Zhabei District in Shanghai plans to build a multimedia valley to revitalize its economy and improve its environment.

The blueprint, called Shanghai Multimedia Valley, can be roughly described as introducing IT industry to replace the district's old manufacturers and their high levels of pollution.

"We'll attract multimedia industries to our district and update our old manufacturing products, such as molds and auto parts, into computerized industries," said Yang Jun, senior engineer from Shanghai Multimedia Valley Lead Group Office.

One of the biggest projects the district hopes the valley can accomplish is to spread IT technology to life.

Shanghai Telecom and Shanghai Media and Entertainment Group, the city's two IT and media giants, are expected to cooperate in setting up a broadband TV network in the district.

The project is expected to push people watching TV on to a broadband service.

Companies will provide much more assorted TV programs, advertisements or even blockbusters on broadband, but viewers will need to pay for some of the programs.

"People are used to watching free TV programs. Our target is to change their habits to accept the charging service," Yang said.

Persuading people to visit advertisements is one of the methods. The broadband TV operators will record customers' points when they watch the TV's advertisements.

People will be able to trade their points for entertaining programs, such as big films, Yang said.

The project managers hope to cooperate with the city's theaters to broadcast their concerts live. "We'll sell viewing tickets online, but the price can be much lower than the theaters," Yang said.

He said the telecasts would not hurt theaters' profits because the concerts on broadband TV would target people who are unwilling to pay or can not afford the higher theater prices.

IT producers will also aim at Zhabei's public greenlands because the district plans to introduce digital products and services in Daning Greenland, treated as the district's central man-made forest around Guangzhong Road, to make it more enjoyable.

A traffic line, composed of a highway and extended Metro Line One, from underground to overhead, running through the district north to south, will be opened next month. The first phase of the valley, a 6.67-hectare high-tech park with one high building and several houses, is nearly completed. The land stands opposite the 68-hectare Daning Greenland.

"Daning Greenland is able to lure more investors," said Yang.

Phillips, the global high-tech product maker plans to move into the high building. Nearly 20 firms including some TV and film makers will also move to the land.

The whole valley will take about 55 hectares of land, once accommodating many old factories, some of which are going to be relocated in suburban areas.

(Shanghai Daily September 6, 2004)