Pay-TV operator MultiChoice is consulting its lawyers following Friday’s decision by the Independent Communications Authority of SA (Icasa) not to accept its application for a digital terrestrial mobile television broadcasting licence.

Icasa shocked the broadcasting industry on Friday when it announced that it was excluding all but one of the four bidders from the adjudication process. Companies wanting to provide digital TV to mobile phones require the sought-after licences before they can begin providing the services commercially.

The regulatory authority gave e.tv’s application the thumbs up, while applications from MultiChoice, Super 5 Media and the Mobile TV Consortium were all dismissed.

Icasa’s decision not to accept MultiChoice’s application is a setback as it’s regarded as the only broadcaster that has the infrastructure necessary to launch digital mobile TV in time for the 2010 World Cup kick-off on 11 June.

MultiChoice was disqualified from the bidding on the basis that it submitted its application late. The Mobile TV Consortium last week accused the Naspers-owned operator of missing the deadline by at least 15 minutes.

In a statement, MultiChoice SA CEO Nolo Letele (pictured above) says the company has “noted the Icasa decision”.

“MultiChoice is seeking legal advice,” he says.

However, the Mobile TV Consortium, which is controlled by businessman Richard Moloko’s Moloko Investment Group, says that although it is disappointed in Icasa’s decision not to accept its application, it has no plans to challenge it.

Icasa says the consortium’s application was not accepted because it does not have a broadcasting service licence, a requirement of the invitation to apply.

Mothobi Mutloatse, founder of Mobile TV Consortium member company Narevest, says he is encouraged by a statement from Icasa that a second “multiplex” — or chunk of spectrum used for digital broadcasting — will be made available in the “next few months” and that this spectrum will be made available to new entrants to the broadcasting industry.

The third unsuccessful applicant, Super 5 Media, could not immediately be reached for comment. Icasa says it rejected Super 5 Media’s application because it failed to submit the required number of copies of its application. — Staff reporter, TechCentral