ITV

Tag: Cable TV Digitisation

  • Industry needs to come together to put all systems in place for Phase 2: Parameswaran

    Industry needs to come together to put all systems in place for Phase 2: Parameswaran

    MUMBAI: The multi system operators (MSOs) might have successfully installed set top boxes (STBs) in majority of homes in phase 1 of digitisation but the government feels that is just one aspect of the drive and other aspects like subscriber management system (SMS) and billing system need to be put in place if the real benefits of digitisation have to be realised.

    The Telecom Regulatory Authority of India (Trai) wants the industry to set things right for Phase 2 of cable TV digitisation. Trai consultant N Parameswaran said Tuesday that the stakeholders need to work towards having all the systems in place in order to implement digitisation in letter and spirit.

    “Digitisation has not happened in a manner that we wanted to. It’s not a regulatory issue. The industry has to come together and ensure that that all the systems are in place from day one for phase 2,” he said.

    According to Parameswaran, the real benefits of digitisation have not reached people. "The subscriber management system is not in place. What has happened is only set top boxes have been installed,” Parameswaran said, while taking part in a panel discussion on digitisation at Ficci Frames 2013.

    Parameswaran said that the Trai had recently issued notices to MSOs and LCOs (Local Cable Operators) to make their SMS operational in DAS areas to ensure things fall in place.

    While commending the industry for achieving digitisation in a short span of time, Den Networks CMD Sameer Manchanda assured that the SMS and billing system will fall in place in 60 days.

    “We should have all things in place in 60 days. Putting eight million STBs was a herculean task. Digitisation has taken years in other countries,” Manchanda said.

    IndiaCast Group CEO Anuj Gandhi said the ARPUs (Average Revenue Per User) will increase gradually. The key is to segment existing channels and create packages accordingly. A case in point, Gandhi said, was having a South Indian channel package for Mumbai.

    Gandhi urged the industry to take one step at a time. The immediate priority, he said, was to get back-end systems in place. “For broadcasters, it’s a scary thought that the customers are getting more channels for the same price,” averred Gandhi.

    According to Multi Screen Media (MSM) CEO Man Jit Singh, government should continue to play the facilitators role like it did in the first phase. He also said that STBs have installed, subscribers are getting digital signals but little has changed apart from that.

    “What we have shown in first phase is that we came together as an industry to implement digitisation. The government also has a critical role to play. It should continue to play the facilitators role to bring together different stakeholders in the industry,” Singh said.

    He added, “Tiering and ARPU is incremental to drive the market together by understanding the consumer needs and expectations. The burden of expansion has to be shared by the Local Cable Operator (LCO), Multi System Operator (MSO), broadcaster and the consumer.”

    IBM Global Business Services India/SA Director & Partner, Industry Leader – Media & Entertainment Raman Kalra said that it is important for the industry to keep parallel strategy in place as the business model is evolving continuously.

    “Consumer is willing to pay but the industry should know how to extract it. The key is to know your customers to facilitate micro-segmentation and then work on the content strategy accordingly,” Kalra said.

    Reliance Broadcast Network Limited (RBNL) CEO Tarun Katial said the advent of digitisation has made things easier for new channels as the carriage and placement is not a big problem anymore.

    He also said that the availability of more channels has meant that consumers are sampling more channels which is good for niche channels. He also felt that dynamics will change as advertisers will now have to shell out more for advertising on television as subscription revenues go up and advertising duration is cut down.

    Times Television Network (TTN) MD & CEO Sunil Lulla said, “The current economics are not adequate for the success of Phase 2 of digitisation. There is an urgent need for industry transformation and an effective change in consumer experience. We are sitting at the cusp of change where widespread and deep digitisation will happen on the back of consumers, regulators and government working together.”

  • Stay on cable TV digitisation in Chennai no longer applicable

    Stay on cable TV digitisation in Chennai no longer applicable

    MUMBAI: The process of complete switchover to digital delivery of television channels in Chennai is now likely to begin with the Madras High Court stay on government‘s notification on digitisation no longer applicable.

    The two-member bench of Justice Elipe Dharma Rao and Justice Aruna Jagadeesan, while postponing the hearing on a petition against digitisation by four weeks on Thursday, had declined to extend the stay on the government‘s mandate to digitise cable TV.

    "Theoretically, Chennai will have blackout of analogue signals on cable networks. But with the Jayalalithaa state government not in support of complete switchover to digital at this stage, it will be difficult to implement disgitisation. Though broadcasters have switched off analogue signals of several channels, the only way Chennai can get completely digitised now is if Sun TV, the most popular channel in the state, decides to blackout its flagship Tamil general entertainment channel," says an industry executive on condition of anonymity.

    On the suggestion by the bench, the Chennai Metro Cable Operators‘ Association (CMCOA) has filed a revised petition challenging the government‘s notification on digitisation. It had earlier only sought extension of the digitisation deadline. The Tamil Nadu Cable TV Owners Association (TANCUS) too has filed a plea against the digitisation notification.

    The government had set 1 November for switchover to digital delivery of television channels in Mumbai, Delhi, Kolkata and Chennai. Cable TV systems in Mumbai and Delhi have almost entirely switched over to digital but in Kolkata a large section of cable TV households are still receiving analogue signals.

    The Madras High Court had on 31 October stayed digitisation in Chennai till 5 November. It thereafter extended the deadline till 9 November and later till 19 November. The judges hearing the case are now new and on Thursday did not grant extension to the stay on digitisation.

    The government claimed on 1 November that Chennai has over 1 million TV households and 63 per cent of them had installed set-top boxes (STBs) needed for digital reception of television channels.

    The largest multi-system operator (MSO), Tamil Nadu government-owned Arasu Cable TV Corporation, does not have the STBs to install in homes of customers of cable operators. It has said it requires one million STBs but has so far placed an order for 0.2 million STBs from Pune-based Sterlite Technologies.

  • Govt asks Trai to draft rules to check cable monopolies

    Govt asks Trai to draft rules to check cable monopolies

    MUMBAI: Information & Broadcasting minister Manish Tewari Monday said the government has asked the Telecom Regulatory Authority of India (Trai) to draft rules that would help in keeping a check on monopolies in the cable television distribution space.

    The broadcast sector regulator will be looking into monopolies at a local, state or regional level, a move that can have deeper repercussions in the cable TV industry. It will also examine other related gamut of issues.

    "A near monopoly like situation exists in at least three states – Tamil Nadu, Punjab and Orissa. In local areas, a second cable operator is often not allowed. This move will ensure competition, protect consumers and benefit broadcasters," said the head of a multi-system operator (MSO).

    India‘s digitisation drive, thus, will come with accompanied policy changes.
    “I have requested the Ministry to make a reference to the Trai as to how do we ensure that monopolies do not continue to subsist in the marketplace,” Tewari said during his first formal interaction with the media after being appointed as I&B minister.

    Tewari said monopolies will kill the entire purpose of cable TV digitisation which is to give more choice to the customers. Digitisation, he said, will provide several tangible benefits to customers including picture quality, freedom of choice and value added services, which will make it interactive.

    “Monopolies are the anti-thesis of choice so I have asked the Ministry to make a reference specifically so that we can deal with this issue as go forward with the digitisation between now and 2014,” he added.

    He also allayed fears that the government was targeting any specific MSO in the garb of checking monopoly saying that the objective is to allow wider choice to customers.

    “Essentially this is not about any state. I think the issue is very germane. When you are trying to create a transparent architecture which empowers the consumer, I think in the process of empowerment, it is also essential that they need to have a wider choice in terms of operators that they could choose from. There are similar provisions with regard to sectoral caps in telecom. Even when we do the radio auction, we mandate such caps,” he said.

    Interestingly, the reference to Trai comes in the backdrop of the government holding back issuance of a DAS (digital addressable system) licence to Tamil Nadu government-owned MSO Arasu Cable. Arasu applied for a licence in July but its application is still to be cleared. In Punjab, Fastway Cable Network is a dominant player while Ortel is a powerful local MSO in Orissa.

    Talking about the first phase of digitisation, Tewari said the digital penetration in the four metros stands at 96 per cent which goes up to 97 per cent if direct-to-home (DTH) connections are also added.

    “If you look at it in a broad sweep, the fact is that we could go through a process which involved almost a crore households across the four major cities of India without any major obstacles. I think this has been a significant achievement,” he held.

    He also said that the support of state governments was paramount for the success of second phase of digitisation across 38 cities. The deadline for the second phase is 31 March 2013.

    “Since we are going into the second phase of digitisation, I would request all the state governments to co-operate with the Ministry. This is critical to the success of the digitisation which is going to be a catalyst in empowering the consumer,” he asserted.

    On the issue of bringing news broadcasters under the ambit of Press Council of India (PCI), Tewari said the government was in favour of self regulation.

    “On balance we would like to lean on the side of self regulation and if at all the stakeholders do desire that we play some role in strengthening those self regulatory mechanisms, then we are prepared to look at it with an open mind."

    Tewari also felt that it was not appropriate to bring news broadcasters under PCI as the sector came into existence much after the council was formed. “I think it would not be appropriate to extrapolate a mechanism which was there in existence earlier to a sector which has been opened up later,” he averred.

    Mamata Banerjee in ‘favour‘ of Digitisation

    The I&B minister told reporters that the West Bengal chief minister Mamata Banerjee had ordered for set-top boxes (STB) for state secretariat which reflects her support for digitisation.

    "If I am correct…I read that she had placed order for set top boxes for Writers Building the day the deadline came to an end. This clearly shows that the digitisation process is a good move for the consumers and the sector as a whole," Tewari said.

    Tewari also ruled out action against MSOs in Kolkata for not adhering to the digitisation deadline saying, "We have been patient and we would expect that the state governments and MSOs concerned do honour the deadline."

    According to I&B secretary Uday Kumar Verma, 1.85 million cable TV homes in Kolkata have been digitised. "It is a matter of days for achieving digitisation," he said.