Cable TV

Cable TV, telecom networks converging for NGN

Published

22 years ago

March 17, 2004

NEW DELHI: The latest buzz word in the telecom and cable industry is next-generation networks (NGNs) for communication. And the techies and regulators are chanting this mantra alike.

Telecom Regulatory Authority of India (TRAI) chairman Pradip Baijal justified the government’s decision to let his organisation regulate cable and broadcasting sectors as well, saying this presages the cable TV and telecom networks converging to form the futuristic, next-generation networks.”The 55 million cable TV reach forms a powerful medium,” he pointed out, though his take on cable penetration sounded a bit exaggerated.

Addressing a pre-conference panel discussion today on “New Generation Networks” on the eve of the three-day 12th Convergence India exhibition and conference, Baijal said that technology changes were so fast that regulators worldwide were finding it difficult to keep pace with the changes.

However, India could learn from the experience of the rest of the world in channeling the potential of convergent networks.

TRAI expects to issue the Internet and broadband recommendations over the next fortnight, Baijal said, adding the growth in these segments was the next step after the government removed artificial barriers between WLL and GSM mobile networks to form a single unified license.

Telecom was moving towards a unified access using different alternative technologies, Baijal pointed out. He referred to the problems being faced by the US regulator in separating voice over copper lines from the voice over the Internet. “Artificial restrictions between WLL and GSM mobile telephony should go,” he pointed out, referring to the transformation in the telecom scene brought about by a Trai decision to remove such restrictions last year.

He expected more such divisions between different technologies to be lifted in the coming months.

BROADBAND ON MOBILE HANDSETS

“Broadband-on-the-desktop in the US is getting transformed into broadband-on-mobile-handsets,” said Qualcomm executive vice president and group president Dr Paul E Jacobs. In the evolving next-generation networks (NGNs), over 20 per cent of the revenue is already being generated from data services and applications.

He expected NGNs to move toward mobile technology. “Already many people are communicating using the Internet over mobile phones,” he pointed out.

Pointing out that the evolving technologies are changing the industry structure, Dr Jacobs said with the growth of 3G mobile systems, the opportunities to market content are also growing. “Business opportunities are emerging in the applications segment for India in the same manner software had spawned new enterprises,” he added.

Commenting on the opportunities for India, Dr Jacobs said, “There will be more emphasis on software development. Is there a hardware opportunity as well? That possibility exists too.”

Dr Jacobs will be delivering a keynote address on NGNs at the 12th Convergence India show starting tomorrow at Pragati Maidan here.

Korea Telecom senior VP and head, global business center Dr Hansuk Kim, a débutante in the convergence show, said new generation networks were defined as broadband convergent networks in Korea. Highlighting KT’s performance, Dr Kim added they have launched a 3G service based on W-CDMA and had been providing 2.5G services for over four years.

Korea Telecom is now working toward offering better functionality, at more competitive prices. “We need to think ahead and find better ways to deploy broadband – over wireless or wireline. It is time to integrate telecom and the Internet traffic on a simplified network infrastructure,” he said.

Giving his impressions on NGN, BSNL director (commercial and marketing) N K Mangla, said it should be a network that provides all types of services and empowers providers to offer any service. He pointed out that though there had been a lot of rhetoric about NGNs over the last three to four years, few networks had actually been rolled out.

Highlighting BSNL’s strategy, he said, “We are trying to provide broadband services full steam and are adopting new approaches. We will have about 500,000 customers in the next 12 months or so. We are starting to procure ADSL equipment and have tied up with KT in a big way. We also plan to have franchisees and will have a revenue-sharing model as well.”

Sun Microsystems Asia Pacific Bill Cowper telecommunications industry director said, “We are looking at Java.” He said providers should look at making money out of content and highlighted the classic case of NTT DoCoMo’s i-mode. “It was a marketing idea that went out to 35 million users in two years,” he added.

UT Starcom additional vice-president, global strategic technology, business development Brian Caskey said the key message going out was triple-play services — delivering voice, video and data across the existing copper loops.

Citing Japan’s example, he added that high speed, along with voice and other services drew customers to the broadband service. In India, wireless has been growing faster than wireline. Broadband services can help service providers raise their ARPU levels, while some other revenue streams can be television-over-IP, video-on-demand, broadcast TV, etc.

Lucent Technologies Hindustan Pvt. Ltd. president and CEO Vincent J Mazzola said there were many attributes of i-mode that led to its success in Japan. “I see that happening in India as well.” NGN will be the platform that will deliver applications.

ZTE Corp general manager-international division Fang Rong while highlighting the firm’s achievements, said its equipment have been installed in over 60 countries. This year, it has invested 15 per cent of its revenue into R&D. It also has 12 million CDMA lines deployed worldwide. ZTE India is actively participating in the network construction and will further increase activities in the area.

Earlier, while welcoming the panelists, Exhibitions India Pvt. Ltd. managing director Prem Behl – the main organiser, said that in the present-day India, the central government and its 28 states were racing one another in bringing the benefits of convergence to their furthest corners.

“Ideas like e-governance and government services online, empowering the last man to file his complaint to the chief minister directly over the line, or calling the district administration to attend to his problem of bringing water to a parched field are no longer a scientific fiction. Cable TV is no longer viewed as a source of soap dramas. It is seriously a candidate to bring distance education to remote areas,” Behl added.

COUNTRY PAVILIONS AT THE EXHIBITION

CHINA: With a view to encourage interaction among Chinese manufacturers and Indian distributors of telecom and broadcasting equipment, 12th Convergence India 2004 presents the high profile “Chinese Pavilion,”consisting of over 20 companies displaying their products and services. ZTE and Huawei Technologies are some of the major sponsors from China.

FRANCE: Nine firms from France are here to participate in the French Pavilion at 12th Convergence India 2004. The visitors will view French technologies and products in communications, space and convergent technologies on display at the exhibition.

ISRAEL: The participating Israeli companies are convinced that the 12th Convergence India 2004 will present a good platform to enter the burgeoning Indian market. Their participation over the last 5 years at the event has been fruitful. This year, the Israel Export Institute has expanded the delegation from Israel with a total representation of 12 companies.

KOREA: The Korean Pavilion is a new attraction at the 12th Convergence India 2004 event. Korea Telecom is a major sponsor. This year 18 companies from Korea will showcase their products at the exhibition.

USA: The USA Pavilion has had overwhelming success at all Convergence India events. This year is no exception. 34 companies from the USA will be here at full strength to showcase next generation products and services.

Related Topics:cable TV Dr Hansuk Kim Dr Jacobs N K Mangla NGN.Pradip Baijal Trai

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Cable TV

Den Networks Q3 profit steady despite revenue pressure

Published

1 month ago

January 19, 2026

indiantelevision.com Team

MUMBAI: When margins wobble, liquidity talks and in Q3 FY25-26, cash did most of the talking. Den Networks Limited closed the December quarter with consolidated revenue of Rs.251 crore, marginally higher than the previous quarter but down 4 per cent year-on-year, even as profitability stayed resilient on the back of strong cash reserves and disciplined cost control.

Subscription income softened to Rs.98 crore, slipping 3 per cent sequentially and 14 per cent from last year, while placement and marketing income offered some cheer, rising 15 per cent quarter-on-quarter to Rs.148 crore. Total costs climbed faster than revenue, up 7 per cent QoQ to Rs.238 crore, driven largely by higher content costs and operating expenses. As a result, EBITDA dropped sharply to Rs.13 crore from Rs.19 crore in Q2 and Rs.28 crore a year ago, pulling margins down to 5 per cent.

Yet, the bottom line refused to blink. Profit after tax stood at Rs.40 crore, up 15 per cent sequentially and only marginally lower than last year’s Rs.42 crore. A healthy Rs.57 crore in other income helped cushion operating pressure, keeping profit before tax at Rs.48 crore, broadly stable quarter-on-quarter despite the tougher cost environment.

The real headline-grabber, however, sits on the balance sheet. The company remains debt-free, with cash and cash equivalents swelling to Rs.3,279 crore as of December 31, 2025. Net worth rose to Rs.3,748 crore, while online collections accounted for 97 per cent of total receipts, underscoring strong cash discipline across operations, including subsidiaries.

In short, while Q3 showed signs of operating strain, the financial backbone remains solid. With zero gross debt, steady profits and a formidable cash war chest, the company enters the next quarter with flexibility firmly on its side proving that in uncertain markets, balance sheet strength can be the best growth strategy.

Cable TV

Plugging along as Hathway tunes in steady profits this quarter

Published

2 months ago

January 17, 2026

indiantelevision.com Team

MUMBAI: In a quarter where staying connected mattered more than moving fast, Hathway Cable and Datacom kept its signal steady. The cable and broadband major reported a net profit of Rs 21.7 crore for the December 2025 quarter, marking a clear improvement from Rs 13.6 crore a year earlier, even as pressures persisted in parts of its operating portfolio.

For the quarter ended December 31, 2025, revenue from operations stood largely flat at Rs 536.6 crore, compared with Rs 511.2 crore in the same period last year. Including other income of Rs 21.1 crore, total income rose to Rs 557.7 crore, reflecting incremental gains despite a competitive media and connectivity landscape.

Profitability improved on the back of disciplined cost control and higher contribution from associates. Profit before tax increased to Rs 28.2 crore, up from Rs 19.1 crore in Q3 FY25, aided by Rs 3.9 crore in share of profit from associates and joint ventures. After tax, earnings for the quarter climbed nearly 60 per cent year-on-year.

Over the nine months ended December 31, 2025, Hathway reported a net profit of Rs 71 crore, compared with Rs 57.7 crore in the corresponding period last year. Total income for the nine months came in at Rs 1,677.3 crore, up from Rs 1,599.8 crore, while profit before tax rose to Rs 94.7 crore from Rs 84.2 crore.

A closer look at the segments shows a familiar split story. The cable television business remained under pressure, reporting a segment loss of Rs 11.4 crore for the quarter, though this narrowed sharply from the Rs 16.6 crore loss seen a year ago. In contrast, the broadband business returned to the black, delivering a modest but positive contribution of Rs 4.2 crore, helped by associate income. Dealing in securities continued to be a bright spot, generating Rs 14.7 crore in quarterly profits.

Costs stayed broadly contained. Pay channel costs, the single largest expense, rose to Rs 287.4 crore, while depreciation and amortisation stood at Rs 74 crore. Finance costs remained negligible at Rs 0.2 crore, keeping leverage risks in check.

Hathway’s earnings per share for the quarter improved to Rs 0.12, up from Rs 0.08 a year ago. The company maintained a strong balance sheet, with total assets of Rs 5,302.4 crore and total liabilities of Rs 848.9 crore as of December 31, 2025.

While structural challenges persist in the traditional cable business, the numbers suggest Hathway is slowly recalibrating its mix trimming losses where needed, leaning on associate income, and keeping the broadband engine ticking. For now, the company may not be racing ahead, but it is clearly staying tuned in to profitability.

Cable TV

Signal drop Tejas Networks’ numbers stay patchy in a volatile quarter

Published

2 months ago

January 10, 2026

indiantelevision.com Team

MUMBAI: In telecom, even the strongest signals face interference and Tejas Networks Limited’s latest numbers show just how noisy the airwaves remain. The Tata Group-backed networking firm reported unaudited standalone revenue of Rs 305.72 crore for the quarter ended December 31, 2025, up sequentially from Rs 261.37 crore in the September quarter, but sharply lower compared with the Rs 2,642.05 crore clocked in the year-ago period. The topline recovery, however, was overshadowed by a pre-tax loss of Rs 303.20 crore, widening from a Rs 473.03 crore loss in the previous quarter, and reversing a Rs 211.06 crore profit reported in the December 2024 quarter.

After tax, the company posted a loss of Rs 196.89 crore for Q3 FY26, compared with a loss of Rs 307.17 crore in Q2 FY26 and a profit of Rs 165.42 crore a year earlier. For the nine months ended December 31, 2025, Tejas Networks reported revenue of Rs 769.02 crore and a loss after tax of Rs 697.97 crore, a sharp swing from a Rs 512.67 crore profit in the corresponding nine-month period last year. The numbers reflect a year marked by execution challenges rather than demand collapse.

Costs remained the dominant spoiler. Total expenses for the December quarter stood at Rs 616.50 crore, driven by elevated material costs, employee expenses and provisioning. The company also flagged several one-offs and adjustments: a Rs 9.85 crore provision linked to the implementation of new labour codes, ₹24.35 crore in warranty provisions, and reversals related to inventory obsolescence. Earlier quarters had already absorbed heavy charges tied to contract manufacturing losses, design changes and write-downs, the hangover from which continues to weigh on profitability.

Tejas reiterated that it operates as a single reportable segment focused on telecom and data networking products and services, offering little insulation from sector-wide volatility. While revenue momentum has stabilised sequentially, the contrast with the previous financial year remains stark. For context, the company closed FY25 with audited standalone revenue of Rs 8,915.73 crore and a profit after tax of Rs 450.66 crore, underscoring how sharply the operating environment has shifted in FY26.

The results were reviewed by the audit committee and approved by the board on January 9, 2026, but they leave investors with a familiar question: when does recovery turn structural rather than episodic? For now, Tejas Networks appears to be in reset mode, balancing execution clean-up with cost discipline. In a sector where margins can be as fragile as fibre strands, the next few quarters will matter as much as the signals the company sends to the market.