ITV

Tag: Set top Box

  • TDSAT rejects 3 LCOs’ application for STB deposit refund from Indusind

    TDSAT rejects 3 LCOs’ application for STB deposit refund from Indusind

    NEW DELHI: The Telecom Disputes Settlement & Appellate Tribunal (TDSAT) has rejected applications by three local cable operators (LCOs) seeking refund from IndusInd Media & Communications Ltd of Rs 1100 per Set Top Box (STB). Of the Rs 1100, Rs 500 for each STB is allegedly the amount towards security deposit paid by respondents and another sum of Rs 600 per STB allegedly charged from the respondents from its customers as activation fee.

     

    While noting that evidence in this regard would be examined in the three main cases by IndusInd against R S Cable, OM Cable, and Vipin Sehrawat and others, the clause of the agreement relating to security deposit shows it was at the discretion of Indusind. 

     

    Though the security deposit is refundable, as regards installation and activation charges, there is no clause for the refund of same. The only receipt produced by the applicants mentions a payment of Rs 1,00,000 for 200 STBs. 

     

    TDSAT chairman Justice Aftab Alam and members Kuldip Singh and B B Srivastava said, “There is nothing to indicate that this payment was for security deposit. On the other hand, the statement annexed by the petitioner (Indusind) in its reply to the applications indicates this to be otherwise.”

     

    Rejecting the LCOs’ applications, the Tribunal said, “In view of the contrary stands taken by the parties on facts, we feel that evidences will be required in this regard. At this stage, in the absence of sufficient material to support the claim of the applicants/respondents, we do not find that a sufficient case is made for direction to refund any amount. We, however, leave this question open for determination at the time of the trial.”

     

    Indusind is a multi system operator (MSO) with a pan India presence, the respondents are LCOs. The petitioner came to the Tribunal challenging the migration of applicants/respondents to the network of another MSO. 

     

    In its interim appeal, it had asked for a direction to the LCOs to jointly return the STBs provided by it.

     

    The Tribunal, by an order dated 5 November 2015, directed the LCOs to return all the STBs to Indusind. However, the question whether Indusind might be liable to make any payment for the returned STBs to the LCOs or to deposit an equal amount before the Tribunal, was left expressly open. The return of the STBs was to be overseen by an Advocate Commissioner that was appointed for the purpose. The advocate commissioner said the LCOs had returned 2290 STBs.

     

    It was the case of the LCOs that they had paid a sum of Rs 1100 per STB and for the STBs that have been returned by them, these charges must be refunded by Indusind. 

     

    The reply to the application filed by Indusind says it only received installation charges of Rs 500 per STB from the LCOs on which it has even paid the service tax and the same is not refundable. In support of its pleadings, the MSO has annexed a statement titled “STB installation charge account” with its reply. 

     

    The LCOs have not provided any material to substantiate their claim except for a receipt of Rs 1,00,000 for 200 STBs in case of Bunny Cable (respondent no. 1 in one of the three petitions). Indusind said the receipt of Rs 1,00,000 in regard of Bunny Cable is also towards installation charges and already accounted for in the statement annexed by it.

     

    The LCOs argued that the agreement provides for a security deposit of Rs 500 per STB and the MSO would not have supplied the STBs without taking this. 

     

    According to clause 3.4 of the agreement between the MSO and the LCOs in all these petitions, the LCO was to collect rent, installment and security deposit in respect of the hardware/STBs from the subscribers and hand over the same to the petitioner. 

     

    In terms of the “Schedule A II. Standard Terms and Conditions,” the LCOs were required to deposit at the discretion of the MSO, an interest free and refundable security deposit of Rs 500 per STB.

  • TV & Set-Top Box SoC manufacturers integrate Technicolor’s HDR Decoder technology

    TV & Set-Top Box SoC manufacturers integrate Technicolor’s HDR Decoder technology

    MUMBAI: Multiple TV and Set-Top Box (STB) System-on-Chip (SoC) manufacturers have  integrated Technicolor’s HDR Decoder technology into their offerings.

     

    The SoC companies include: Marvell, MSTAR, Sigma and STMicroelectronics. The adoption of Technicolor’s technology by SoC makers, who represent the lion’s share of the market, paves the way for consumer electronics manufacturers to integrate Technicolor’s suite of HDR enhancement technologies, into their 2016 devices. It will allow consumers to access the wave of next-generation content that will become available starting this year.

     

    At the CES 2016 conference in Las Vegas Technicolor announced a series of initiatives that accelerate the broad availability of high dynamic range (HDR) and other next generation entertainment experiences.

     

    Technicolor’s presence in the show illustrates the importance of harnessing open innovation and industry-wide collaboration to bring the most exciting and immersive experiences to market, while protecting existing investments consumers have made in devices and customer premises equipment. 

     

    Technicolor also unveiled a strategic initiative with LG Electronics to collaborate on delivering new content experiences to the home that meet the new UHD Alliance content and display specifications and push the boundaries of video imaging. Early elements of the expanded Technicolor-LG collaboration are on display for the first time this week at CES 2016. The two companies will screen never-before-seen HDR-graded content from multi-Oscar award winning writer/director/producer Francis Ford Coppola.

     

    Technicolor also inked an agreement with Royal Philips to merge their ongoing delivery roadmaps for HDR solutions, including content creation tools, encoding and decoding software and implementation support. As a result of this collaboration, Technicolor and Philips will offer a unique, best-in-class proposition to the market that allows HDR delivery, with full backwards compatibility to Standard Dynamic Range displays. This will simplify HDR deployments for distributors who will be able to send one signal to all of their customers, regardless of which TV they have. Their networks will be future proof as consumers upgrade to HDR displays over the next few years. 

     

    Technicolor will also make available the “Technicolor HDR Intelligent Tone Management (ITM)” solution for silicon. Consumer equipment (CE) devices that feature SoCs containing “Technicolor HDR ITM” capabilities will be able to automatically up-convert all legacy SDR content to powerful High Dynamic Range images on their new HDR devices. Technicolor HDR ITM unlocks millions of hours of movies, TV shows, video games, home videos and photos by adding contrast, wide colour palette, realistic highlights and deep shadow details of native HDR content. The solution is based on the Technicolor Hollywood production technology that was honoured with the 2015 Lumi?re Award from the Advanced Imaging Society for “outstanding technologies that advance the entertainment industry.”

     

    Additionally, Technicolor also showcased how it is advancing the experiences that have ushered in a new era of awe in the media and entertainment sector.

  • Rajiv Kapur’s views on India scenario

    Rajiv Kapur’s views on India scenario

    MUMBAI: When it comes to content consumption, India is no different from the rest of the world. The Indian consumers’ appetite for content, for when to watch, for where to watch, and for how to watch, along with customisation is growing. With the internet, content consumers are becoming device agnostic, moving from one media to another and enlarging contact points to access content and information. Media consumption habits are changing. People in such a scenario will not be happy with just the basic offerings. In terms of phones which were primarily made for voice calls, people look for additional facilities like video, whereas for television which is meant for video, people want a wide variety of features.

     

    Keeping the emerging scenario in mind, Broadcom has devised a number of technological innovations.  These offerings can only be utilized  fully if there is supporting broadband infrastructure and connectivity.

     

     

    Broadcom MD Rajiv Kapur believes that Reliance Jio can emerge as disruptor in India. He says, “Reliance Jio, with whatever they are doing is going to be a game changer, and the competition should be worried. Its foresight and deep pockets make the future look extremely interesting.”

     

     

    The cable industry is at a cusp. To start making money from avenues besides just carriage of television, the industry has to make the right technological upgradations. Internet data services must ride on the back of its existing infrastructure. Though all the players might not immediately realize the need for the right kind of upgradation, a few progressive minded ones can be the torch bearers, and their success will draw the rest in. Cable television or video ARPUs’ are not rising in India at the same rate as in the US or other geographies, where true high speed data ARPUs are a fraction, albeit quite a large fraction of Video ARPUs’. In India, it is the other way around- internet ARPUs’ are anything from twice to five plus times of cable television ARPUs’.

     

     

    Kapur says, “In every country there are a set of progressive minded operators and there are a few who reactively catch up. All that is needed is a few operators adapting hybrid technology with a goal of providing enhanced satisfaction to the consumer and in return getting more returns in terms of higher ARPU.”

     

     

    Broadcom now has devices based on DOCSIS 3.1 specifications, which obviously is an upgradation of the DOCSIS 3.0 version. DOCSIS 3.1 specifications hardware offer speeds of 1 gbps (Giga byte per second) as compared to the 100 mbps (Megabytes per second) or less that most DOCSIS 3 specification hardware is capable of. Kapur thinks “there is no real need of DOCSIS 3.1 in India at this stage” and he recommends that new innovators in the broadband space could start with DOCSIS 3.0.

     

     

    He says, “Let’s be realistic about India as a country. 100 mbps to 1 gbps!  There is no reason why India cannot talk about it, but as a country India still does not have the need for 1 gbps. But to begin with Docsis 2 today certainly makes no sense. It is like setting the ceiling lower than your own height.”

     

     

    “Data consumption for video is still the heaviest usage of internet by Indian consumers. For quality 1080 p viewing experience consistent 15 to 20 mbps speed is more than enough. So DOCSIS 3.1 is yet not a necessity in India,” avers Broadcom fellow and vice president Sherman Chen

     

     

    Kapur feels OTT will play a pivotal role in driving the need of broadband in India. Referring to the scenario five years back he says, “Today every hotel, coffee shop has Wi-Fi. Go back just five years and this was a rarity, so the evolution is happening. We are seeing taxi services offering Wi-Fi in their cabs during cab rides. OTT, telemedicine services will drive the need and the pipe will subsequently grow to meet the demand.”

     

     

    Kapur believes that the default HD box should be a hybrid ready and rest can be customer defined. The DAS phase III deadline is knocking at the door, Kapur opines that the boxes placed should be in a position to serve the needs of consumers for at least five years. “If we place 100 million boxes and in a year we land up in a situation where we have to change the boxes that will be sad. So depending on the need we must deploy the best we can. I don’t want to see them replaced even in 5 to 7 years. Quality is my biggest concern as we do not have a situation of testing arrivals” he concludes.

  • Technicolor raises €375m loan to fund Cisco STB biz & The Mill acquisitions

    Technicolor raises €375m loan to fund Cisco STB biz & The Mill acquisitions

     

    MUMBAI: To finance the recent acquisitions of Cisco’s set-top-box (STB) business as well as the purchase of British visual effects studio The Mill, French media company Technicolor has raised a €375 million five year incremental term loan maturing, which is due to be syndicated in the coming days.

     

    Additionally, the company will also increase its capital with preferential subscription rights of up to €225 million.

     

    The combination of the incremental term loan and of the rights offering would allow Technicolor to maintain a healthy balance sheet pro forma for the acquisitions of Cisco’s Connected Devices business for a sum of €550 million) and The Mill for €259 million and appropriate financial flexibility for future growth.

     

    The envisaged financing transactions should result in a pro forma expected leverage (Net Debt to Adjusted EBITDA) of 1.7x at end 2015 and include:

     

    1) An incremental term loan of €375 million maturing in 2020 fully underwritten by Goldman Sachs, the syndication of which will start in the coming days;

    2) A Rights Offering of up to €225 million, which Technicolor will launch after the publication of its Q3 2015 revenues. Banks have been appointed and are committed to underwrite the Rights Offering, subject to customary conditions; and

    3) Approximately €100 million of cash-on-hand will also be used to finance the acquisitions.

     

    The Incremental Term Loan: Concurrent with the announcements of the strategic acquisitions of Cisco Connected Devices on 23 July, 2015 and of The Mill, Technicolor will launch an Incremental Term Loan in €375 million equivalent aggregate principal amount, to help fund those transactions in conjunction with the planned Rights Offering and cash on hand. The Incremental Term Loan is being led by Goldman Sachs International as Sole Lead Arranger and Bookrunner.

     

    The Rights Offering: Technicolor will raise up to €225 million of new equity through a capital increase with the issuance of new ordinary shares. Existing shareholders will receive preferential rights to subscribe for new shares. The Rights Offering will be launched post announcement of Q3 2015 revenues on 21 October, subject to market conditions and receiving the visa from the French Autorité des marchés financiers. 

     

    The terms of the Rights Offering will be announced at the time of launch. Banks are committed to underwrite the Rights Offering, subject to customary conditions. Upon the launch of the Rights Offering, the company will publish a prospectus in respect of the Rights Offering, which will be available on the website of the company.

     

    In addition, as was previously announced, the acquisition of Cisco Connected Devices will be partially financed through the delivery to Cisco of Technicolor newly-issued shares.

  • Siticable resumes inadvertently disconnected signals to Bhopal LCOs

    Siticable resumes inadvertently disconnected signals to Bhopal LCOs

    NEW DELHI: Siticable Networks has apprised the Telecom Disputes Settlement and Arbitration Tribunal (TDSAT) that it had resumed signals, which were inadvertently disconnected, to 119 local cable operators (LCOs) from Bhopal.

     

    Siticable Networks counsel Tejveer Singh Bhatia assured the Tribunal that the supply had been resumed.

     

    The Tribunal had two days earlier directed Siticable Networks not to disconnect the supply of signals to 119 cable operators represented by the Bhopal Cable Operators’ Association.

     

    TDSAT chairman Aftab Alam and members Kuldip Singh and BB Srivastava had passed the order after a statement made by the LCO association’s counsel Nittin Bhatia that all due payments had been made.

     

    Bhatia had said the LCOs have made up-to-date payments as per the invoices issued by Siticable and continue to make payment at the rate at which invoices of June 2015 was issued.

     

    Bhatia told the Tribunal that he had the authorisation from 67 cable operators but would get these from the remaining 52 operators within a week.

     

    The Tribunal had said the status of any cable operator who is in dues will be determined on the basis of reconciliation of accounts and dues if any would be cleared within two weeks from the ascertainment of the said amount.

     

    The Tribunal had also said that the parties would be well advised to resolve their disputes through the process of mediation and directed both sides to appear before the Mediation Centre on 7 September.

     

    As was previously reported by Indiantelevision.com, the primary grievance of the Association was that the respondent was unilaterally and steadily increasing the monthly subscription fees payable by them. According to Bhatia, the cable operators paid the monthly subscription at the rate of Rs 30 per STB up to March 2013 and thereafter at Rs 60 per STB. Now the invoices being raised by the respondent are at the rate of Rs 83.11 (excluding taxes) for the package of channels supplied by it.

  • Made-in-India STBs sale to witness 15% growth in DAS phase 4

    Made-in-India STBs sale to witness 15% growth in DAS phase 4

    NEW DELHI: With the government’s emphasis on Make in India, local manufacturing of set top boxes (STBs) that are built within the country is showing a steady increase, even as India continued to lead STB shipments for the quarter ended June 2015 accounting for about 94 per cent of the total shipments to the SAARC region (Bangladesh, Nepal, India, Pakistan and Sri Lanka).

     

    With digitisation in India and other countries in the region propelling the demand for SD STBs to HDTV and hybrid boxes, the STB market in major South Asian Association for Regional Cooperation countries is witnessing steady and robust growth.

     

    According to research from Dataxis, indigenous manufacturing had been merely five per cent in the Phase I and Phase II of Digital Addressable System (DAS). While this has seen a steady growth in the third phase, the sale of Made-in-India STBs is likely to witness growth up to 15 per cent in the fourth phase of digitization.

     

    “Local manufacturing in India, which got a shot in the arm with the Indian government’s Make-in-India initiative, is slowly picking up as indigenous brands are signing deals with MSOs in third and fourth stage. The local STB brands are opting to independent, regional MSOs than the pan-India MSOs or national players,” says Dataxis analyst Sreeja VN.

     

    STB shipments to SAARC countries have witnessed 20 per cent quarter-on-quarter growth during the second quarter of 2015. In Q2 2015, 4.38 million STBs were shipped in the SAARC region with an estimated value of $96 million.

     

    The Dataxis research also finds that the quantity of the STB shipments in India the first half of this year has declined compared to the same period a year ago. However, the total number of STBs shipped in Q2 2015 registered an increase on quarter-on-quarter basis.

     

    Technicolor tops the STB shipments to SAARC in the Q2 2015. The company’s recent deal to acquire Cisco’s STB unit could further bolster Technicolor’s presence in the SAARC STB market.

     

    Airtel Digital TV, Dish TV and Videocon d2h, the three major DTH players have announced their plans to focus on deploying indigenous brands, which will give a boost to domestic manufacturing of STBs in India. The first half of the 2015 also witnessed DTH players partnering with Indian brands to source STBs manufactured indigenously.

     

    Another notable trend, according to Dataxis Research, is the increasing demand for HD STBs in the region. Dataxis’s analysis of STB shipment for the H1 2014 and H1 2015 depicts steady growth in the volume of HD STBs shipped to India. The rise in the number of HD STBs has also contributed to a rise in the average selling price of STBs shipped in the first half of 2015 compared to the same period last year.

     

    The report says that the key STB vendors for the quarter are: Technicolor, Skyworth, Changhong, Huawei and Coship (international vendors), and Mybox, One-eIGHT technologies, Trend Electronics, Ridsys, and Willet Communications (domestic vendors). 

  • “India will be a huge broadband market over the next 3 years:” Rajiv Kapur

    “India will be a huge broadband market over the next 3 years:” Rajiv Kapur

    MUMBAI: The Indian Cable TV sector has a gargantuan task at hand. Not only does it have to work towards converting analogue cable TV homes to digital, but it also needs to work towards connecting India with high-speed broadband pipes.

     

    Multi system operators (MSOs) are now working towards strengthening their broadband services. While Hathway Cable & Datacom was the first to launch a 50 mbps broadband service on its Docsis 3.0 ultra high speed network in 2013, Siti Cable and Den Networks were quick to follow suit in 2014. Not only this, several cooperatives that mushroomed post the digitization announcement, are also looking at offering more broadband services. And all this, to improve business as well as their average revenue per user (ARPU).

     

    So are MSOs in India taking the right approach to build a broadband base in the country? Broadcom India managing director Rajiv Kapur tells Indiantelevision.com, “I applaud the MSOs in the country for what they are doing. They are taking the right approach. If anything, they should do more of it.”

     

    The satellite versus cable versus IPTV is probably the biggest war in the broadcast universe, where three different ways of delivering live TV compete with each other. “India is at a very nascent stage for IPTV, and that brings us to the satellite versus cable TV war. Like in any other market, both will co-exist with their own unique offerings. Both have existed with a large enough pie of their own and both bring something unique to the table,” opines Kapur.

     

    Kapur believes that a reason why cable benefits over satellite is because it can provide a two way service. “While one way service is very limited, two way services are way more powerful in customizing things to make them more entertaining, or in gaming context more interactive. Taking a cue from what has happened in the rest of the world, I foresee that the sheer desire to remain competitive against satellite will again lead cable to bring broadband more aggressively in Indian cable market. The market itself isn’t exactly demanding it, so there has to be a little bit of a push to create the demand,” he adds.

     

    Since Indian subscribers are currently not aware of the advantages of a two way pipe, cable operators will need to start making creative use of the pipe that gives two way cable services, which enhances one’s TV watching experience and not just leave it as a pipe. “Even if it is left as a pipe, there are still some benefits for cable operators because the ARPU will still be way higher,” Kapur informs.

     

    Broadband will not only benefit cable operators, but also subscribers as there will be less capital expenditures (CAPEX) and a lower total bill, if they get the services from one operator. “So everyone benefits and this will happen whether it’s a sheer data pipe or there are services in the data pipe, which embellishes TV watching experience,” says Kapur.

     

    According to him, one needs to be a little more patient with broadband as India is going through the basic steps of digitization. “As a country, barely have we been able to figure out how to get such a large footprint of analogue converted to digital. It is a very large market and that makes it that much more difficult. One needs to keep in mind that business relations between broadcasters, MSOs and LCOs are still settling down,” points out Kapur.

     

    The country definitely needs a broadband push and now. Talking about how it will happen, Kapur suggests two types of push mechanism. “The first push is much easier and has already started, which is offering a higher bandwidth speed at aggressive pricing. This kind of push takes a progressive operator to initiate it and we have seen it happening. The second level of push is TV embellishing two way service. If you fast forward into 2016, there will be at least one progressive like-minded large cable operator who will begin showcasing interactive services that others will either be forced to follow or would want to follow,” he suggests.

     

    Talking about the right pricing for broadband, Kapur says that the sweet spot of bandwidth and price is between Rs 800 – 1000. “There is always a package, which is above it and there is a package below it. What will happen with time is that higher speeds will come at the same price. This is the beauty of a competitive market. In a year from now, at least a few operators will start aggressive broadband packages in the market. The side effects of this on other operators starting the same, will take another year or two. So in the next two-three years, India will be a much larger broadband market than it is today,” feels Kapur.

     

    Delay in Digitization

     

    Kapur believes that even if the country sees a large percentage of digitized homes and not 100 per cent, is still a big step forward. “The only benefit of 100 per cent digitization is that one can do an analogue shut off,” he says.

     

    Citing the positives of the delay of digitization, Kapur says, “The sheer magnitude of what needs to be done is very large. The delay gives time and opportunity to MSOs, LCOs and broadcasters to sort out their complex relations and their businesses.”

     

    The pressure to complete seeding of set top boxes (STBs) on time in phase I and II saw many MSOs compromising with the STB quality. “If we have to deploy 50-100 million boxes, it will be a shame to do it without keeping quality in mind. This country shouldn’t waste money in replacing boxes. So there is a big positive in the delay as now the quality matrix of what needs to be looked in hardware procurement will be left uncompromised,” he adds.

     

    Pay TV channel revenues post digitization

     

    Currently there is fear in the masses that prices of pay TV channels post digitization will go up. Kapur feels that while there is an element of truth in that, it is only because in the analogue regime, people were not paying for what they were viewing. “The second television was not being paid for and people were slicing the cable and taking feeds. So in the bigger picture, prices will go up just because of that.”

     

    Citing examples from the telecom sector, where high competition and usage led to reduction of prices, Kapur suggests that hyper competition will force price control even in the cable TV sector. “More services will come, which if taken by subscribers, will increase the ARPU for operators,” he opines.

     

    In satellite, DTH players have existed since over 10 years, however the country witnessed hyper competition amongst players only in 2008-2009. As the DTH market enters its early stage of maturity, more services are being considered and offered to consumers. “All this took a decade. Cable will not take that long because the market is established due to DTH, but it still needs to go through it,” informs Kapur.

  • STB market set to grow globally with HD channels & falling prices of smart TVs

    STB market set to grow globally with HD channels & falling prices of smart TVs

    NEW DELHI: Even as India has embarked on a Make in India programme, an international research says that availability of High Definition (HD) channels and falling prices of smart TVs are expected to surge set top box (STB) market growth between 2015 and 2022.

     

    Cooperation between STB operators and the manufacturers along with efficient customer support is expected to positively contribute towards market growth, according to Grand View Research.

     

    The Asia Pacific STB market is expected to witness rapid growth due to growing consumer adoption and favorable government mandate in the region.

     

    Regulations mandating the digitization of traditional cable television and the subsequent migration from analog to digital TV have led to an increased demand for STBs over the past few years. Technological advancements and better quality of signal transmission may further supplement STB market growth over the next seven to eight years.

     

    The improvements in technology and better quality of signal transmission in digital television are expected to spur market growth over the forecast period. Moreover, features such as recording, live streaming through internet, and remote viewing through smartphones and tablets are further expected to drive STB market growth.

     

    However, high costs of such STBs and associated costs of pay channels could challenge market growth. Cable service providers who are unwilling to participate in rolling out of STB due to major capital expenditure amidst business uncertainties may also challenge market growth. Factors such as operator upgrades to high definition technologies, attractive development policies, plans, growth interest in over-the-top hybrid set top box designs, and rising global penetration of pay-TV are expected to provide growth opportunities for the set top box market over the forecast period.

     

    Types of set top box include Internet Protocol Television (IPTV), satellite Direct-To-Home (DTH), cable, and Digital Terrestrial Transmission (DTT). The IPTV segment is expected to account for a major share in the market.

     

    Strategic acquisitions and mergers are expected to play a key role in expanding market share. For instance, in April 2015, ArrisGroup Inc., a broadband media technology, and Pace PLC, a UK-based technology provider for the Pay-TV and Broadband industries, announced that Arris would acquire Pace for a cash consideration of $2.1 billion. The acquisition is expected to enhance the company’s product portfolio and its presence in the satellite segment, the California-based research group said.

  • Catvision looks to invest Rs 10 crore in FY15-16

    Catvision looks to invest Rs 10 crore in FY15-16

    KOLKATA: Noida-based Catvision Limited, a manufacturer, re-seller and system integrator, has earmarked an investment of up to Rs 10 crore in the current fiscal 2015-16.

     

    The company aims to install 200 headends by December 2016 and manufacture around 15 lakh set top boxes (STBs) by 2017 fiscal end and the investment will be for such manufacturing and installation.

     

    The company has installed more than 60 headends till now in the country. Plans are afoot to install 200 more headends by 2016 through its joint venture (JV) company – Catvision Unitron. On the STB front, the company aims to manufacture around 15 lakh STBs to be used in the third and fourth phases of cable TV digitization process in India, which is likely to be completed by December 2016.

     

    “We aim to invest up to Rs 10 crore in the current fiscal 2015-16 on STB manufacturing and headend installation,” Catvision managing director Athar Abbas tells Indiantelevision.com.

     

    With the installation of the 200 more headends, Catvision is aiming about 25 per cent share in the headend installation vertical by 2016.

     

    Catvision Limited signed an agreement with Belgium’s Unitron Group NV, to set up a 50:50 joint venture company – Catvision Unitron in India which would develop AV encoders for the cable television industry. Now the JV develops CATV digital systems and products with the latest world-class technology. Unitron Group NV of Belgium has years of experience in the state-of-the-art digital head-end technology, and is one of the leading companies in Europe in providing solutions for TV distribution to multi- dwelling units and residential complexes.  

     

    While Catvision has number of years of experience in the CATV industry in India, a market that is migrating to digital technology totally by the end of 2016.

     

    By aiming to manufacture around 15 lakh STBs to be used in the third and fourth phases of cable TV digitisation process in India, the company is looking at a market share on one per cent, said Abbas.

     

    “Now, with extended deadline of cable TV digitization process, the industry would be able to cater to all the needs of the fragmented markets. By the end of 2015-16, we are looking at five lakh STBs and by 2016-17 we aim to manufacture another one million STBs,” Abbas further says.

     

  • Q3-2015: Den Network reports 18 per cent y-o-y growth in cable subscription revenue

    Q3-2015: Den Network reports 18 per cent y-o-y growth in cable subscription revenue

    BENGALURU: Den Networks Ltd’s (Den Networks) cable business subscription revenues net off LCO share grew 18 per cent, up 11 per cent y-o-y to Rs 116 crore in the current quarter from Rs 97 crore in Q3-2014 and its cable business operation margin was maintained at 19 per cent q-o-q.

     

    Den added 1,97,000 set top boxes (STB) in Q3-2015, taking the total STBs deployed to approximately 68 lakh. The company said that its current digital subscriber base in phase 1 and 2 is approximately 50 lakh. Digital subscribers are expected to increase significantly with acceleration in non-DAS market informs the company. 

     

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

     

    Den Networks TIO at Rs 269.82 crore in Q3-2015 fell two per cent from Rs 274.26 in Q3-2014 and fell 7.9 per cent from Rs 291.72 crore in the preceding quarter. However, TIO in 9M-2015 at Rs 859.34 crore was 5.5 per cent more than the Rs 814.83 crore in HY-2014.

     

    Den Networks recently launched its high speed broadband service, which is gaining great traction having achieved an average ARPU of Rs 740 per month in Q2-2015. This quarter, Den says that ARPU has improved to Rs 748 per month.

     

    The company also says that its joint venture (JV) with Snapdeal.com has been received extremely well. Within the first month, Den Network claimed in Q2-2015 that the company has clocked an annualised Gross Merchandise Value (GMV) in excess of Rs 50 crore based on the annualised latest daily run rate and was expected to scale significantly as the channel gets distributed across networks. For Q3-2015, the company says that the market place based model now reaches 1.9 crore homes clocking Gross Merchandise Value (GMV) of Rs 100 crore.

     

    Let us look at the other numbers reported by Den Networks:

     

    Total expense (TE) in Q3-2015 at Rs 316.75 crore (117.8 per cent of TIO) was 32.7 per cent more than the Rs 238.63 crore (87 per cent of TIO) in Q3-2014 and was 6.4 per cent more than the Rs 297.81 crore (102.1 per cent of TIO) in Q2-2015. In 9M-2015, TE at Rs 899.48 crore (104.7 per cent of TIO) was 29.8 per cent more than the Rs 692.75 crore (85 per cent of TIO) in 9M-2014.

     

    The company’s content cost in Q3-2015 at Rs 1100.96 crore (40.9 per cent of TIO) was 15.5 per cent more than the Rs 95.33 crore (34.8 per cent of TIO) in Q3-2014 and was 1.1 per cent more than the Rs 108.91 crore (37.3 per cent of TIO) in the immediate trailing quarter. For 9M-2015, content cost at Rs 325.39 crore (37.9 per cent of TIO) was 20.1 per cent more than the Rs 270.88 crore (33.2 per cent of TIO) in 9M-2014.

     

    Den’s placement fee in Q3-2015 at Rs 8.86 crore was 76.1 per cent more than the Rs 5.03 crore in Q3-2014 and 57.4 per cent more than the Rs 5.63 crore in Q2-2015. 9M-2015 placement fee at Rs 19.81 crore was 19.1 per cent more than the Rs 16.64 crore in 9M-2014.

     

    Den’s other expense in Q3-2015 increased 68.6 per cent to Rs 123.32 crore (45.9 per cent of TIO) from Rs 73.15 crore (26.7 per cent of TIO) in the corresponding year ago quarter and was 45.9 per cent more than the Rs 78.61 crore (26.9 per cent of TIO) in the preceding quarter. For 9M-2014, other expense at Rs 272.40 crore (31.7 per cent of TIO) was 27.6 per cent more than the Rs 213.51 crore (26.2 per cent of TIO) in 9M-2014.

     

    Den’s EBIDTA (without considering other income) in Q3-2015 fell to just Rs 0.28 crore as compared to the EBIDTA of Rs 72.26 crore (26.3 per cent of TIO) in Q3-2014 and the Q2-2015 EBIDTA of Rs 40.94 crore (14 per cent of TIO). EBIDTA for 9M-2015 fell by 2.33 times to Rs 98.38 crore (11.4 per cent of IO) from Rs 228.98 crore in 9M-2014.

     

    Other Income for the periods under consideration is as follows: Q3-2015 – Rs 23.94 crore; Q2-2015 – Rs 22.47 crore; Q3-2014 – Rs 22.98 crore; 9M-2015 Rs 64.96 crore; 9M-2014 – Rs 34.42 crore.

     

    The company reported a loss of Rs 62.60 crore in Q3-2015 as against a profit after tax (PAT) of Rs 16.08 crore. The loss in the current quarter was more than thrice the loss of Rs 20.45 crore reported for Q2-2015. The company reported loss of Rs 81.93 crore in 9M-2015 as compared to a PAT of Rs 28.35 crore in 9M-2014.