A Broadcasting Authority investigation has found Hong Kong Cable Television did not engage in anti-competitive conduct in the pay-TV market through its service termination practices last year.

In May PCCW Media alleged Cable TV acted to prevent, distort or substantially restrict competition by hindering or inhibiting its Barclays Premier League subscribers from terminating their service arrangements with the broadcaster last year.

The authority said the rise in subscriber numbers of Cable TV's rivals in 2007 showed barriers to expansion are not so great as to prevent them from increasing their subscriber numbers. The increase in subscriber numbers of PCCW Media during the period showed that in effect, customers were able to switch services.

The authority concluded there was insufficient evidence to support the allegation Cable TV's act had the purpose or effect of preventing, distorting or substantially restricting competition.

However, the authority noted there was dissatisfaction with the customer service of pay-TV operators, and has conveyed such concerns to their senior management. The licensees generally took note of the concerns seriously, the authority said, adding it will closely monitor the market situation.