China should circumvent the core technology in developing its digital TV industry, an industry insider has said.

Guo Ke, chairman of Digital TV Industry Alliance of China told a recent meeting of representatives of China's information technology industry that though domestic digital TV firms boast a lion's share in the market, their core technology, such as the development of integrated circuits, remains short of.

Guo suggested Chinese enterprises establish business alliances to take advantage of both domestic and overseas technology in developing the digital TV industry, instead of developing core technology alone.

He disclosed that supportive policies for the digital TV industry would be mapped out next year. The ground transmitting standard for China's digital TV service is still unsuitable, he said.

The government has set a timetable for CATV (Community Antenna Television) to cover, through satellite transmission, two thirds of Chinese households in 2006.

(Xinhua News Agency December 20, 2005)