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Tag: Suresh Sethia

  • DAS Phase III status report: East and West

    DAS Phase III status report: East and West

    MUMBAI: Though the deadline was announced well in advance, the action on-ground took quite some time to get rolling. And now it’s certainly too late to finish on time. “It’s chaos and carnage together. Digitisation, which was meant to be a panacea has turned out to be a poison for cable operators and it’s sad that there is no one to stand by their side,” said a retired official from the Ministry of Information and Broadcasting (MIB) on condition of anonymity.

     

    As per the official’s assessment, on an average, 40 per cent seeding of set-top-boxes (STBs) has been done successfully and it will be impossible to meet the 31 December, 2015.

     

    Digitisation is an East – West – North – South affair and the progress report is quite similar everywhere. This report by Indiantelevision.com covers the proceedings of the eastern and western parts of the country.

     

    East

     

    The North Eastern part of the country has always been one of the most neglected areas when it comes to central government’s attention. The story is no different when it comes to DAS too. “People here are not aware of 10 per cent of the laws. There is nobody to go to and talk about grievances. Not everyone can go to the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) as they cannot afford to. So they have two options, to either opt out entirely from the cable business or succumb to unfair means. While there are grievances involved, we cannot expect work to go on a brisk pace and it’s all delayed,” Task Force member from Assam Iquebal Ahmed tells this website.

     

    While Ahmed refrained from putting a number to the progress but as per the assessment of other cable operators, approximately 30 per cent of the seeding has been done so far.

     

    And this 30 per cent is still on higher side the story is even worse in West Bengal. “Only eight to 10 per cent of the seeding has been done so far,” estimates Siticable Kolkata director Suresh Sethia. But he also says the work has picked up recently and it is not impossible to meet the deadline provided there is a surge in consumer demand.

     

    “The government has to advertise more aggressively by putting more newspaper inserts to drive consumer requirement. The message needs to be very clear that people need to have set top boxes before 31 December or there will be no TV,” stresses Sethia.

     

    The crisis of STBs, which is very widely spoken about is not something Sethia is bothered about. “As far as we are concerned, we have enough hardware to meet the demand,” he says confidently.

     

    West

     

    The west side story is a lot better in comparison. “About 60 per cent of the seeding has been done in Gujarat and if we continue with the way we are forging forward, there is a good possibility of us reaching the target by March if not December, provided the deadline is not postponed. However, if the deadline is postponed, the momentum of work will break since the pressure will ease off and then we might not be able to achieve it by June,” says GTPL Hathway COO Shaji Mathews.

     

    Mathews is of the opinion that deals with broadcasters cannot be a reason behind the delay. “Even in Phase I and II, analogue deals continued in digitised areas for a brief period. The transition takes time and will gradually fall in place,” he adds.

     

    However, the progress report in Maharashtra is not as hunky dory as that of Gujarat. The Maharashtra government, like the Central government, is adamant on no extension of deadline. The respective collectors have also communicated the same across every nook and corner. But there is a huge lack of awareness among consumers, says a senior member of Nasik District Cable Operators Federation.

     

    He further adds, “Do we have the infrastructure ready? Why are we not talking about that? The MSOs will benefit the most from this chaotic scenario. They are not releasing the boxes now and the reason is that when the demand hikes up at the last moment, they can jack up the price and sell. DEN is charging Rs 1600 for a STB! Can a phase III consumer afford it? The government needs to look into the deeper issues and generate more awareness instead of showing its muscle power.”

     

    What the scenario at the ground level will be post 31 December, 2015, only time will tell.

     

    Indiantelevision.com’s next report will focus on the ground realities in the Northern and Southern parts of the country. Stay tuned.

  • Kolkata MSOs to increase channel package rates

    Kolkata MSOs to increase channel package rates

    KOLKATA: A revision in channel package rates is on the cards following the Telecom Regulatory Authority of India’s (TRAI) directions to multi system operators (MSOs) last week to ensure delivery of bills to subscribers by hand, post or email as opted for by them, and provide within 45 days an online payment option in their subscriber management system (SMS) for subscribers to pay their bills in the first phase of the digital addressable system (DAS).

     

    However, the percentage by which channel package rates will go up is not exactly known.

     

    Kolkata has nearly 30 lakh cable homes and till mid-January, MSOs were issuing ad-hoc bills to subscribers. According to several LCOs, despite having implemented gross (consumer) billing in the Kolkata Municipal Area (KMA) since January, end consumers are not willing to pay billed amounts to LCOs.

     

    When contacted, Siticable Kolkata director Suresh Sethia said, “Package rates will soon be revised. There are instances where consumers are not getting bills from LCOs. The law of the land is the same for everyone. So, we have to courier bills to end users and this involves costs.”

     

    “We are happy that TRAI is trying to make the system more transparent,” Sethia added.

     

    An MSO on condition of anonymity said, “We will have to depute collection agents and provide them with a salary or collection commission, whatever they think is better as LCOs are not able to collect money from end consumers. But we can’t use this as an excuse and will ensure we adhere to the TRAI rules, however cash-strapped we are.”

     

    A cable expert expressed the view that package rates will have to be increased as post implementation of DAS broadcasters have started bargaining a lot and have proposed to charge a much higher rate than before.

     

    “MSOs are bound to increase the price as they have to show the bill and pay the tax on that. Also, to follow the new bill delivery system of the TRAI, additional costs will be incurred in terms of software development and manpower. To justify that, they may increase the price,” said Incubators Group chairman Kaushlendra Singh Sengar.

     

    Sengar informed that the Regulator had also asked MSOs to ensure that an electronic acknowledgement is sent to subscribers on their registered mobile numbers or email addresses within 30 days of making the payment to the service provider.

     

    A cable analyst, Mrinal Chatterjee, begged to differ, “Cable TV operation is not telecom operation. Here, LCOs also work. MSOs have no network of their own but depend on last mile connectors. Customers are the clients of the LMO, so how can MSOs send bills to them?”

     

    Other industry sources argued that some MSOs didn’t even have an SMS in place so how could they start an online payment option in the SMS.

     

    Still other sources opined that MSOs and LCOs need to address the issues together. “Now it seems the authorities want to remove the LCOs from this trade altogether, but it is not that easy to do so,” said an LCO on condition of anonymity.

  • STAR CJ Alive inks a deal with Siticable to reach 1.2 mn subscribers in WB

    STAR CJ Alive inks a deal with Siticable to reach 1.2 mn subscribers in WB

    KOLKATA: With Kolkata emerging as one of the largest hubs of shopping from the comforts of the home, the home shopping channel STAR CJ Alive from the house of STAR CJ Network India, is looking at better penetration in West Bengal. The channel has tied up with the multi-system operator (MSO) – Siticable in order to reach more than 1.2 million subscribers in the state.

     

    STAR CJ Network India – a joint venture between STAR Asia and the South Korean home shopping major, CJO Shopping – is also planning to expand its operations in Kolkata by leasing a warehouse in the next one year.

     

    “Kolkata contributes around three-four per cent to the total turnover. We have tied up with Siticable for better penetration in the West Bengal market. STAR CJ Alive will be available on no. 121,” said Star CJ Network CEO Kenny Shin.

     

    When Suresh Sethia, Kolkata director of Siticable was contacted, he said, this tie-up will help the channel to reach more than 1.2 million Siticable subscribers in the state.

     

    After observing the growth rate of TV shoppers in the eastern and north eastern region, the channel might look at a warehouse facility in order to make the delivery faster, informed Shin. “We believe Kolkata is going to be our hub in the eastern region. We would like to expand our business in Durgapur, Darjeeling and Siliguri too,” he added.

     

    The channel which was launched four years ago is one of the fastest growing shopping channels in the country and has 4.5 million registered users. “The television shopping industry is growing at a rate of 35-40 per cent whereas we are growing at a rate of 60 per cent in the current fiscal,” said Shin.

     

    The television shopping industry in India is pegged at around Rs 2,000 crore and STAR CJ Network India enjoys a market share of around 30-35 per cent at present, Shin further added.

     

    The channel is known to offer an array of products ranging from fashion, lifestyle, home appliances, kitchenware, digital services and lots more. “Going forward, the channel aims to cross five million registered customers by this month end, while in the next two-three years, it is looking at seven-eight million customers,” he concluded.

  • Kolkata MSOs come together to address ground issues

    Kolkata MSOs come together to address ground issues

    KOLKATA: The multi-system operators (MSOs) alliance operating in the Kolkata Municipal (KM) Area plan to form a team comprising two members from each service provider. Since the billing process hasn’t kicked off the way it should have, the team would meet this week to discuss issues like billing, collection, disputes among operators among others.

     

    If the effort of this alliance fails, an external agency may be brought on board to sort the issues troubling the group.

     

    “First we will like to solve the issues through our team. We will consider a third party only if we fail to address them. The team comprising of decision makers and seniors would be formed this week,” said Siticable director Suresh Sethia.

     

    Another MSO brought to the fore the issues they come across while collecting subscription fee from operators like they bring up issues related to under billing, area disputes among others, etc. “But on many occasions we have found that the last mile operators (LMOs) are complaining unnecessarily. Our team will go to assess the situation and address it,” he said.

     

    “We are talking in order to work together in improving the ground,” said Advance Multisystem Broadband Communication (AMBC) managing director Sujit Das.

     

    To implement the gross (consumer) billing for the month of January and bring transparency in the process, the MSOs are meeting regularly and discussing its smooth rollout. “Billing is a mess as LCOs are not willing to collect,” said Corpus Media Labs head sales GK Viswanath.

  • National and local MSOs meet in Kolkata to discuss billing process

    National and local MSOs meet in Kolkata to discuss billing process

    KOLKATA: The multi system operators (MSOs) seem to be in full swing to bring the gross billing system in place. This time, to discuss the smooth rollout of gross billing in the Kolkata Municipal Area (KMA), the national representatives of MSOs that included SitiCable Network and Den Networks, along with the local players like Manthan and AMBC among few others met and signed a deal to expedite the process. 

     

    Kolkata has 30 lakh cable homes and most of them still get ad hoc bills from the MSOs. Thus, to implement the gross (consumer) billing for January, and bring transparency in the entire process, the MSOs have requested cable TV subscribers to ask for bills from the local cable operators (LCOs) before paying the monthly subscription charges.

     

    In fact, in order to ensure that the gross billing process is smooth in the KMA area, the MSOs from national and eastern regions meet regularly, especially after West Bengal and the central government authorities have asked them to speed up the process.

     

    “Today’s meeting was on the smooth rollout of the billing. Customers should ask for a bill from the LCOs before paying their bills every month,” said AMBC managing director Sujit Das.

     

    Siticable Kolkata director Suresh Sethia also brought to notice that the MSOs have conducted a check on the overall implementation of digital addressable system (DAS) including the billing and collection process.  

     

    According to the regulations set by the Telecom Regulatory Authority of India (TRAI), subscribers will get 15 days from the date of the bill to make the payment. “In case the subscriber fails to make the payment till the due date, we may charge interest on the outstanding amount,” said Sethia, also adding that in the recent meeting the MSOs have decided to be firm on these agendas.

     

    The seriousness of the MSOs is evident as most of them have uploaded the bills on the server, and some have even given the print outs to the LCOs so that bill collection can be done, remarked a city based analyst.

  • Kolkata MSOs won’t change package price till June 2014

    Kolkata MSOs won’t change package price till June 2014

    KOLKATA: On 6 December last year, the Telecom Regulatory Authority of India (TRAI) met the multi-system operators (MSOs) in Kolkata to extend the deadline for initiating gross (consumer) billing from 10 December to 15 December.

     

    Now, the MSOs have assured cable TV subscribers that they will try and keep the package price unchanged till June this year, although they are contemplating a price rise post June.

     

    The MSOs have also requested subscribers to collect bills from local cable operators (LCOs) before dishing out the subscription fee for January. This is to bring in transparency in the billing process for the Kolkata Municipal Area (KMA).   

     

    It is further learnt that the MSOs are meeting regularly to discuss smooth rollout of gross billing in the KMA area, especially after having been asked by the West Bengal as well as central government authorities to expedite the billing process.

     

    Said Manthan Broadband Services director Sudip Ghosh: “We will continue with the package and we all are trying to keep the price of package untouched till June. The MSOs will try to absorb the cost themselves.

     

    According to Siticable Kolkata director Suresh Sethia, the entire process would take some time. “Customers are happy. Operators too want the billing to be in place. Also, we have put up advertisements in newspapers for consumer awareness regarding billing apart from local channels,” he said.

     

    As per TRAI regulations, subscribers get a period of 15 days from the date of the bill to make the payment.

     

    “In case the subscriber fails to make the payment after the expiry of the due date of payment, we will charge interest on the outstanding amount,” Sethia informed.

     

    Director of Den, Sanjoy Basu, opined that the new facility introduced as per the TRAI regulations would usher greater transparency in billing.

     

    With nearly 30 lakh cable homes, gross billing is definitely expected to regularise the hitherto ad-hoc system of billing.

  • SitiCable to host get-together for LMOs, broadcasters

    SitiCable to host get-together for LMOs, broadcasters

    KOLKATA: SitiCable Network is all set to welcome the New Year on a positive note and how? The national multi-system operator (MSO) is hosting its yearly get-together with around 14,000 last mile operators (LMOs) along with their families and the broadcasters attending it. The get-together which is scheduled for 4 January 2014 is a platform for the MSO to discuss its ambitious expansion plans in the eastern region as well as share their achievements.

     

    “This get-together is very important for us. It is here that we will talk about the cable TV industry and also announce our achievements, particularly, in the eastern region,” informed SitiCable Kolkata director Suresh Sethia.

     

    The MSO claims to have seeded around 1.7 million set top boxes (STBs) in the eastern region. “With the cable TV digitisation being in full swing, across the eastern region, we plan to install another 1.5 million STBs by December 2014,” added Sethia.

     

    This is not all. The MSO is also focusing on creating and acquiring content for approximately eight server based television channels. “We are looking at acquiring content in the eastern region. This meeting will help us talk to both the broadcasters and the LMOs directly,” he said.

     

    The MSO, who is currently planning at acquiring content for server based channels in Kolkata, will also look at tapping into the market in Patna and Guwahati.

     

    A cable TV analyst said, “The MSO has number of plans already under consideration and before complete digitisation, it is the best opportunity for it to address all the opportunities and the issues so that it can achieve its target.”

     

    The eastern region accounts for around 40 per cent of the revenue to SitiCable. “It is one of the most important markets for the company,” added the cable TV analyst.

  • TRAI asks Kolkata MSOs to start gross billing by next week

    TRAI asks Kolkata MSOs to start gross billing by next week

    KOLKATA: It was just last week that indiantelevision.com reported that Kolkata multi-system operators (MSOs) are likely to start the gross (consumer) billing process from 10 December following a directive by Telecom Regulatory Authority of India (TRAI).

    Now, TRAI met the MSOs again on 6 December and has asked them to start the billing process by 15 December.

    Kolkata has around 30 lakh cable television homes. As of now, an informal billing process is in place, but with effect from November, customers may have to pay the bill as per the package. “Collection may come in the next two-three months,” said Siticable Kolkata director Suresh Sethia.

    “Billing for the November package will start by 15 December. We will also advertise in newspapers and on our local channels to make our consumers aware about this development,” added Sethia.

    Siticable has around 10-11 lakh STBs in Kolkata Digital Addressable System-I (DAS-I) area.

    Explaining the details of the bill payment process, one of the MSOs informed that if a customer has chosen a package of Rs 180, he will have to pay Rs 180 + Rs 10 (amusement tax) + 12.36 per cent of Rs 180 (service tax) in the coming time.

    The billing system will bring transparency and organise the business, however, some operators are opposing it.

    But, the view of the majority is that only digitalisation can bring uniformity and a system in the so-called unorganised sector. Manthan Broadband director Sudip Ghosh said, “Billing is the first step to inform consumers of the changed ecosystem in a digitised environment.”

  • MSOs feel the heat in Kolkata

    MSOs feel the heat in Kolkata

    KOLKATA: It seems to be a really difficult time for the multi system operators (MSOs) in Kolkata. We have learnt that Kolkata Cable & Broadband Pariseva Ltd has been asked to pay a hefty amount to the government authorities as it has been avoiding the tax payment for quite some time.

    In another case, former CEO and managing director of Digicable Comm and now the head of the Kolkata operations of Hathway, Amit Nag, who was recently denied anticipatory bail by the Supreme Court, is allegedly untraceable. Sources indicate that the investigation may reach some other senior officials in the national MSO if he does not show up.

     
    Last week indiantelevision.com reported that two officials from Kolkata Cable & Broadband Pariseva Ltd – managing director Bijoy Kumar Agarwal and director Prasun Kumar Das – were arrested as the firm had not paid service tax to the tune of Rs 5.52 crore to the government exchequer.

    According to sources, the company has not paid the tax even after regularly collecting it from consumers and thus it has now been asked to pay around Rs 11-13 crore including the fine in the next 20-25 days.

    In the case of Nag, we have learnt that the national multi service operator Digicable had lodged an FIR against Nag alleging misuse of position and sharing of confidential data and digital materials like set top boxes and fibre optic wires.

    Siticable Kolkata director Suresh Sethia disclosed that Nag had allegedly deleted some sensitive data even when he was with Indian Cable Network Co (a Siticable affiliate in Kolkata) and now he has done the same with Digicable.

    Apparently, Nag had applied for a bail plea which was also rejected by division bench of Calcutta High Court.

    Sethia says: “We had filed a case against him on 1 January 2010 for deleting sensitive data like line diagrams and sharing of confidential data with competitors. Digicable has also complained of the same offence. In our case, the charge sheet was already filed in April 2013. In case of Digi, his bail request is cancelled and now he is absconding.”

    All this seems to be turning against the MSOs as the business community has even got a warning from the finance minister P Chidambaram that the government may arrest and prosecute the ‘chronic’ service tax evaders.

  • LCOs may decrease in number in the next three years

    LCOs may decrease in number in the next three years

    KOLKATA: Lately,  indiantelevision.com  has done a series of reports about local cable operators (LCOs) being unhappy with the process of digitisation. A critical area of concern being the Telecom Regulatory Authority of India’s (TRAI) ruling on consumer application forms (CAFs) and billing, which according to LCOs, makes multi system operators (MSOs) the owners of their hard-won subscribers.

    On the back of these reports comes another disturbing finding: experts say LCOs in the city’s DAS area – currently pegged at 7,000 to 8,000 – will drastically decrease in numbers in the next three years.

    Says Mrinal Chatterjee, who runs Akash Sutra, a cable network in Bangur and its adjoining areas: “During analogue times, the share between the MSOs and us used to be 20:80 but after DAS, it has come down to 65:35. The business model is not at all lucrative enough. A major number of operators might look at other options for existence.” Many others are thinking of ways to ‘only exist’ in the cable TV business, wherein they have invested nearly 20 years of their life; he adds.

    Whereas, Suresh Sethia, Siticable Kolkata director says: “Small operators will become a part of larger networks but will still be in business.” Asked to define the term ‘small operators’ Sethia goes on to explain that LCOs with 100-150 subscribers are small while those with 2,000 and more customers are big. “There are groups of LCOs having more than 10,000 subscribers that are considered large,” he says.

    Sources however say that in Kolkata, most cable ops are yet to sign revenue-sharing agreements with their MSOs.

    An MSO says while the company has asked affiliated LCOs to educate subscribers about the different packages on offer, LCOs are not doing their work. “Secondly, the LCOs did not pay us for each connection in the analogue regime. But with installed set top boxes and the number of connections transparent, LCOs are not supporting us properly implement the new system,” he says.

    By contrast, an LCO who is part of the recently formed Bengal Broadband initiative (GIVE LINK TO OUR STORY) argues: “A multi system operator may provide cable TV services directly to subscribers. They don’t need our services and we are not mere collection agents. So, I will try to become a MSO.”

    Another cable op questions: “Filling up forms to gather information about viewers’ preferences coupled with sharing of network could result in monopoly of MSOs. Where are we in the system?”

     

    According to Swapan Chowdhury, convener of the Cable Operators Digitalisation Committee of the Association of Cable Operators, the authorities must do something in favour of operators. But he is quick to assure that people who have spent years in this industry will be here and ‘nothing will change’.

    Corpus Media consultant GK Viswanath corroborates Chowdhury’s view and says: “LCOs will not leave the industry. They’ve spent time and money here. LCOs will be the franchisees or payment collectors.” Going forward, he feels the small LCOs will merge with the MSOs and not with big LCOs.