ITV

Tag: MSO

  • VITEC and ATX join hands for distribution of IPTV content

    VITEC and ATX join hands for distribution of IPTV content

    MUMBAI: VITEC, a worldwide leader in advanced video encoding and streaming solutions, and ATX Networks, a technology leader of optical and media access platforms, has announced a strategic partnership to provide a fully secure architecture for distribution of IPTV content throughout the enterprise network.

    ATX’s UCrypt family of cable gateways enables MSOs and service providers to secure and convert content for a variety of applications, including the secure delivery of content to commercial and hospitality locations. UCrypt’s any-to-any capabilities extend across all formats, including analog, IP, and QAM

    ATX chief product officer Ian Lerner said, “The addition of AES output encryption support allows partners like VITEC to have a more practical and cost-effective way to ensure encrypted streams from the UCrypt IP video gateway can only be viewed by authorized users.” He added that together with VITEC’s EZ TV Platform for managing DRM workflows, it is able to offer a secure, enterprise-grade, multiscreen experience with AES decryption for desktop users via a browser player, for TV and signage displays utilising EZ TV end-points, and for Android and iOS users using EZ TV’s mobile app.

    VITEC VP Eli Garten said, “IP-based video distribution of live cable and satellite TV content brings a broad range of advantages for any organisation seeking to cost-effectively and securely deliver high-quality content to any screen and any user in the organisation.” He added that this latest integration enables customers to achieve maximum protection with a simple, reliable setup that is approved by leading service providers.

    IPTV, digital signage, and advanced video solution, VITEC’s EZ TV IPTV and digital signage platform automates video streaming workflows and campaigns over existing IP networks, allowing any organisation to centrally manage IPTV and content from a single interface. With easy-to-use tools for signage authoring, administration, and analytics, the future-proof platform supports both H.264 and H.265 (HEVC) formats in resolutions up to 4K. 

  • Den Networks reports higher revenue, operating profit

    Den Networks reports higher revenue, operating profit

    BENGALURU: Indian multi system operator (MSO) Den Networks (Den) reported growth in revenue and operating profit (EBITDA) for the quarter ended 31 March 2018 (FY 2018, fiscal 2018, year under review) as compared to the previous year FY 2017. Den’s operating revenue for fiscal 2018 increased 11 per cent to Rs 1,285.10 crore from Rs 1,157.34 crore in FY 2017. Total consolidated revenue including other income grew 9.7 per cent in FY 2018 to Rs 1,314.98 crore from Rs 1,198.67 crore in FY 2017. Consolidated simple EBITDA including activation revenue during the year under revenue increased 41.7 per cent to Rs 324.52 crore (25.3 per cent of revenue from operations) from Rs 229.01 crore (19.8 per cent of revenue from operations).

    The company’s net consolidated loss for FY 2018 reduced to Rs17.11 crore, which was less than a tenth of the loss of Rs 187.76 crore in the previous year. Consolidated total comprehensive loss for the year declined to Rs 16.77 crore from Rs 187.24 crore in FY 2017.

    Segment revenue

    The company has two segments – cable distribution networks (cable); and broadband. Cable segment revenue increased 12.5 per cent in FY 2018 to Rs 1,209.75 crore from Rs 1,075.54 crore in FY 2017. Den reported that segment had an operating profit of Rs 61.63 crore as compared to an operating loss of Rs 60.98 crore in FY 2017.

    Den reported 7.9 per cent decline in operating revenue for its broadband segment in FY 2018 at Rs 73.75 crore as compared to Rs 81.80 crore in the previous year. The segment’s operating loss reduced to Rs 31.91 crore in FY 2018 from Rs 36.31 crore in FY 2017.

    Let us look at the other numbers reported by Den

    Consolidated total expenditure for the year was almost flat – it increased by 0.1 per cent in FY 2018 to Rs 1,321.43 crore (102.8 per cent of operating value) from Rs 1319.79 crore (114 per cent of operating value) in the previous year. The company has seen a rise in content cost in actual value as well as in terms of percentage of operating revenue over the past quarters and fiscal 2018. Consolidated content cost increased 14.1 per cent in FY 2018 to Rs 539.80 crore (42 per cent of operating revenue) as compared to Rs 473.28 crore (40.9 per cent of operating revenue) in the previous fiscal. Consolidated placement fees reduced 7.9 per cent in FY 2018 to Rs 46.21 crore (3.6 per cent of operating revenue) from Rs 50.20 crore (4.3 per cent of operating revenue).

    Consolidated employee benefits expense during the year under review declined 12.5 per cent to Rs 107.99 crore (8.4 per cent of operating value) from Rs 123.37 crore (10.7 per cent of operating value) in FY 2017. Consolidated other expenses in 2018 reduced 5.7 per cent to Rs 312.79 crore (24.3 per cent of operating value) in FY 2018 from Rs 331.68 crore (28.7 per cent of operating value) in the previous year.

    Also Read :

    Aim to take phase 3 ARPU to phase 1 value: Den Networks’ SN Sharma

    DEN expands broadband services; plans Rs 100 cr capex

  • IndiaCast, Hathway strike deal after TDSAT order

    IndiaCast, Hathway strike deal after TDSAT order

    MUMBAI: Setting aside their differences, IndiaCast Media Distribution Pvt Ltd (IndiaCast) and Hathway Digital finally came to an agreement on Wednesday and signed a deal. As a result, IndiaCast, the content monetisation arm of TV18 and Viacom18, has switched on the signals of its channels to the multi-system operator (MSO).

    The deal came to fruition after the Telecom Disputes Settlement and Appellate Tribunal (TDSAT), on Wednesday, ordered the companies to restore signals.

    The parties have agreed to sign a one-year fixed fee deal until 31 March 2019.

    Earlier, IndiaCast channels had been pulled off from Hathway. Despite several meetings, Hathway could not fulfill the growth aspiration of IndiaCast in terms of the carriage and subscription fees. The subscription and carriage agreements between Hathway and IndiaCast had expired on 31 March 2018.

    On 1 April 2018, IndiaCast issued a 21-day public notice to Hathway to meet regulatory requirements. Earlier, reports stated that the notice was issued due to non-payment of dues, non-submission of monthly subscriber reports, under-declaration of subscribers, failure to allow an audit of systems and unauthorised retransmission of channels.

    Across the cable industry, multi-system operators (MSOs) are now doing fixed-fee deals. While all the players are waiting for the new tariff order, due to the delay in the roll out, cable operators are relying on fixed-fee deals only. To move forward with these fixed-fee deals, the parties negotiate on the last fee structure and agree on certain percentage growth.

    The disagreement between IndiaCast and Hathway came about with the renewal of these deals. As IndiaCast acquired Turner channels recently, the distribution company demanded more subscription money than ZEE.

    Though IndiaCast was due to switch off its channels on 21 April, it eventually pulled off from Hathway on 25 April. Other than the disagreement on the hike in fees, IndiaCast had also asked Hathway for a two-year commitment and was not satisfied with the format of the subscription report.

    Also Read :

    IndiaCast, Hathway fail to concur on carriage, subscription fees

    TDSAT prohibits Scod18 from relaying IndiaCast channels

     

  • Aim to take phase 3 ARPU to phase 1 value: Den Networks’ SN Sharma

    Aim to take phase 3 ARPU to phase 1 value: Den Networks’ SN Sharma

    MUMBAI: Den Networks has an ambitious plan charted out for its cable and broadband business for the coming two to three years. In an interview to Bloomberg Quint, Den Networks CEO SN Sharma highlighted the company’s plan to increase revenue and subscription.

    For the multi-system operator (MSO), digitisation of phase III in India was almost over 10 months ago and certain parts of phase IV were left by all operators. Sharma said that it may take six to eight months to wind this up. “In the last 12 months, we seeded close to five million set-top boxes (STBs) in phase III. Today, we have a tall figure of 11.5 million digital homes out of which 8.5 million are paying,” he said.

    The average revenue per user (ARPU) for Den has gone up substantially over the last two years. Even tier I and II towns had low ARPU of Rs 120 and Rs 80-90 a year ago. Two years ago, the ARPU for tier I and II towns was Rs 60-70 and Rs 50-60, respectively. Today, the ARPU is at Rs 144 for phase I and Rs 112 for phase II. Sharma also said that the company was able to make up 50 per cent of the subscription revenue from the cable operators from phase I while this was 40-45 per cent in phase II markets.

    Phase III ARPUs are still low at Rs 76 out of the ground rate of Rs 150-175. “As we move forward, cable operators know they have to catch up with phase I ARPUs and will gradually increase it with subscription and, accordingly, the same will be shared with us,” he added.

    The aim is to take the current ARPU of phase III up to Rs 144 in two years’ time. “The phase I journey has been successful and a confident path has been set. There is no reason this Rs 76 doesn’t move to Rs 140 level in 2-2.5 years’ time,” he said adding that 50 per cent of the digital universe was phase III and IV. Phase IV ARPU stands at Rs 66.

    Den is talking to broadcasters and peers to increase subscription levels in phase I areas and Sharma said that discussions were actively progressing. “There is headroom to increase this [subscription]. You will see changes in bouquets and packages offered so overall revenue can be taken up,” he shared.

    One of the ways to do this will be by focussing on HD STBs now. The target for the next 12 months is to convert 10 per cent of its SD base into HD, which will allow the MSO to add another Rs 60-70 per box. Another way is by gradually increasing the number of boxes seeded in phase IV that is currently at the rate of 40,000-50,000 a month.

    The company has a system to ensure that all reported boxes are activated. When a box doesn’t yield payment for more than three months, it is removed out of the declaration and considered a dead box. Here, Sharma lauds the system for being as efficient as telecom operators that withdraw service  if a subscriber doesn’t pay.

    The entrance of players like Jio, Airtel and Vodafone has definitely changed the broadband game for the company and Sharma admits this. Den’s broadband ARPU is currently Rs 550 with a speed of 50 mbps and unlimited data. He compared it to telcos who offer just 1 gb data a day with best case speed of 9 mbps.

    Over the years, data consumption on its platform has increased from 20 gb two years ago to 60 gb last year and is hovering at 80 gb today. “There is a data explosion courtesy Jio, Airtel and Vodafone. We are consciously aware of it and so we talk of unlimited data in high speed,” he said.

    Much of its broadband business is concentrated in Delhi with 2 lakh subscribers. However, the tariff war pulled down its ARPU to Rs 600. But the same in Kanpur is Rs 800. The plan is to increase subscribers by 6 lakh in three years taking the total to about 8 lakh.

    Sharma is confident that the entire business needs external funding since it is witnessing healthy growth in subscription and ARPU and no subsidy is being offered on HD boxes. Even the broadband business has been fibre infrastructure. About Rs 100-120 crore will be required for the coming three years, which will be managed through internal accruals.

    Also Read :

    Subscription revenue drives up Den’s PAT

    Den Networks appoints Himanshu Jindal as CFO

    TDSAT rules in favor of DEN Networks, directs ZEE entertainment to provide channels on RIO basis

     

  • IndiaCast, Hathway fail to concur on carriage, subscription fees

    IndiaCast, Hathway fail to concur on carriage, subscription fees

    MUMBAI:  As a result of unresolved conflict between Hathway Cable and Datacom Ltd (Hathway) and IndiaCast Media Distribution Pvt Ltd (IndiaCast), all IndiaCast channels have been pulled off from the cable platform. Despite several meetings, Hathway could not fulfill the growth aspiration of IndiaCast in terms of the carriage and subscription fees, according to a source. The subscription and carriage agreements between Hathway and IndiaCast expired on 31 March 2018.

    On 1 April 2018, IndiaCast issued a 21-day public notice to Hathway to meet regulatory requirements. Earlier, reports stated that the notice was issued due to non-payment of dues, non-submission of monthly subscriber reports, under-declaration of subscribers, failure to allow an audit of systems and unauthorised retransmission of channels.

    IndiaCast did not respond to queries when Indiantelevision.com reached out to the company.

    Across the cable industry, multi-system operators (MSOs) are now doing fixed-fee deals. While all the players are waiting for the new tariff order, due to the delay in the roll out, cable operators are relying on fixed-fee deals only. To move forward with these fixed-fee deals, the parties negotiate on the last fee structure and agree on certain percentage growth.

    The disagreement between IndiaCast and Hathway came about with the renewal of these deals. As IndiaCast acquired Turner channels recently, the distribution company wanted to get more subscription money than ZEE.

    According to a source familiar to the development, Hathway, being convinced of the logic, offered a certain level of growth going beyond their means. However, IndiaCast was not happy with the offering and asked for a percentage increase more than 100 per cent. Ultimately, the parties could not reach any solution leaving the deal unresolved.

    Though IndiaCast was due to switch off its channels on 21 April, it eventually pulled off from Hathway on 25 April. Other than the disagreement on the hike in fees, IndiaCast also asked Hathway for a two-year commitment and was not satisfied with the format of the subscription report.

    This is not a new development in Indian cable history. Though broadcasters, MSOs and DTH operators speak about putting viewers’ interest first, the recent examples don’t speak in favour of that. Agreements being left to market forces lead to such stand-offs from time to time. As a result, consumers are often at the risk of missing out on watching their favourite channels.

    Also Read :

    Hathway Bhawani appoints Vatan Pathan as CEO

    TDSAT prohibits Scod18 from relaying IndiaCast channels

  • TRAI assures TDSAT on withdrawal of landing page order

    TRAI assures TDSAT on withdrawal of landing page order

    NEW DELHI: Broadcast carriage regulator Telecom Regulatory Authority of India (TRAI) assured the sector disputes tribunal yesterday during a hearing that a November 2017 order pertaining to landing or boot-up page of TV sets will be withdrawn within two weeks and the issue discussed with the stakeholders before any further move on the matter.

    An order of the TRAI in November 2017 banning the use of the landing page for any other activity other than promotion of a distribution platform had been challenged by a few MSOs and broadcasters on the ground that proper process wasn’t followed by the regulator before issuing the directive.

    The TRAI diktat, incidentally, had come after a clutch of news broadcasters had made allegations against a fellow TV channel of making use of the boot-up page to manipulate audience ratings and sampling of the product by viewers.

    The TRAI also informed the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) that it had issued a consultation paper on 3 April 2018 to debate and discuss the landing-page issue threadbare with various stakeholders.

    The landing or the bootup page is what a viewer sees first when a TV set and the connected set-top box are switched on. This page on the screen remains for a certain period of time after which the EPG or the electronic programming guide of the distribution service provider comes up. The landing page, considered hot real estate, usually carries paid advertisements of a TV channel programme or messages (like audience measurement data relating to a particular TV channel or even initial sampling of a new channel). The commercial use of the landing page results in sizable revenue for distribution platforms.

    After the TRAI’s submission on the issue on Wednesday, the TDSAT noted that once the regulator withdrew its order, all the petitions would be treated as infructuous. Till then, the tribunal interim order staying the TRAI directive remains in force. The next date of hearing is 7 May 2018.

    While passing the directive in November, the TRAI had said it had received a number of representations from stakeholders stating the practice of placing a registered TV channel—whose audience data was recently released—on the landing page had the potential to influence the TV audience measurements.

    The Ministry of Information and Broadcasting, in a separate order, in the first week of April 2018 had directed audience measurement organisation BARC India to desist from using landing page data of any channel for its overall audience data.

    Also Read :

    TRAI initiates consultation on landing page issue

    MIB directs BARC to stop landing page impressions for measurements

    TDSAT ‘reserves’ order on landing-page case

  • DEN expands broadband services; plans Rs 100 cr capex

    DEN expands broadband services; plans Rs 100 cr capex

    MUMBAI: DEN Broadband Pvt Ltd (DEN) has expanded its hi-speed internet services to 100 cities across India. After an encouraging response to the pilot project in five cities, DEN has already started its first phase of expansion in 15 cities.

    DEN’s expansion plan is in sync with the massive growth in the internet consumption in the country. Data usage in India has already jumped by 144 per cent (y-o-y) with average consumption per user in 4G broadband reaching 11 GB per month. The rise in data consumption has not been matched by a corresponding increase in the speed of connection. While India globally ranks 67 in fixed broadband speeds with an average download speed of 20.72 Mbps, mobile broadband speeds still lags at 109th rank with an average download speed of 9.01 Mbps, as per Ookla’s speedtest Global Index, February 2018 report.

    DEN Networks CEO SN Sharma said: “This is a game changing moment not just for DEN but also for the Internet users in the country. Our hard work and investment in transforming our Co-ax cable trunk routes into fiber optics will now yield tangible results. For DEN it will mean a minimum investment whereas for our users it will mean best in class Internet speed.”

    The company intends to tap this high-potential market by capitalising on its existing cable TV infrastructure and providing hi-speed fixed broadband internet. With speeds upto 1Gbps at affordable prices, DEN Broadband will cater to the future needs of Internet while penetrating further into the untapped markets.

    DEN’s fibre cable infrastructure is already present across 13 states. The company plans to roll out through a franchisee model, which will leverage its strength as a leading national MSO with an established on-ground Cable LMO network to usher in a broadband revolution in the entire country. Its 14,000 plus LMO network would use its technology while adhering to the operational standards set by DEN. Being the franchisor, DEN will bill the subscribers directly and collect tariffs from them directly. The franchisee would get paid based on their agreement and size of their investment.

    The MSO’s fixed broadband infrastructure is being built using a mix of GPON/FTTX and metro ethernet technologies enabling download speeds from 20 Mbps till 1 Gbps. It estimates a capital expenditure of Rs 100 crore over the next three years. This expansion plan is targeted towards 100 cities across states where DEN has a strong foothold such as UP, Karnataka, Jharkhand and Uttarakhand.

  • TDSAT prohibits Scod18 from relaying IndiaCast channels

    TDSAT prohibits Scod18 from relaying IndiaCast channels

    MUMBAI: Scod18 Networking Pvt Ltd (Scod18), a multi-system operator (MSO), has been restrained by the Telecom Disputes Settlement Appellate Tribunal (TDSAT) from taking signals of IndiaCast Media Distribution Pvt Ltd’s (IndiaCast) channels from any other operator.

    The TDSAT has further ordered that the MSO cannot alienate or deal with its movable and immovable properties without the prior permission of the tribunal. The distribution company has also sought recovery of dues from Scod18 to the tune of Rs 2 crore.

    Accepting IndiaCast’s plea, the tribunal passed an order stating, “Pass an ad-interim ex parte order restraining the respondent from receiving signals of broadcaster’s channels from any other operator or service provider transferring or alienating or dealing with its movable and immovable properties without the prior permission of this tribunal.”

    IndiaCast has disconnected the signals of its channels to the MSO and it understands that the MSO might take signals of its channels from other platforms. Therefore, the company has taken a legal cover to restrain the MSO from indulging in piracy.

    The interim order will be applicable till the next date of hearing, which is 8 May. IndiaCast is the content monetisation arm of the TV18 and Viacom18 network. IndiaCast has a bouquet of 51 channels, including nine in HD  spanning across genres—general entertainment, kids, news, music, infotainment, and movies—in India.

    IndiaCast had pressed for an interim relief but the TDSAT stated that the same will be considered after giving an opportunity of filing a reply to the MSO.

    Scod18 has been granted four weeks’ time for its reply. The rejoinder, if any, may be filed within one week thereafter.

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  • Ortel to issue shares worth Rs 8.75 cr to promoters

    Ortel to issue shares worth Rs 8.75 cr to promoters

    MUMBAI: The board of directors of Ortel Communications, the multi-system operator (MSO), has approved the issue of equity shares to promoter group entities.

    According to the release issued to the BSE, the company has proposed to issue 25 lakh equity shares at an issue price of Rs 35 per share to the promoters on a preferential basis for an aggregate amount of Rs 8.75 crore.

    Furthermore, the board has also approved the issue of 9 per cent cumulative, non-convertible, redeemable preference shares for an amount not exceeding Rs 10 crore by way of private placement for a period of five years.

    It has also approved the acceptance of fresh inter-corporate loan of Rs 8 crore at 9 per cent per annum for a period of five years.

    The board has convened an extraordinary general meeting of the company on 9 April to approve the issue of equity shares and redeemable preference shares.

  • TDSAT ‘reserves’ order on landing-page case

    TDSAT ‘reserves’ order on landing-page case

    NEW DELHI: Telecoms and disputes tribunal TDSAT on Thursday reserved its order—the judge will pronounce the verdict later—on a case filed by a few multi-system operators (MSO) on sector regulator Telecom Regulatory Authority of India’s (TRAI) decision to ban the use of boot-up or landing page for anything else other than promotion of the distribution platform’s services.

    TDSAT, after hearing all sides, including TRAI, will now give a direction later. The arguments, amongst other issues, revolved around the fact whether all laid down norms and procedures were followed by the regulator before passing an order on the landing page matter on 8 December 2017.

    “In order to protect the interest of service providers and consumers, and orderly growth of the sector, [TRAI] directs all broadcasters and distributors of TV channels to restrain from placing any registered satellite TV channel, on the landing page LCN or landing channel or boot-up screen within 15 days from the date of issuance of this direction,” the regulator had stated in its order, asserting it was well within its right and powers to do so.

    Soon after this directive was issued, a clutch of MSOs and TV channels, including Fastway (operating in Punjab and Haryana states), DEN Networks and the Times group, moved the TDSAT challenging the regulator’s diktat.

    The landing or the boot-up page is what a viewer sees first when a TV set and the connected set-top box are switched on. This page on the screen remains for a certain period of time after which the EPG or the electronic programming guide of the distribution service provider comes up. The landing page, considered hot real estate, usually carries paid advertisements of a TV channel programme or messages (like audience-measurement data relating to a particular TV channel or even initial sampling of a new channel). The commercial use of the landing page results in sizeable revenue for distribution platforms.

    Asked about the legality of the whole issue, lawyer Abhishek Malhotra, a partner in Bharucha & Partners, a law firm specialising in media sector-related cases, said, “The legal position on transparency required to be followed by TRAI under Section 11(4) of the Act is very clear and has been reiterated by the Supreme Court. It seems likely that non-observance by TRAI of this basic condition could result in the matter being remanded back before the merits of the matter are taken up.”

    While passing the directive on use of the landing page, TRAI had said it had received a number of representations from stakeholders stating the practice of placing a registered TV channel—whose audience data was recently released—on the landing page had the potential to influence TV-audience measurements.

    The genesis of this TRAI order is connected to the rousing debut of an English news channel last year, which got high viewership ratings from the audience-measurement agency and the data was questioned by a section of the competition on the grounds that some unethical practices were followed. It had then resulted in a public spat.

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