Tag: DTH

  • Dish TV receives MIB notice for payment of Rs 4,164.05 crore

    Dish TV receives MIB notice for payment of Rs 4,164.05 crore

    KOLKATA:The Indian ministry of information & broadcasting (MIB) and  direct to home television provider Dish TV have been at loggerheads over this matter for sometime now. And the latter has informed the Bombay stock exchange (BSE)  that the former has brought up its demand to pay up long disputed licence fees totalling Rs 4,164.5 crore once again.  The amount includes interest and the demand from the MIB is that Dish TV pay it up within 15 days.

    The Jawahar Goel headed firm says that the MIB has clarified that the amount  is further subject to verification and audit and the outcome of various court cases pending before the TDSAT, the high court of Jammu and Kashmir and the supreme court.

    “In this regard, we would like to inform that the ministry of information and broadcasting had issued a demand notice in the year 2014 for the licence fee pertaining from the date of issuance of DTH License till financial year 12 – 13. The said demand notice was challenged by the company before the TDSAT and the said demand has been stayed by the TDSAT, which stay continues to be in force,” Dish TV said in the regulatory  filing with the BSE. .

    Further, the company's petition is also pending before the  Jammu and Kashmir high court where it has challenged  inter alia the quantum / applicability of licence fee and imposition of interest. Similar writs are also pending before the apex court.

    Dish TV informed that it is studying the communication to determine its next steps. The DTH licence  fee matter has already been through several rounds of litigation, the final outcomes of which are yet to be argued and concluded, it added. It would update the stock exchanges on any material developments.

    The notice has come at a time when the government has opened up 100 per cent foreign direct investment in DTH, extended the duration of licences given to operators.

  • Revised guidelines bring a note of positivity for DTH sector

    Revised guidelines bring a note of positivity for DTH sector

    KOLKATA: The government has finally clarified the uncertainties in DTH licensing norms. According to new guidelines, DTH licenses will now be issued for a period of 20 years. Although the latest move may not be game changing for the operators, it has definitely brought a sense of positivity to the sector.

    “We are grateful to Shri Javadekar for resolving the long standing impasse on the DTH License policy which will provide certainty to the sector. We look forward to a level playing field via parity of Licence Fee with Cable TV which too is Licensed by MIB and follows the same prices and margins as regulated by TRAI’s NTO,” Tata Sky MD& CEO Harit Nagpal said.

    I&B minister Prakash Javadekar stated on Wednesday that changes have been approved for 100 per cent foreign direct investment (FDI) in the DTH sector which was limited to 49 per cent. He also added that the decision was taken earlier by the ministry of commerce and industry but the sector could not avail the benefits due to existing MIB guidelines.

    Moreover, DTH license will be issued for 20 years and license fee will be collected quarterly. Further, the period of license may be renewed by 10 years at a time. The cabinet has also approved the sharing of infrastructure between DTH operators. Distributors of TV channels will be permitted to share the common hardware for their subscriber management system (SMS) and conditional access system (CAS) applications. Javadekar said that the decision has been taken to create level playing field.

    Another expert from a DTH company who preferred to be anonymous added that the latest decision would streamline license agreements. He added that anybody who would like to invest in the DTH companies would get a sense of certainty with the longer license period which was getting affected with the 10-year license term. A senior industry expert added that the FDI has been allowed because the sector is dying as the companies are turning into loss-making entities, with streaming of video taking off exponentially in India. Says he: "Internationally companies which invested in DTH platforms are today saddled with diminishing returns on their investments. They are looking at buyers – whether Sky in the UK or Direct TV in the US.  Here, theIndian  government hopes to eject some equity in the DTH sector so as to stimulate investment and hence growth,  in the sector "

    “Overall it's better for the DTH sector, which plays a big role in digitising India. Giving them a certainty for licensc that it would be there for 20 years, will help them to invest more and grow the market. Also, the saving of two per cent AGR, will help them to improve their profitability,” EY India partner and media & entertainment leader Ashish Pherwani said.

    Moreover, license fee has been revised from 10 per cent of GR to 8 per cent of AGR. Elara Capital VP research analyst (media) Karan Taurani added that it is mild positive due to reduction in license revenue. He also added that Dish TV may find its potential buyer post-announcement.

    India’s DTH subscriber base grew by 3.2 lakh during the April-June quarter, as per the Indian Telecom Services Performance Indicators April-June 2020 by the Telecom Regulatory Authority of India (TRAI). The sector saw better, albeit marginal growth compared to the January-March quarter. Currently, pay DTH subscriber stands at 70.58 million, compared to 70.26 million in the previous quarter. At the end of 2019, pay DTH subscriber base was 69.98 million.

  • DTH license to be issued for 20 years, 100% FDI allowed in the sector

    DTH license to be issued for 20 years, 100% FDI allowed in the sector

    KOLKATA: The ministry of information and broadcasting (MIB) announced major key decisions for the direct-to-home (DTH) segment on Wednesday. The cabinet has revised guidelines for providing DTH service in India as well as licensing norms.

    I&B minister Prakash Javadekar stated in a briefing that 100 per cent foreign direct investment (FDI) will be allowed for the DTH sector. He also added that the decision was taken earlier by the ministry of commerce and industry but the sector could not avail the benefits due to existing MIB guidelines.

    Moreover, DTH licenses will be issued for 20 years and license fee will be collected quarterly. Further, the period of license may be renewed by 10 years at a time. The cabinet has also approved the sharing of infrastructure between DTH operators. Distributors of TV channels will be permitted to share the common hardware for their subscriber management system (SMS) and conditional access system (CAS) applications. Javadekar said that the decision has been taken to create a level playing field.

    The other salient features of the decision are:

    DTH operators shall be permitted to operate to a maximum of five per cent of their total channel carrying capacity as permitted platform channels. A one-time non-refundable registration fee of Rs 10,000 per platform service channel shall be charged from a DTH operator.

    The cap of 49 per cent FDl in the existing DTH guidelines will be aligned with the extant government (DPIIT's) policy on FDl as amended from time to time. The decision will come into effect as per revised DTH guidelines issued by the ministry of information and broadcasting.

    "The proposed reduction is intended to align the license fee regime applicable to telecom sector and will be prospectively applied. The difference may also enable DTH service providers to invest for more coverage leading to increased operations and higher growth and thereby enhanced and regular payment of license fee by them. Registration fee for platform services is likely to bring a revenue of approximately Rs 12 lakh. Sharing of infrastructure by the DTH operators may bring in more efficient use of scarce satellite resources and reduce the costs borne by the consumers. Adoption of the extant FDI policy will bring in more foreign investment into the country," the government said in a press statement. 

    The authority also added that the DTH sector is a highly employment intensive sector that operates pan-India. It directly employs DTH operators as well as those in the call centres, besides indirectly employing a sizeable number of installers at the grass-root level. The amended guidelines, with longer license period and clarity on renewals, relaxed FDI limits, etc will ensure a fair degree of stability and new investments in the DTH sector along with employment opportunities.

  • Tata Sky makes Classroom service free for all subscribers

    Tata Sky makes Classroom service free for all subscribers

    KOLKATA: Covid2019 has brought about a significant disruption when it comes to classroom learning and education, thereby necessitating the need for virtual learning to be a part of the new normal. In order to adequately equip students across India, Tata Sky is now providing free unrestricted access to educational content on TV through the Tata Sky Classroom service. Powered by Tata ClassEdge, a pioneer in digital education, the service will help students across India gain access to learning through just the click of a button on their TV remote.

    Tata Sky chief commercial and content officer Pallavi Puri said, “Online education in India is currently beset by several challenges, prime amongst them being the lack of adequate infrastructure. With Tata Sky’s vast reach, millions of children will get access to quality education for free via their television sets. The service is mapped with children's CBSE school syllabus and offers concept learning videos, delivered in an interesting story led format.”

    Characterised and enabled by an engaging, interactive learning process, the service is targeted towards improving the digital learning scenario in tier-2, 3 and 4 cities. Tata Sky Classroom enables immense flexibility to students in far off and remote areas to access quality education via the TV without any hassle thereby saving money, time and energy.

    Focusing on concept learning, Tata Sky Classroom enables students to strengthen their core understanding of the fundamentals of science and maths via fun and engaging animated concept learning videos. The service is available in both Hindi and English offers curriculum-based content for students from class fifth to eighth in maths and science. Apart from video lessons, students can also avail of fun curriculum-based games, full length practice tests and sample papers with answers to help reinforce their learning from the videos.

  • Tata Sky launches new service for Malayalam cinema

    Tata Sky launches new service for Malayalam cinema

    KOLKATA: In a move to further strengthen its regional slate, Tata Sky has launched Tata Sky Malayalam Cinema. To this end, the DTH operator has joined forces with Asianet, the leading Malayalam GEC in Kerala.

    With this, Tata Sky has regional cinema offerings in all four major south Indian languages – Tata Sky Telugu Cinema, Tata Sky Tamil Cinema, Tata Sky Kannada Cinema, and now Tata Sky Malayalam Cinema.

    Tata Sky Malayalam Cinema will offer an uninterrupted movie-viewing experience to film enthusiasts, capturing the spectrum of genres – action, romance, drama, and comedy on television. The service will showcase the biggest blockbusters of Mollywood with exclusive movie premieres before television. The channel is now available to all subscribers on #1805 (SD) at a minimal cost of Rs 1.5 per day.

    Pallavi Puri, chief commercial and content officer said, “Movies contribute more than 20 per cent to the overall TV viewership in Kerala and that itself indicates the tremendous affinity Malayalam speaking audiences have for their cinema. With regional content becoming the key driver of viewership, the launch of Malayalam Cinema is an extension of this trend. Our new service will deliver an uninterrupted flow of the best movies to ensure an enjoyable TV viewing experience for the subscribers. We are delighted to collaborate with Asianet to make this service come alive for our subscribers.”

    “Over the years, Asianet has forged a special place in the hearts of Malayalam-speaking audiences. We always strive to identify new ways to take our rich and engaging content offering to newer viewers and are delighted to work with Tata Sky to launch this new service,” Star & Disney India infotainment, kids & regional entertainment channels CEO Kevin Vaz said.

    To further spread the word on the launch of this platform service, Tata Sky collaborated with south India’s popular rock fusion band, Masala Coffee. Known for their folk fusion mixes and compositions for films like Uriyadi and Dulquer Salmaan-starrer Kannum Kannum Kollaiyadithaal, Masala Coffee’s original composition for Tata Sky Malayalam Cinema is a peppy and upbeat number that brings out the essence of the offering.

    Tata Sky Malayalam Cinema strengthens the bouquet of regional cinema services for Tata Sky that offer uninterrupted and high-quality entertainment, thereby catering to the growing demand for regional movie content. As a part of this endeavour, the regional bouquet already includes eight services.

  • TRAI publishes consultation paper on platform service of DPOs

    TRAI publishes consultation paper on platform service of DPOs

    KOLKATA: Along with re-transmitting TV channels, the distribution platform operators (DPOs) provide certain programming services which are specific to their platforms. While the Telecom Regulatory Authority of India (TRAI) has been working around the regulatory framework for those platform services for some time now, the authority has again issued a consultation paper after the ministry of information and broadcasting (MIB) sent back references on earlier recommendations.

    MIB has referred back TRAI's recommendations on the framework published on 19 November 2014, and 13 November 2019 in its letter dated 23 November. The first set of recommendations have been accepted, except recommendation no.8 after consideration by inter-ministerial committee (IMC). However, certain addendums have been approved with modification.

    MIB had mentioned that some of the recommendations made by TRAI in 2019 regarding platform services (PS) offered by DTH operators, could be adopted with respect to MSOs/LCOs as well to have uniformity of guidelines in both segments. TRAI had agreed to the view.

    “Any person/ entity desirous of providing PS, or is already providing such services, must be incorporated as a company under the Indian Companies Act, 2013 and the rules framed thereunder,” TRAI had recommended earlier but that has not been accepted by IMC in the case of MSOs/LCOs.

    The committee is of the view that most of the MSOs/LCOs operated in small areas are either proprietorship or partnership firms which are not registered as companies. Making it obligatory for  MSOs/LCOs to convert into companies may not be in line with the promotion of ease of doing business. The IMC decided that anybody registered as a DPO, either with MIB or with post office, shall be eligible to carry PS channels.

    “In case MIB considers that there is no necessity to register as company for MSOs desirous to register their platform service, it should satisfy itself regarding the transparency of ownership and assurance of content of such platform services at the time of registration. MIB may ensure that registration of platform service channel may be made in such a way that the individuals provide full disclosure,” TRAI stated.

    Earlier, the regulatory body had recommended that a maximum number of five PS channels may be offered by the cable operators in non-DAS areas. In DAS areas and for all other platforms, a maximum of 15 PS channels may be offered by the DPOs.

    “With the completion of digitisation process, there is no distinction between DAS and non-DAS area. Further, it is noted while it is necessary to restrict capacity of PS channels carried by DPOs as recommended by TRAI, it is not in the interest of the evolving and dynamic market like cable TV to restrict the number of PS channels. Regulation may only intervene to the point of upholding customer interests, ethical business practices, ease of doing business and safeguard against violation of programming code and advertisement code. Taking note of this, it is recommended that the MSOs may be permitted to operate to a maximum of five per cent and LCOs to a maximum of one per cent, of the total permitted satellite channel being carried by them as permitted PS channels without any upper limit,” MIB said.

    The TRAI is of the view that the liberal regulatory framework of PS should not encourage the bypassing of the traditional broadcast routes. It further stated that it was not desirable to separately specify the limit on the number of PS channels that may be offered by the MSOs and LCOs. This may be left to the mutual arrangement among MSOs and LCOs. An MSO may remain responsible for all the platform service channels being offered on its platform.

  • Star India celebrates World Television Day

    Star India celebrates World Television Day

    MUMBAI: For those of a certain generation, the television has always been there in the corner of the front room, entertaining us, educating us, shaping our mindset and attitude. Believed to have been invented by an assortment of individuals in the late nineteenth and early twentieth century, the credit for the TV unit is generally given to John Locke Baird. Just like the internet this side of the millennium, the television, in its age, revolutionised the world. The first World Television Forum was staged by the United Nations in the mid ’90s, and that is when the humble TV set was honoured with a day of its own. Ever since, 21 November is celebrated as World Television Day.

    TV has proved to be an indispensable medium that has played a crucial role over the past decades, as well as during this prolonged pandemic. It provided a crutch to the Indian psyche and kept more than a billion people united, engrossed, and informed with content across genres in multiple languages.

    To celebrate this medium, Star India Network has come up with a campaign to commemorate World Television Day and to convey heartfelt gratitude to its distribution associates for their relentless efforts.

    The network has conceptualised in-house campaign that brings together some of the most loved characters from the Star India Network for the occasion. Star & Disney India TV distribution, India and international president Gurjeev Singh Kapoor said,  "Our Cable & DTH affiliates form the backbone of the television viewing value chain and through this initiative, we are expressing our gratitude towards the continuous support they have extended to the Star India network over the years."

    Kapoor highlighted that the campaign will be aired across Star network – GEC, movies, sports, and regional channels. It will be broadcast in multiple languages – Hindi, Tamil, Telugu, Kannada, Malayalam, Bengali, and Marathi. Further, it will also be amplified digitally through social media.

    The campaign will air across the network starting 20 November from 9 pm, till 21 November, in Hindi + six regional languages leveraging Star India Network’s talent. These include Neil Bhatt from Gum Hai Kisi Ke Pyaar Mein, Suhasini from Devatha, Harshad Atkari & Samriddhi Kelkar from Phulala Sugandh Maaticha, Sonamoni Saha from Mohor, Naleef Gea from Mounaragam, Chitra from Pandian Stores, and Dharma from Inthi Nimma Asha.

  • Pay DTH subscriber base perks up a bit

    Pay DTH subscriber base perks up a bit

    BENGALURU: The latest DTH subscriber numbers released by Telecom Regulatory Authority of India (TRAI) must bring cheer to the private television direct to home (DTH) industry. TRAI recently published quarterly subscriber data as on 30 June 2020. According to the data, the number of pay DTH subscribers using services provided by private DTH operators had declined from a peak of 72.44 million as on 31 March 2019 to a low of 68.92 million during the very next quarter end date – 30 June 2019 because of a change in the way of reckoning active DTH subscribers. Till March 2019, the subscription figure of the total active subscribers included inactive and temporarily suspended subscribers for not more than the last 120 days. However, as per new regulatory framework of Broadcasting and Cable TV Services, the total active subscribers are now counted to include only those subscribers who are inactive/ temporarily suspended for not more than the last 90 days. 

    Since 30 June 2019, the number of pay DTH subscribers using services provided by private DTH service providers has been increasing slowly until 30 June 2020. As on 30 June 2020, the number of pay DTH subscriber using services provided by private DTH service providers stood at 70.58 million. This is in addition to the subscribers of DD Free Dish (free DTH services of Doordarshan). 

    Please refer to the chart below:

    Further, as on March 2019, the number of private DTH subscribers had fallen to four from five previously. Also, TRAI commenced publication of break up of market share to an accuracy of two decimal percentage places from the quarter ended 30 September 2019 onward. Extrapolating the overall number of pay DTH subscribers using services provided by private DTH operators with the total number of pay DTH subscribers (provided in millions, to two decimal places) and the share percentage of the service providers reveals that except for Dish TV, the other three providers had seen subscriber numbers grow. Besides Dish TV’s slow but steady decline in subscriber numbers during all the four quarters for which data is available, the largest service provider in terms of number of subscribers – Tata Sky witnessed a decline in subscriber numbers in the quarter ended 30 June 2020. Please refer to the figure below:

    Cable TV operators

    TRAI reports state that the country has achieved 100 percent digitization of cable TV network. This is a stupendous achievement making India the only large country where 100 percent digital cable has been achieved through mandatory regulations.

    As on 30 June 2020, there were 1,666 MSOs registered with the ministry of information & broadcasting (MIB) as compared to 1,613 MSO registered as on 31 December 2019. Further, as per the data reported by MSOs/HITS operators, there were 12 MSOs and one HITS operator who had a subscriber base of more than one million. Details of the total active subscribers of these 12 MSOs and one HITS operator are given in the following table. Please refer to chart below:

    In the case of cable TV, the largest player Siti Networks seems to be witnessing a slow but steady loss of subscribers since the quarter ended 31 December 2019. Two other players have also witnessed a subscriber declines – Fastway Transmissions Pvt Ltd and Asianet Digital Network, while most others have gained subscribers during the four quarters in this report.

    Satellite TV Channels

    A total of 909 private satellite TV channels have been permitted by the MIB for uplinking only/ downlinking only/both uplinking and downlinking, as on 30 June 2020. The quarter-wise figures of the total number of TV channels is depicted in the chart given below.

  • TRAI report shows healthy growth in DTH subscriber base in Q1 FY21

    TRAI report shows healthy growth in DTH subscriber base in Q1 FY21

    KOLKATA: Witnessing two consecutive quarters of growth, India’s DTH subscriber base grew by 3.2 lakh during the April-June quarter, as per the Indian Telecom Services Performance Indicators April-June 2020 by the Telecom Regulatory Authority of India (TRAI). The sector saw better, albeit marginal growth compared to the January-March quarter.

    Currently, pay DTH subscriber stands at 70.58 million, compared to 70.26 million in the previous quarter.At the end of 2019, pay DTH subscriber base was 69.98 million.

    Tata Sky has retained its leadership position in the segment clocking in a market share of 32.09 per cent . During last four quarters, the DTH operator has gained 7.5 lakh subscribers in line with the growth of the DTH sector. Among other players, the leader is followed by Dish TV India (28.67 per cent), Bharti Telemedia (23.83 per cent), Sun Direct (15.41 per cent)

    “We remain the No. 1 DTH and No.1 Pay TV platform having increased the lead over our nearest competitor. It is heartening to see the overall DTH sector maintain its resilience even in this quarter,” a Tata Sky spokesperson commented.

    While the TRAI report indicates healthy growth of the DTH sector in FY21, a recent Crisil report also said DTH operators have added a significant number of subscribers and could register a 4-6 per cent revenue growth this fiscal. In the last financial year, DTH sector had declined by 2 million.

    A total number of 909 private satellite TV channels have been permitted by the ministry of information and broadcasting (MIB) for uplinking only or downlinking only or both uplinking and downlinking, as on 30 June 2020. There are 332 pay channels, which include 235 SD (standard definition) pay TV channels and 97 HD (high definition) pay TV channels.

    Currently, there are 1666 MSOs registered with MIB. Moreover, there are 12 MSOs and one HITS operator who have subscriber base greater than one million.

    The latest TRAI report has also stated that the total number of internet subscribers increased from 743.19 million at the end of the last quarter of FY20 to 749.07 million at the end of the first quarter of FY21, registering a quarterly growth rate of 0.79 per cent. In addition to that, wired Internet subscribers increased from 22.42 million at the end of Mar-20 to 23.06 million at the end of Jun-20 with quarterly growth rate of 2.86 per cent.

  • Airtel has perfected the LCO model for home broadband, says Gopal Vittal

    Airtel has perfected the LCO model for home broadband, says Gopal Vittal

    KOLKATA: Bharti Airtel (Airtel) is going head-to-head with archrival Jio in the home broadband segment by putting pedal to the metal on its expansion plans. While the company has seen record subscriber addition in September, it will keep focusing on LCO partnership model.

    In an earnings call after Q2 results, Bharti Airtel India and South Asia MD & CEO Gopal Vittal declared the company has “perfected” the LCO model. Vittal said that the model has done well after being tested for seven-eight months using several different approaches in a handful of different cities. Hence, the company is scaling up the model now and has rolled it out in 29 more towns in Q2.

    Under this model, the company has a standard toolkit where it is able to go out and actually work with the local cable operator in a particular town. Airtel gives them a revenue share for laying the last mile fibre and maintaining it. On the other hand, the router, the billing system, the plan and customer relationship is managed by Airtel.

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    Vittal has credited work from home, surge in streaming and online education for spurring growth in  the home broadband sector. He also mentioned that the price reduction in wired broadband sector would also help in overall growth. However, the impact of the price correction would be noticeable in the next quarter.

    In the quarter ended September 30, Airtel has added 129,000 new consumers along with a million homes passes, which is amongst the highest that it has seen in any quarter.

    Other than its core telecom business, Airtel has registered a gradual growth in the DTH business as well. “We are pleased with the progress that we have made on DTH – adding more than half a million customers. Primarily that is because we are able to synergise our distribution systems of mobility and DTH. Mobility has a distribution system that’s almost 25 times that of DTH. In places like Bihar, UP, Rajasthan, we are getting significant synergistic effort by eventually finding the right model to synergise but yet keeping enough focus on DTH business,” Vittal commented.

    Bharti Airtel India and South Asia chief financial officer Badal Bagri added that most of the acquisition in the DTH segment has come in the later part of July. While July, August are softer months in terms of recharges and addition, the company has seen the traction picking up in September. Bagri is optimistic that the trend will hold.

    A recent Crisil report stated that DTH broadcasting, which accounts for 37 per cent of total television (TV) subscribers in India, is set to buck the economic downturn and log a revenue growth of 400-600 basis points (bps) to Rs 22,000 crore this fiscal, because of healthy subscriber additions.

    Airtel has struck content partnerships with all major OTT platforms lately. Vittal acknowledged that content can be a differentiator for telecom players, while also mentioning that he has not seen any compelling evidence to suggest that general entertainment content is a strong differentiator. However, he added that topical events like sports work quite well.