Companies

Cable TV digitisation dishes out opportunities for tech firms...

Amit Mitra Hyderabad June 14 | Updated on June 15, 2012

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Digitisation of cable TV networks in the four metros is almost certain to miss the June 30 deadline. But this has already opened up an attractive window of business opportunities for a clutch of media technology companies.

From import of set top boxes to providing distribution, head-end and security solutions, these companies are seeing big money in the digitisation process.

Orders from Multi-System Operators (MSOs) in the four metros have begun to come, involving different business models and revenue sharing arrangements with the media solutions providers. The major players in the race for these orders include the Indian subsidiaries of foreign players such as NDS, Irdeto and Nagravision, Hyderabad-based Corpus Media and CISCO.

Industry players expect the pan-India digitisation process, which will involve digitisation of 80 million household cable TVs through a network of 6,000 MSOs, could throw up business opportunities worth Rs 40,000 crore.

While some operators are designing orders involving end-to-end solutions, others are roping in different service providers. In Chennai, Arasu Cable TV Corporation has invited tenders earlier this month for the design, supply, installation, testing, commissioning and managing services of digital cable TV system in a single package.

Mr Sachin Tummala, chairman of Corpus Media, said Arasu has projected a subscriber base in Chennai of two million in the first year and 10 million by two years when digitisation is expanded to cover the state.

Corpus, which is in the race for the Arasu order, has already signed a deal with Manthan for Kolkata, but only for solutions such as low-end distribution solution, HD solutions and later IPTV. “Here the revenue model is different. We will be charging a porting fee for our services and we will not supply the set top boxes,” Mr Tummala said.

Cisco, along with its partners Gujarat Telelink and Fastway Transmission, has unrolled its services in Gujarat, Kolkata, Punjab and Chandigarh.

Published on June 15, 2012

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