Hundreds of local satellite TV subscribers have lost close to 200 channels with no hope of getting them back as the service actually violates US federal law.

The loss was caused in October when satellite provider Direct TV replaced one of their two satellites with a more modern unit which concentrates the signal in the US.

Direct TV is licensed by the US Federal Communications Commission (FCC) who strictly prohibit service outside of the US. But Bermuda had fallen within what is called `the footprint or grey market' where the signal, due to technical shortfalls, unavoidably spread.

Rapid advancements in technology now see satellites constructed with longer, lighter antenna which provide a tighter beam and Bermuda could face being left out of the picture even further as satellite companies upgrade their equipment.

Most local subscribers are aware that Direct TV is not allowed to trade services with them, but they have been able to access the programming by signing on with US dealers.

According to a local official the US dealers were breaking federal laws in the US, but none in Bermuda. Not surprisingly, when The Royal Gazette contacted Satellite Services, a dealer in Winslow, Maine widely used by Bermudian subscribers, they denied that such arrangements exist with their company and residents in Bermuda.

The resulting situation has upset hundreds of Bermudians who bought receiver specific equipment and spent as much as $70 a month to access close to 400 channels.

While many Direct TV channels are still available through a second satellite which was not replaced, many subscribers claim that the best channels have gone.

Spokesman for Direct TV, Robert Mercer said the company was unaware that it had customers in Bermuda and that the satellite change had adversely affected them.

"We launched our new satellite on October 10,'' he said, "and it has a different lighter, larger antenna which enables us to focus the signal where it needs to be,'' he said.

"It is much more efficient than our other satellites.'' But Mr. Mercer noted that the change was not designed "to cut off customers in the footprint'' and stressed that Direct TV is legally restricted from providing service outside the country.

The response from local satellite dish sellers to the problem has been mixed.

New satellites leave local viewers in the dark A spokesperson for DeFontes Television Services disclosed that the company had stopped selling dishes altogether since the switch.

And management at another company said they were not informing would-be customers because "it would be bad for business''.

Island Satellite and Satronics Enterprises both admitted the problem but said they continued to sell dishes. Both companies said they alerted prospective dish buyers to the new development.

Marius Dier, general manager of Island Satellite, revealed that he had even reimbursed some of his customers who bought systems very recently.

"We have just been discussing the best way to get this information to all our customers,'' said Ernest Peets, owner of Satronics Enterprises, "and we think maybe a newsletter.

"People are still purchasing Direct TV and we make sure that they are 100 percent informed.''