Category: Multi System Operators

  • Subscribers blame operators for channel packages

    Subscribers blame operators for channel packages

        
    KOLKATA: This year, not only has the economic recession dampened Kolkata’s festive fervour, customers are now complaining about the inability to view their favourite television channels despite opting for them.

    However, before jumping to any conclusions about multi system operators (MSOs) having missed their deadline for offering channel packages, the MSOs maintain they’ve already done the needful. So why then are subscribers cribbing?

    Apparently, a majority of them have filled out customer request forms (CRFs) opting for a fresh bouquet of channels and yet, nothing has changed for them.

    Says Shyamal Sen, a resident of south Kolkata: “I do have a cable connection with a package of Rs 280+Rs 50 (tax), which amounts to Rs 330 per month … but all these packages are only fooling people. I assume my neighbour has taken the Rs 180 package and still enjoys all the channels.”

    Rupa Das from Behala is happy that a couple of channels she had struck off from the list last month have gone off air but is yet to receive her new package.

    On their part, MSOs refuse to take the blame for the plight of subscribers.

    Kolkata has 30 lakh cable homes and nine MSOs, of which, SitiCable controls a substantial share of cable users. The company claims it has introduced packages on time. “We have offered the package and achieved 100 per cent CRF. Around 50,000 subscribers did not submit their forms. It seems those households which have more than one set-top box have not opted for a package for their second one or they are not residing in Kolkata,” says Siticable Kolkata director Suresh Sethia.

    A Hathway Cable and Datacom official too maintains the company has offered channel packages to all its customers and hasn’t received any such complaints so far.

    While Cable Operators Digitalisation Committee Kolkata Association of Cable Operators convener Swapan Chowdhury, reasons that the process could have been delayed with the onset of Durga Puja. According to him, MSOs and operators might take another month to start beaming channel packages. “A lot of back-end technical work still remains before new packages can be beamed,” he argues.

    Similarly, an official from another MSO says since the MSO hasn’t yet collected CRFs from its customers, it plans to beam packages in phases after Durga Puja. “The LCOs will not work this week. Even if I want to offer packages, nothing can be done. Customers have to understand this,” he says.

    Manthan director Sudip Ghosh says customers are going in for need-based packages currently.

    Meanwhile, Namit Dave, a media analyst, is rather candid about the whole thing. He reasons that with the delay in the DAS process, it was apparent that channel packages would not be in place starting 1 October. “Even now in Kolkata, 100 per cent DAS has not been achieved in reality. So there is no question of channel offer,” he shoots.

    If sources are to be believed, nearly 60 per cent of CRFs have been collected in Kolkata. However, festivities have put a spanner in the works and it is likely that MSOs and operators will take some more weeks before they start beaming the channel packages.

  • Subscribers blame operators for channel packages

    KOLKATA: This year, not only has the economic recession dampened Kolkata’s festive fervour, customers are now complaining about the inability to view their favourite television channels despite opting for them.

    However, before jumping to any conclusions about multi system operators (MSOs) having missed their deadline for offering channel packages, the MSOs maintain they’ve already done the needful. So why then are subscribers cribbing?

    Apparently, a majority of them have filled out customer request forms (CRFs) opting for a fresh bouquet of channels and yet, nothing has changed for them.

    Says Shyamal Sen, a resident of south Kolkata: “I do have a cable connection with a package of Rs 280+Rs 50 (tax), which amounts to Rs 330 per month … but all these packages are only fooling people. I assume my neighbour has taken the Rs 180 package and still enjoys all the channels.”

    Rupa Das from Behala is happy that a couple of channels she had struck off from the list last month have gone off air but is yet to receive her new package.

    On their part, MSOs refuse to take the blame for the plight of subscribers.

    Kolkata has 30 lakh cable homes and nine MSOs, of which, SitiCable controls a substantial share of cable users. The company claims it has introduced packages on time. “We have offered the package and achieved 100 per cent CRF. Around 50,000 subscribers did not submit their forms. It seems those households which have more than one set-top box have not opted for a package for their second one or they are not residing in Kolkata,” says Siticable Kolkata director Suresh Sethia.

    A Hathway Cable and Datacom official too maintains the company has offered channel packages to all its customers and hasn’t received any such complaints so far.

    While Cable Operators Digitalisation Committee Kolkata Association of Cable Operators convener Swapan Chowdhury, reasons that the process could have been delayed with the onset of Durga Puja. According to him, MSOs and operators might take another month to start beaming channel packages. “A lot of back-end technical work still remains before new packages can be beamed,” he argues.

    Similarly, an official from another MSO says since the MSO hasn’t yet collected CRFs from its customers, it plans to beam packages in phases after Durga Puja. “The LCOs will not work this week. Even if I want to offer packages, nothing can be done. Customers have to understand this,” he says.

    Manthan director Sudip Ghosh says customers are going in for need-based packages currently.

    Meanwhile, Namit Dave, a media analyst, is rather candid about the whole thing. He reasons that with the delay in the DAS process, it was apparent that channel packages would not be in place starting 1 October. “Even now in Kolkata, 100 per cent DAS has not been achieved in reality. So there is no question of channel offer,” he shoots.

    If sources are to be believed, nearly 60 per cent of CRFs have been collected in Kolkata. However, festivities have put a spanner in the works and it is likely that MSOs and operators will take some more weeks before they start beaming the channel packages.

  • Hathway Broadband launches Docsis 3.0 Ultra High speed network

    Hathway Broadband launches Docsis 3.0 Ultra High speed network

    MUMBAI: Hathway Cable and Datacom, the largest cable broadband company in India, has launched the Docsis 3.0 ultra High speed network. Docsis 3.0 is a widely deployed technology and is the dominant technology powering leading Broadband markets like USA, Korea and Europe. Docsis 3.0 is capable of delivering speeds upto 1 Gigabit.

    We are the first Company to launch a Docsis 3.0 network in the country,” said Hathway Cable & Datacom MD & CEO Jagdish Kumar. “With our Docsis 3.0 network supplied by Cisco we are ready to deliver Ultra High Speed Broadband upto 50 Mbps to every retail customer in South Mumbai. We see Broadband as a key part of our business portfolio and we will soon be launching the Docsis 3.0 networks in other parts of the country. We are enabling our network for delivering a superior HD video experience on our Cable TV as well as on Broadband.”

    Hathway Broadband business head Kunal Ramteke added, “True High speed retail Broadband delivered on Docsis 3.0 will be a game changer in the market. In today’s video led internet consumption these speeds are absolutely vital for a superior consumer experience. The south Mumbai customers will be able to enjoy YouTube in HD and lightning fast responses in internet gaming. TV is also being consumed across multiple screens. With our new Docsis 3.0 plans starting at Rs 599 you will not break the bank to start enjoying these benefits.”

    Cisco service provider software solutions VP – sales Sue Taylor said, “Cisco is excited to be playing a crucial role in shaping this industry and leading it to a transformative stage with technology. Hathway has been a pioneer in its willingness to adopt technology that benefits its subscribers and we congratulate them on this important milestone.”

    To cater to this demanding high speed segment, Hathway will also be launching a dedicated Service Desk exclusively for the Docsis 3.0 customers. These desks will have fully trained staff to handle any service requirements pertaining to High speed internet access through multiple devices. Hathway is also geared to deliver 99.9 per cent network availability and service issue resolution within 24 hours recognising the criticality of a high speed connection in the connected world of today.

    Hathway Docsis 3.0 plans start from monthly Rs 599 and go upto Rs 1499 for the 50 Mbps plan which offers 50 GB of download data.
    The network is initially being deployed in south Mumbai and has been extensively tested. All existing and new customers of Hathway Broadband in south Mumbai can upgrade to the Docsis 3.0 plans. The customers will be provided a Docsis 3.0 Modem by Hathway which will be capable of supporting the Ultra High Speed Plans.

  • Kolkata based MSOs, LCOs receive summons from service tax department

    Kolkata based MSOs, LCOs receive summons from service tax department

    KOLKATA: The Kolkata based Multi System Operators (MSOs) and local cable TV operators (LCOs) had uninvited guests last week. They were taken by surprise when the service tax officials conducted two raids to probe into their alleged financial irregularities. And, this in a digital addressable system (DAS) cable TV ecosystem which reveals the business and operations of these players at length.

    Apart from service tax, the income tax department also searched the premises of one of the big MSOs. And if sources are to be believed, the MSO made an upfront payment of around Rs 50 lakh – Rs 75 lakh to the income tax authorities.

    More than 350 cable operators have been issued summons for evading service tax payments for the past five years, sources said. “As per market reports two MSOs were raided last week, who then had to cough up huge amounts to the service tax authorities. The officials questioned the accountant of the MSOs on the financial details,” said a cable TV industry insider.

    It is also learnt that another MSO who had evaded service tax amounting to Rs 15 crore – Rs 20 crore spanning over four years, had to cover up the case by paying a huge amount to the authorities. “It is learnt that the company deposited a huge amount, though I am unsure of the exact amount,” the source added.

    Though the second MSO, whose office was raided on Thursday paid Rs 2.5 crore (approximately) to the service tax department officials. “Another Rs 50 lakh – Rs 75 lakh was given to the income tax department,” he informed.

    “The raid was part of a probe into financial transactions for suspected alleged tax evasion by the cable TV operators in Kolkata,” he said.

    A cable operator under Gujarat Telelink, an MSO, informed that as per the summons, the operator has to furnish details of the number of set top boxes installed and also the account details for the past five years. “If we don’t furnish it, we might be in trouble,” he said.

    Cable industry sources inform that cable TV operators are liable to pay 12.36 per cent as service tax to the authorities from the subscription amount collected every month from the customers.

    Kolkata based operators are treading in troubled waters. First it was the Telecom Regulatory Authority of India (TRAI) which planned to take strict action against the MSOs and LCOs for not collecting and feeding the CAF details into the system for DAS implementation and now they face the wrath of tax inspectors.

    Seems like it is time for operators to buck up and clear all past payments to avert any embarrassing situation in the DAS environment.

  • Apple TV gets Disney Channels app, Microsofts Xbox offers Time Warner Cable

    Apple TV gets Disney Channels app, Microsofts Xbox offers Time Warner Cable

    MUMBAI: Apple and Microsoft have added new channels to their streaming video devices that boost their available content. It’s a step forward for both gadgets but doesn’t break the a la carte wall just yet. Apple TV was upgraded to include apps for Disney channels – pay TV subscription required – Vevo and the Weather Channel, while Microsoft’s Xbox 360 console added a subscription-contingent Time Warner Cable app. The latter offers access to 300 TV channels including CNN, AMC and Comedy Central.
        

    Blair Westlake, corporate VP of Microsoft’s media and entertainment group, told the Wall Street Journal’s Digits blog that his company had considered licensing channels directly from media companies to create a service similar to the kinds of online cable TV products planned by Intel and Sony. “We looked at it and said if we can deliver an app or apps like the one we are lighting up today” with Time Warner Cable, that’s “really what people expect.”

  • Kolkata’s cable TV customers feel CAF heat as blackouts spread

    Kolkata’s cable TV customers feel CAF heat as blackouts spread

    KOLKATA: Kolkata is seeing some frenetic activity on the cable TV front. The city’s multisystem operators (MSO) have started switching off signals in several pockets in Kolkata where cable operators have failed to comply with the Telecom Regulatory Authority of India (TRAI) norms and not provided them with the KYC or CAF forms of their subscribers. But MSOs have also been prompt in bringing the disconnected customers back online once the CAFs are submitted and fed into their systems.

    Apparently, the consensus amongst the cable TV fratenity is that cable TV subscribers are understanding the gravity of the situation with their cable TV connections being cut. And they have been a hurry to submit their CAFs now. “About 30,000 boxes had been deactivated and then reactivated after we received filled out forms from them,” said Manthan director Sudeep Ghosh.

     “We are in touch with the MSOs and we have been told that nearly two lakh set top boxes have been deactivated across the city and about 1.3 lakh boxes have been downgraded to DD channels only,” says a TRAI official.”And this is working as all the MSOs are saying that they are being flooded with CAFs as compared to earlier when there was lethargy.”

    The phase-wise deactivation of set top boxes had proved to be effective in sending out the intended message to consumers, he said.

    Consumers are confused and are complaining that there had been no intimation to them about the forms.

    A DTH service provider said that its call centres are receiving extra call loads with cable TV subscribers enquiring about the options available to them. “Our callers have expressed that it is better to settle with the seamless connection instead of haggling with the cable operator, who is ill-informed and not up to date with what is expected to be done,” says the DTH executive.

    We will have to simply keep our eyes glued to see if those callers will migrate to DTH. Going by past track records in other cities in phase I and phase II, it probably does not seem likely. Though many have expressed that a paradigm shift is needed.

  • Time Warner Cable supplies customers with rabbit ears “TV antennas” during CBS Blackout

    Time Warner Cable supplies customers with rabbit ears “TV antennas” during CBS Blackout

    MUMBAI: Time Warner Cable is trying out a traditional solution to its longstanding CBS blackout problem. The cable operator has started offering free television antennas to help its customers continue watching their favorite CBS shows via broadcast signals. The offer is particularly effective in major cities including Los Angeles, Dallas, and New York.

    The cable company notified its customers in affected areas about its latest offer that would serve as a temporary solution to the CBS blackout. It has posted the message on its Website and has sent communication through email. Time Warner Cable is giving away basic indoor antennas to its subscribers. The tool could be claimed at any Time Warner Cable store. It is also offering a $20 voucher to each customer who prefers to purchase TV antennas at any Best Buy location.

  • Around 1.80 lakh defaulters in Kolkata face TV blackout as of 26 August

    Around 1.80 lakh defaulters in Kolkata face TV blackout as of 26 August

    KOLKATA: With the Telecom Regulatory Authority of India (TRAI) pressuring service providers in Kolkata to disconnect the television connections of customers for not submitting the subscriber application forms, multiple system operators, more than 1.80 lakh customers have experienced a black out till Monday evening.

    While talking about the snapping of the connection which started from Saturday morning, Den Networks, Hathway Cable and Datacom and Manthan Broadband Services snapped the maximum number of cable connections, out of 80,000 which were disconnected on August 24.

    Also, with just around 45 days remaining for the grand festival of Durga Puja, some cable operators are relaxed and have assured the customers that they can send the details after the festival is over, said a customer, using the service of one of the players, which has maximum penetration in KM area.

    Industry sources said: “The consumer application forms (CAF) of these MSOs were not ready as compared to other players like SitiCable. As a result, the three MSOs had to switch off the connection,” adding that the MSO will continue to switch-off few connections at a time in the coming days to guard against law-and-order problem.

    As per the TRAI mandate, the MSOs were supposed to switch-off the cable connections of those customers, who had not filled-up the CAFs in Kolkata post midnight of 23 August.

    Committee of the Association of Cable Operators, Cable Operators Digitalisation convener Swapan Chowdhury said the MSOs have been asked by the TRAI to provide details of TV connections running illegally in the KM area.

    Siticable that has disconnected more than 90,000 subscribers till Monday evening, has seen a good response from customers. “We are not switching off the connections of CAF non compliance customers at a go. We are doing it in small numbers – say 15,000,” expounded Siticable director (Kolkata) Suresh Sethia.

    Manthan Broadband Services which has installed 6.5 lakh to seven lakh set top boxes, had alone disconnected around 30,000 connections on Saturday, said Manthan Broadband Services director Sudip Ghosh.

    “Our purpose is not to switch-off the connection. But after snapping say four connections, more than 100 customers have approached from the vicinity,” he added.

    Seeing the fast response from the customers, it can be easily assumed that in the KM DAS area, CAFs rate is likely to be 70 per cent to 80 per cent in next six days – seven days, Ghosh predicted.

    Den Networks and Hathway Cable and Datacom could not be asked specifically about the connections snapped by them in KM area.

    Cable Shilpa Bachao Committee convener Mrinal Chatterjee said instead of disconnecting the TV sets, TRAI should penalise the MSOs and not the customers by asking MSOs to switch off the connection; as the CAFs were not given to the customers on time.

    With no official extension notice from the regulatory body, will Kolkata see deactivation of set-top boxes of more and more defaulters at this juncture? Watch this space for the latest updates.

  • lost 2.5 mn viewers between 2010 and 2012: FCC

    lost 2.5 mn viewers between 2010 and 2012: FCC

    MUMBAI: According to recently released FCC data from their annual report on cable industry competition, the cable industry lost roughly 2.5 million video subscribers between 2010 and 2012. According to the FCC, cable operators laid claim to 57.3 million pay TV subscribers at the end of 2012, down from 59.8 million in 2010. 

    Most of these customers flocked to telcoTV, with AT&T U-Verse increasing their subscriber total from three million to 4.1 million between 2010 and 2012, and Verizon FiOS’s total subscriber total going from 3.5 million to 4.5 million during the same stretch. Verizon and AT&T recently announced they’ve both passed the five million cable TV subscriber mark, giving them more TV customers than all but the nation’s two largest traditional cable companies: Comcast and Time Warner Cable.

    Cord cutters make up a very small but growing part of the equation as well, with even the industry’s biggest cord cutting deniers now acknowledging the glacial but inevitable trend toward less expensive internet options for many users.

    Meanwhile, the FCC report also pointed out that the soaring costs of programming is slowly but surely driving many of the nation’s smaller cable operators out of business. “800 cable systems serving over 35,000 subscribers have closed mostly in small and rural communities, leaving those communities without any wireline MVPD (cable video) service,” claims the report.

  • Manthan Broadband to invest big bucks to expand reach

    Manthan Broadband to invest big bucks to expand reach

    KOLKATA: The kingpin of the Multi System Operator (MSO) ecosystem in the East, Manthan Broadband Services has drawn an aggressive plan to secure its current position. Aware of the competitive market, this Kolkata-headquartered MSO plans to invest Rs 450 crore by 2014 end to upgrade its cable TV operations and also expand its reach in the eastern region.

    The cable operator which planned to install around 36 lakh Set Top Boxes (STBs) in the entire eastern region including Kolkata, rest of Bengal, Orissa, Jharkhand, Meghalaya and Assam by September 2014, has already installed around seven lakh STBs in Kolkata.

    While for the subscribers’ management system (SMS), Manthan is likely to sign a contract with an international brand soon. “We will soon be signing Rs 120 crore contract for the management work for 10 years. We will also invest to build best infrastructure which includes network, encryption, SMS and call centre,” informed Manthan Broadband Services director Sudip Ghosh.

    Created way back in 2002 through a merger of the operations of nine cable TV operators, Manthan has indeed come a long way.  The MSO caters to 30 lakh households, serving a greater part of Kolkata and West Bengal and other eastern regions with four digital headends and 40 analogue headends. It has more than 2,500 cable operator partners in the region.

    Manthan had earlier earmarked an investment of Rs 600 crore, out of which around Rs 150 core was spent in the markets of Kolkata and Jharkhand. “We will now spend Rs 450 crore in other states of the east. The promoters would invest a part of it and Manthan is looking at raising debt from banks,” added Ghosh.

    The company has a market share of 34 -35 per cent in the installed STBs offering 350 channels in Kolkata Metropolitan Area (KMA). Manthan has penetration in areas like Kolkata, Howrah, Hooghly, Baraipur and Chandannagar among others.

    On the company’s plans to hit the capital market with its initial public offering (IPO) to fund its expansion plans in the next two to three years, Manthan Broadband Services director Gurmeet Singh said, “We have started the backend work. There are many regulatory issues which we have to look at.”

    Also on the back of Indian rupee depreciating against the US dollar and Manthan as a company is likely to import more than 30 lakh STBs in the next one year. Ghosh said the import of the boxes have become costlier now as compared to when the rupee to dollar rate was Rs 46 – Rs 47 a dollar.

    “Even if the import cost for us is Rs 2,000, we give a subsidy to consumers and sell at Rs 999,” he hinted, saying that apart from other cable operators, it has a tough war to fight with direct-to-home (DTH) players. “We feel a hit at the revenue but it does not strike the bottom line up since we are in other added services too,” he said.

    Singh said that the company imports STBs mainly from China and added that if any local manufacturer sets up an assembling unit upon getting benefits and incentives from the government, it would help the industry people immensely.

    Manthan currently employs more than 300 people. This number will go up by another 30 per cent by 2014 end. The MSO currently serves more than 25 lakh households in the states of eastern region. “Of this we have around 18 lakh analogue cable connections,” he informed.

    According to sources, by September 2014, the rest of Bengal will witness 50 lakh STB installations. Also Orissa will see seven lakh installations, Jharkhand eight lakh-10 lakh, Meghalaya and Assam will register five lakh STB installations each.

    Commenting on the reach of Manthan, Hathway Cable and Datacom MD and CEO Jagdish Kumar G Pillai said, “The fragmented cable TV is likely to see some consolidation and the same applies to eastern region too. Manthan’s investment plans in the eastern region shows its commitment.”

    While aother MSO on the condition of anonymity stated: “Manthan had been performing well in the past but with digitisation kicking in, it has lost its hold on the market and dropped in its position. In terms of box supply and system integration, the company could not stand at par with its competitors. In fact recently due to funding issues, it has become difficult for it to operate in locations like Mednipur, Kharagpur and Bankura among other locations.”

    Industry sources feel that the company in order to move ahead and achieve such ambitious plans will have to work jointly with other companies, going forward.