Section 1Sec./Art. 1

Nature and Scope of Franchise. - Subject to the provisions of the Constitution and applicable laws, rules and regulations, there is hereby granted to Direct Broadcast Satellite Phil., Inc., hereunder referred to as the grantee, its successors or assigns, a franchise to construct, install, establish, operate and maintain for commercial purposes and in the public interest, cable/community antennae television (CATV) systems and/or direct to home satellite systems throughout the Philippines, and between the Philippines and other countries and territories, through the reception of audio, visual and other signals from any broadcast station, program provider or any other source within and outside the Philippines, and the distribution or transmission of the same to homes, offices, condominiums, multiple dwelling units, subdivisions, hotels, restaurants, and other residential, commercial and industrial structures and other public and private conveyances within and outside the Philippines, by means of microwave or other electromagnetic waves, optics, satellite, or any other kind of energy, force, variations or impulses, radiated through space or transmitted through any other medium as may be allowed by law; to originate, store, distribute, transmit, retransmit and receive through said systems, news and documentaries, entertainment, cultural, informational and educational radio and television programs, both live and recorded; to construct, establish, install, operate, manage, lease, maintain and purchase transmitting, receiving and switching stations, both for local and international services, lines, fiber optics, microwave facilities, cables, satellite transmit and receive systems, control signals, audio and video systems, information service bureau, computer and interactive computer systems, pay TV and pay per view television, video on demand and public information on demand service, multi-disc read only memory, network delivery, packet and frame relay and electronic mail services and other value-added services and all other related technologies as are at present available, or to be made available through technological advances or innovations in the future, as is, or are, convenient to or essential to efficiently carry out the purposes of this franchise.