Hong Kong people are among the most informed in the world. At last count in 2006, some 71 per cent of households had broadband connections, the second highest per person in Asia. Mobile phones are ubiquitous too, with a penetration rate of 137 per cent, also one of the highest in the world. Over 700 000 households subscribe to Internet Protocol Television (IPTV) services, making Hong Kong the biggest user of IPTV in the world, well ahead of all developed economies.

Excellent communications have been an essential element in Hong Kong's development as an international business and financial centre. The city has one of the most sophisticated telecommunications markets in the world, and its people are kept well informed by an efficient and vigorous media.

Hong Kong has a fully liberalised and highly competitive telecommunications market. Since the launch of third generation (3G) mobile services in 2004, the take-up rate has grown rapidly. By the end of the year, more than 1 331 000 mobile phone users were enjoying new services such as video calls and interactive real-time gaming. The Government is considering allocating spectrum for the provision of services based on broadband wireless access (BWA) technologies to promote the use of broadband technologies even further.

Hong Kong has a vibrant broadcasting industry offering a wide range of services. TV viewers can access four domestic channels in Chinese and English provided by two commercial broadcasters free of charge, and some 240 local and overseas television channels providing programmes in different languages provided by three licensed operators on subscription. There are three radio stations, including one run by the Government called Radio Television Hong Kong (RTHK), broadcasting on 13 channels. Hong Kong is a regional broadcasting hub with 14 licensed satellite television broadcasters providing about 150 channels for the Asia-Pacific region.

Broadcasters are embracing new technologies. Terrestrial television broadcasters are preparing for the launch of digital broadcasting in 2007. The Government continues to review the regulatory regime in the light of technological and market convergence and new services coming on stream such as mobile television.

Hong Kong is one of the world's major film production centres. It produced 51 films in 2006. The film industry is a flagship of Hong Kong's creative industries. The Government is committed to promoting its development and has introduced a host of measures to assist it in strengthening its competitiveness in both the local and global markets.