attract a financial penalty of S$10,000 per breach per month. Additional penalties may be imposed for serious or repeated breaches.

IDA reviews regulatory requirement for telephone directory servicesCurrently, fixed-line operators in Singapore are required by the IDA to provide an integrated telephone directory in either printed or electronic form at no charge, as well as a directory enquiry service which allows subscribers to call the operator to request for a fixed-line telephone number.

In view of several trends observed by the IDA, such as the declining use of telephone directory services, the availability of directory information on the internet and the rise of other communications channels, as well as increasing personal data protection concerns, the IDA decided to review the regulatory requirement on directory services. In this regard, the IDA issued a public consultation paper containing several of its proposals and inviting relevant feedback and suggestions. The consultation concluded in December 2012. At the time of writing, the IDA had yet to issue its report or decision on the regulatory requirement for directory services.

IDA reviews interconnection offers of Next Gen NBN network company and operating companyIn 2011, the IDA commenced a comprehensive review of OpenNet’s interconnection offer (ICO) to address certain operational issues that had arisen relating to the implementation of the Next Gen NBN. Following two rounds of public consultation, the IDA issued its final direction to OpenNet to amend its ICO on 3 July 2012. Notably, the IDA had required OpenNet to increase its installation quota to accommodate increasing demand for Next Gen NBN services, as well as implement a system to adjust OpenNet’s installation quota on an ongoing basis in response to changing demand. In addition, the IDA had required OpenNet to provide additional installation slots on a temporary basis to accommodate demand surges during the four major IT fairs each year.

Following the review of OpenNet’s ICO, the IDA had also commenced a review of Nucleus Connect’s ICO. Nucleus Connect is the operating company selected to build and operate the Next Gen NBN active infrastructure. As part of the review of Nucleus Connect’s ICO, the IDA had required Nucleus Connect to propose changes to its ICO to accommodate the revisions made to OpenNet’s ICO. Following an industry consultation in October 2012, the IDA issued a direction on 31 December 2012, requiring Nucleus Connect to propose further changes to its ICO for the IDA’s review. At the time of writing, the review of Nucleus Connect’s ICO is ongoing.

IDA reviews Code of Practice for Info-communication Facilities in Buildings (COPIF)The IDA is currently reviewing the COPIF to ensure that it remains relevant in light of the evolving requirements of info-communication facilities. In November 2011, the IDA commenced a first public consultation to seek comments and views from the public on relevant issues. Following the conclusion of the first public consultation, the IDA then commenced a second public consultation to seek views and comments on the provisions of a draft revised COPIF and draft revised COPIF Guidelines.

The issues consulted upon include:• provisionofspaceandfacilitiesformobileservices;• provisionofcablesfortelecommunication(non-coaxialcable)

systemsinresidentialproperties;• locationofmaindistributionframe(MDF)roomand

telecommunicationequipmentroom(TER);• usageofcabletraysandmetaltrunkinginbuildings;and• sealingofundergroundpipesenteringtheMDFrooms,TERsand

telecom risers.

The second public consultation concluded in August 2012. At the time of writing, the IDA had yet to issue its report or decision on the revised COPIF.

Update and trends continued



one that permits the submission of a short form, applicants must file a long form to seek the IDA’s approval for the consolidation. Applicants submitting a long form consolidation application must include all the required information reasonably necessary for the IDA to determine the likely impact of the consolidation on competition and the public interest, including the following documents and information:• name,addressandcontactinformationoftheapplicantsand

their associates and affiliates; • acopyoftheconsolidationagreement,includinganyappendices,

side letters and supporting documents; • copiesofallagreementsthat,althoughnotdirectlyaddressing

the consolidation, are an integral part of the transaction or that are necessary or useful for the IDA to assess fully the competitive impact of the consolidation;

• astatementthatprovidesaclear,accurateandcomprehensivedescription of the consolidation, a good-faith assessment of the likely impact of the consolidation on competition in any telecoms market in which the applicants and their associates and affiliates participate, and a discussion of why approval of the consolida-tion would serve the public interest;

• anyothersupportingdocumentthatwouldassisttheIDAinassessing the likely competitive effect of the consolidation (eg, the applicants’ current annual reports or audited financial state-ments; a chart indicating the relationship between each applicant and its respective associates and affiliates and their relevant inter-est in the DTL, DBT or DT; and the applicants’ business plans for the current and previous years); and

• anyconditionsthattheapplicantsmaywishtoproposefortheIDA’s consideration that could reduce any potential adverse competitive impact of the consolidation.

A fee of S$10,000 is payable by the acquiring party to the IDA for each long form consolidation application.

A short form consolidation application may be used where the proposed consolidation is horizontal and will not result in a post-consolidation entity with more than 15 per cent share in the telecoms market in Singapore; or where the proposed consolidation is non-horizontal in nature and none of the applicants has more than a 25 per cent share of any telecoms market (in Singapore or elsewhere).

Applicants submitting a short form must tender an abbreviated statement that provides a clear, accurate and comprehensive descrip-tion of the consolidation, a good-faith description of the basis on which the applicants believe that the consolidation does not raise sig-nificant competitive issues and a brief discussion of why the approval of the consolidation would serve the public interest. A fee of S$2,500 is payable by the acquiring party for each short form consolidation application.

A consolidation application must generally be submitted not less than 60 days before the completion of the relevant transaction. In addition, where acquiring parties enter into an agreement (not amounting to an open market transaction) for the transaction, appli-cants are required to submit the consolidation application within 30 days from the time the agreement is entered into. The precise time-lines to be followed would depend on the type of transaction.

The consolidation review period begins when the applicants submit a consolidation application containing all required material (as determined by the IDA). The IDA will ordinarily issue its decision indicating whether it rejects or approves the transaction (and if so, whether there are any conditions) within 30 days after the start of the consolidation review period. However, where novel or complex issues are raised, the IDA, reserves the right to extend the review period by

Decision issued on 4G allocation frameworkOn 16 January 2013, the IDA issued a decision on the Framework for the Reallocation of Spectrum for 4G Telecommunication Systems and Services. The IDA decided to put up a total of 270MHz of spectrum for 4G, comprising 150MHz of spectrum in the 1,800MHz band and 120MHz of spectrum in the 2.5GHz band for auction in the middle of 2013. Successful bidders will be required to provide nationwide coverage within 12 months and coverage for MRT underground stations/lines and road tunnels within 36 months of the commencement of the new spectrum rights. The new spectrum rights for spectrum in the 2.5GHz band will commence on 1 July 2015, while those in the 1,800MHz band will commence on 1 April 2017. To incentivise new entry, the IDA has also decided to set aside 2 x 20MHz of spectrum in the 2.5GHz band for exclusive bidding by operators that do not currently provide nationwide mobile system and service coverage in Singapore.

Programmes on anti-siphoning list to be revisedOn 20 September 2012, the Media Development Authority (MDA) and the Singapore Sports Council (SSC) jointly issued a consultation paper on proposed revisions to the anti-siphoning scheme, which had previously been introduced under the Media Market Conduct Code (MMCC). Under the anti-siphoning scheme, subscription TV licensees are restricted from acquiring certain exclusive broadcast rights for listed programmes, in order to increase the opportunities for viewers in Singapore to gain access to these programmes on free-to-air TV. The listing is intended to protect the interests of Singapore viewers in watching events that are of public interest and national significance.

Programmes on the list are classified into two categories. In relation to programmes under category A, subscription TV licensees cannot acquire exclusive ‘live’ or ‘delayed’ rights to broadcast all or part of the programme. In relation to programmes under category B, subscription TV licensees can acquire exclusive ‘live’ but not exclusive ‘delayed’ rights to broadcast all or part of the programme.

In the public consultation, the MDA and SSC had sought views on proposed revisions to the programmes on the list, as well as the proposed definition of ‘delayed broadcast’ in relation to programmes under category B.

Following the consultation, on 11 January 2013 the MDA and SSC published a revised anti-siphoning list, which classifies programmes such as Formula 1 Singapore and FIFA World Cup as part of category A, and the Summer Paralympic Games and the Summer Youth Olympic Games as part of category B.

MDA amends Media Market Conduct Code to clarify methodology in determining cross-carriage feesWith effect from 10 July 2012, the MDA amended certain provisions in appendix 4 of the MMCC. Among other things, the amendments sought to clarify the methodology in determining cross-carriage fees paid by receiving pay-TV operators to supplying pay-TV operators.

MDA revises copyright ownership arrangement for MDA-supported public service broadcast programmesOn 25 July 2012, the MDA announced that it had revised the copyright ownership framework for programmes it funds under the public service broadcast scheme in order to give a greater share of copyright ownership to programme creators. Under the new framework, the creators or producers of programmes will own the copyright to the funded programmes, and must grant the MDA a royalty-free licence for certain stipulated broadcasts. This contrasts with the previous policy, under which the MDA would own part or all of the copyright depending on the proportion of its funding of production costs.

Computer Misuse Act renamed and amendedParliament passed the Computer Misuse (Amendment) Bill on 14 January 2013, renaming the Computer Misuse Act the Computer Misuse and Cybersecurity Act, to reflect the objective of a new section 15A, which is intended to protect national critical information infrastructure against cyber threats.

The bill also proposes to grant the Ministry of Home Affairs additional powers in dealing with cyber attacks that threaten national security, foreign relations or essential services (including banking and finance, public utilities, public transport, police, civil defence and medical services). The amendments will enable the minister to direct operators of national critical information infrastructure systems to take measures against cyber threats, and require them to furnish any information necessary to identify, detect or counter any threat.

Update and trends continued



up to 90 days, to a maximum of 120 days. In exceptional cases, the IDA may conduct consultations where appropriate. Applicants will be informed in writing of the IDA’s decision.

BroadcastingThe procedures and timescales for transactions involving regulated persons in the broadcasting sector are found in paragraph 8 of the MMCC.

The MMCC prescribes that all regulated persons seeking to enter into a consolidation with another regulated person, or any person (not being a regulated person) that provides mass media services or ancillary media services, must file a consolidation application with the MDA (see question 52). The consolidation application must be submitted not prior to but within 30 days after the day on which the relevant parties enter into a consolidation agreement. Depending on the competitive effect of the consolidation, applicants must submit either a long form application or a short form application. The requirements for a long form application are stated in paragraphs 8.4.4 and Appendix 2 of the revised MMCC. In submitting the consolidation application, applicants must comply with a standard administrative and application procedure, including the provision of the following: • adescriptionoftheconsolidation,agood-faithassessmentofthe

likely impact of the consolidation on competition in any relevant

media market and a discussion of why the MDA’s approval of the consolidation would serve the public interest;

• identificationofreportablemediamarketsandinformationoneach such market identified by the applicants;

• supportingdocumentationsuchascopiesofthefinaldocumentsbringing about the consolidation, copies of the most recent annual report and accounts or audited financial statements for the current and previous two years and copies of all business plans for each applicant for the current year and the preceding five years, and this includes financial projections.

For short form applications, only an abbreviated form of the above-mentioned is required. Any person considering entering into a consolidation may ask the MDA to provide informal guidance, including guidance regarding the likelihood that the MDA will approve, reject or impose conditions on the proposed consolidation. The consolidation review period begins on the day on which the applicants submit a consolidation application that contains all the required material. The MDA will ordinarily complete its review of the consolidation application within 30 days. For applications that the MDA considers raise novel or complex issues, the MDA may extend the consolidation review period to a maximum of 120 days.

Chong Kin Lim [email protected] Charmian Aw [email protected]

10 Collyer Quay #10-01 Tel: +65 6531 4110

Ocean Financial Centre Fax: +65 6535 4864

Singapore 049315 www.drewnapier.com

Telecoms and media 2013 issn 1471-0447

The Official Research Partner of the International Bar Association

Strategic research partners of the ABA International section

Air TransportAnti-Corruption RegulationAnti-Money LaunderingArbitrationAsset RecoveryBanking RegulationCartel RegulationClimate RegulationConstructionCopyrightCorporate GovernanceCorporate ImmigrationData Protection & PrivacyDispute ResolutionDominancee-CommerceElectricity RegulationEnforcement of Foreign JudgmentsEnvironmentForeign Investment ReviewFranchiseGas RegulationInsurance & ReinsuranceIntellectual Property & AntitrustLabour & Employment

LicensingLife SciencesMediationMerger ControlMergers & AcquisitionsMiningOil RegulationPatentsPharmaceutical AntitrustPrivate Antitrust LitigationPrivate EquityProduct LiabilityProduct RecallProject FinancePublic ProcurementReal EstateRestructuring & InsolvencyRight of PublicitySecurities FinanceShipbuildingShippingTax on Inbound InvestmentTelecoms and MediaTrade & CustomsTrademarksVertical Agreements

For more information or to purchase books, please visit: www.GettingTheDealThrough.com

Annual volumes published on:

®

Documents

GLOBAL COMPETITION REVIEW Telecoms and Media...in Singapore’s telecoms industry, choosing Singapore for their regional hubs and thus developing the country into a leading knowledge-based