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Motorola to foray into set-top box market

Move follows acquisition of Dahua Digital

Thomas K Thomas

New Delhi, March 20 Technology major Motorola is planning to increase its product portfolio in the country by launching its range of set top box for broadband and cable TV access. The move follows the acquisition of China-based set top box manufacturer Dahua Digital by Motorola In February.

“There is a huge market for set top boxes in the country. We will start with analogue boxes and then as and when TV gets digitalised, we will get the digital version as well. We are also planning to bid for the BSNL project where they require some 8 million boxes,” Mr Subhendu Mohanty, Country Head, Home & Networks Mobility Business Motorola India told Business Line. While globally Motorola is among the top suppliers of set top boxes having shipped over 50 million units, it has not been a focus area for the company in India until now.

Huge potential

The set top box market is estimated to be around Rs 2,000 crore. There are a number of large players already in this space vying for a larger share, making it a challenge for Motorola to break into the market. Analysts point out that with services such as Direct-to-Home, Conditional Access System, IPTV and cable-based broadband expected to grow, potential for even new entrants is huge. The move to introduce the product in the country is part of Motorola’s strategy to increase its focus on the home segment.

Over the past two years, the company has not been performing too well in the telecom equipment market and the mobile handset segment. According to Mr Mohanty, the company is also betting big on WiMax to regain its position in the India market. “We are in discussions with most operators here to deploy WiMax solutions. It is going to be huge, especially in connecting the rural areas,” he said.

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