Johannesburg — NASPERS-owned MultiChoice is set to introduce digital broadcasting technologies that could change broadcasting in SA.

MultiChoice SA CEO Nolo Letele last week announced the introduction of the personal video recorder decoder in SA and its neighbours later this year and in the rest of Africa next year.

The device's hard drive enables viewers to skip advertising, pause during live television, view instant replays on demand and record a programme while watching another.

Given that spending on advertising has been the primary driver of its buoyant media business, the new decoders could have a substantive effect on the company.

But Letele said the ad-skip feature would "initially" not be enabled.

The decoders are popular in the US, where Forrester Research estimated that 40-million devices will be in use by 2007. DataMonitor said 25% of UK homes will have one by 2007.

Allan Gray media analyst Abdul Davids said one way of making up for the potential loss of enforced advertising on the company's channels was by using banner advertising.

An ad-skip option would allow for more targeted advertising, he said.

Davids cited advertising golf equipment along the screen during a golf programme.

"I don't think there's a risk to the MultiChoice business. But there could be an opportunity to have targeted advertising."

The decoders could lead to a subscription fee increase, said Davids.

"Over the last couple of years MultiChoice has not had significant price increases because of the strength of the rand. But we should see inflation-related increases in the future," said Davids.

In August MultiChoice will begin trials of mobile television delivered to handsets using digital video broadcast hand-held (DVB-H) technology, and television transmission through internet protocol (IPTV) across high-speed ADSL lines.

On DVB-H, Letele said: "As many as 20% of likely users have indicated they would buy â-oe handsets within a year of such a service being launched."

The trial period for IPTV will determine demand, user requirements and test viability.

At least one high-definition television channel will be established before SA hosts the 2010 Soccer World Cup.