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Tag: Trai

  • OpenSignal too finds Airtel better than Jio in 4G speed, latter tops in reach

    MUMBAI: Bharti Airtel is the top performer among the mobile service providers in India in terms of 4G data speed, concluded a report by OpenSignal, a provider of insights into coverage and performance of mobile operators worldwide.

    OpenSignal said its survey was based on 1.3 billion measurements from 93,464 customers on the major wireless networks between December 2016 and February 2017. It stated that Airtel’s average 4G speeds came in at 11.5 Mbps. In second slot was Vodafone at 8.59 Mbps and Idea was the next with speeds of 8.34 Mbps. Jio was fourth, with speeds down to 3.92 Mbps. This clearly showed that Airtel still continues to be the best network of India.

    All the carriers were found to be below the current 17.4 Mbps global average for 4G download speeds.

    However, Jio customers were able to get an 4G signal from its network 91.6 per cent of the time. Idea came in second place at 59.45 per cent, Vodafone was third at 59.05 per cent, and Airtel came in fourth in this category with 54.72 per cent.

    Global internet speed test platform Ookla, based on web and app platforms, had recently shown Airtel as the top 4G high-speed internet provider in India. But, the report was questioned by Jio. Earlier this week, TRAI released a report suggesting Jio was the fastest 4G high-speed internet provider, while Airtel was the third-fastest.

    Also Read: Airtel does not agree with ASCI’s ‘conclusion’ on misleading ad

    Jio freebies: TDSAT puts off Airtel-Idea hearing to May

    Jio says Ookla has admitted to flaws in speed measurement system

  • TRAI to begin groundwork on next spectrum auction, TSPs not too keen yet

    NEW DELHI: Although the Telecom Regulatory Authority will work on the request received from the Department of Telecom for suggesting at a reserve price for 5G spectrum, it is unlikely that the auction would take place over the next six months.

    A TRAI source, confirming that the DoT was keen to auction 3400 to 3600 MHz which is used for 5G apart from the unsold spectrum from the last e-auction, said that telecom companies at present were not too keen to invest in fresh spectrum as they claimed to have incurred huge losses in the third quarter of 2016-17.

    The government is also keen to sell the 700 MHz band, which remained unsold in the last auction due to its high base price of Rs 114.75 billion per unit.

    TRAI has been asked to set the reserve price for airwaves in the 4G bands of 700 MHz, 800 MHz, 1800 MHz, 2300 MHz and 2500 MHz, and for spectrum in the 3400 MHz to 3600 MHz bands that are used for 5G services.

    The 5G airwaves are expected to be used for services like machine-to-machine communication, Internet of Things and even connected smart cities.

    Though consultations may be held soon with stakeholders, the Cellular Operators Association of India has said auctions should not be held before 2018.

    Around 2354.55 MHz of spectrum was put on sale in 2016, but the government managed to earn just around Rs 65,789 billion from 965 MHz, mainly in the 1800 MHz, 2300 MHz and 2500 MHz bands.

  • Chief Justice of MHC to hear Star India case against TRAI under Copyright Act

    NEW DELHI: The case by Star India and Vijay TV challenging the jurisdiction of the Telecom Regulatory Authority of India in the matter of tariff orders, which has taken surprising turns with three judges recusing themselves from the hearings, Is now coming up anew for hearing before the Chief Justice Indira Banerjee of the Madras High Court on 24 April.

    The All India Digital Cable Federation has filed its intervention in the case which has been filed as a fresh petition by Star India and Vijay TV and it has been numbered WP MP 11131/2017.

    The fresh petition became necessary as the matter is being heard afresh by the Chief Justice. Star India SVP – Legal and Regulatory – Pulak Bagchi confirmed that while the primary case remained on the grounds of the Copyright Act remained the same, a new petition had been filed because it was coming up before the Chief Justice.  

    The case had taken a surprising turn early this month the two judges — Justice S Nagamuthu and Justice Anita Sumanth –  recused themselves from the case and referred it to the chief justice for being referred to another bench. Another judge — Justice Govind Rajan — also recused himself earlier this week.

    Though it was not clear, it appeared that the two judges had received a letter which prompted them to withdraw from the case.

    The petition had been filed by Star India and Vijay TV under the Copyright Act on the ground that TRAI could not give any directive that will affect the content since that did not fall in its purview.

    Last month, Star India and Vijay TV decided not to press for their pleas for extension of the tariff order following TRAI’s announcement that its tariff regulations which were slated to come into effect on 2 April were being deferred to 2 May 2017. The court had fixed the matter for further hearing on 3 April even as TRAI counsel commenced his arguments following the conclusion of the arguments by the broadcasters over two days commencing last Friday.

    Earlier, on 3 March, the regulator had issued three regulations after getting a directive from the Supreme Court on its appeal against a stay granted by the Madras High Court. While granting the appeal, the apex court also asked the high court to conclude hearing in 60 days.

    Apart from the Tariff order which had originally been issued on 10 October last year, the regulator also issued the DAS Interconnect Regulations which had been issued on 14 October last year, and the Standards of Quality of Service and Consumer Protection (Digital Addressable Systems) Regulations which had been issued on 10 October last year. The orders can be seen at:
    http://trai.gov.in/sites/default/files/Tariff_Order_English_3%20March_20…
    http://www.trai.gov.in/sites/default/files/QOS_Regulation_03_03_2017.pdf
    http://www.trai.gov.in/sites/default/files/Interconnection_Regulation_03…

    Following these regulations, the broadcasters had filed an amended petition and TRAI had also replied to the same last week. Concluding his arguments for the broadcasters, senior counsel P Chidambaram argued that TRAI’s action of fixing tariff for TV content was in violation of the Copyright Act. He also submitted that TRAI did not have the jurisdiction to fix tariff since the exploitation of IPR was part of the Copyright Act.

    Also Read: 

    Star – TRAI copyright case: In dramatic turn, Madras HC judges withdraw

  • SPN India-SITI Networks dispute: TDSAT directs SITI to sign SPN RIO agreement (updated)

    MUMBAI: In a dispute between cable TV MSO SITI Networks and Sony Pictures Networks (SPN) India, the Telecom Disputes Appellate Tribunal (TDSAT) has ruled that the former should sign the existing reference interconnect Offer (RIO) of the latter.

    SITI Networks had approached the arbitrator saying that India’s leading broadcast network was threatening to disconnect its signals from it. And that it was imposing an “unjustified subscription fee hike” to renew its channel carriage agreement with it. This at a time when the nation is under the spell of SPN India’s biggest property the highly popular and most watched Indian Premier League (IPL).

    The MSO’s counsel appealed to the tribunal that SITI should be permitted to avail of the signals of the channels of SPN India on the same terms and conditions of the expired agreement till the latter publishes a new reference interconnect offer (RIO) as per the new TRAI regulations.

    SPN India’s counsel retaliated by saying that the MSO cannot seek an entitlement to the earlier subscription rates of the expired agreement for the former’s channels as its subscriber base had grown and the broadcast network deserved an increase in subscription fees.

    SPN India’s counsel further argued that since there is no valid agreement, the signals to SITI Networks platform should be disconnected unless the MSO executed the existing RIO as per the TRAI regulations.

    The TDSAT then directed SITI Networks to sign the existing SPN RIO within one week of the order (to avoid disconnection of signals) and with a provision to switch to the new RIO once the same is published as per the new TRAI regulations.

    The tribunal also asked both SITI Networks and SPN India to submit their detailed statements of accounts within the next 10 days so that it could help them settle their dispute on outstanding dues.

    Even as SPN India claimed that it had won a favorable order from the tribunal (no official comment was, however, available from it), a SITI Networks official spokesperson responded to indiantelevision.com saying that the “unjustified hike in subscription fees demand has been turned down by TDSAT and the court has directed to sign the agreement on a RIO basis in accordance with the prevailing regulations.”

    In addition to this, SITI Networks also appeared pleased that the tribunal has “asked the parties to submit their statement of accounts and the related invoices in reference to the outstanding issue.”

  • TRAI seeks ideas on ease of doing b’cast business

    NEW DELHI: With the fast changing regulatory framework for the media and entertainment sector, which in India is one of the fastest growing sectors, the Telecom Regulatory Authority of India has embarked on a major exercise to find out easier ways of doing business and cause least harassment to entrepreneurs. In short, try to examine where all procedural delays can be shaved off and what all could be made redundant.

    It has now issued a pre-consultation paper on the ease of doing business in broadcasting, which comes just a few months after a similar paper on telecoms. In the new era of convergence, the two sectors are expected to complement each other.

    public://tr1.jpg

    TRAI, which has raised questions about all sectors in the electronic media, has asked stakeholders to respond with their comments by 8 May 2017.

    The Authority has on its own decided to go for a pre-consultation with the stakeholders on ease of doing business in the broadcasting sector, taking a cue from PM Modi-led government’s efforts to ease doing businesses in India. It hopes to review various policy issues related to the broadcasting sector with a view to create a conducive and business friendly environment in the sector and identify procedural bottlenecks that affect ease of doing business in the broadcasting sector and recommend measures for simplifying the rules, regulations and bring more transparency and clarity in policies/ framework of the broadcasting sector. 

    public://tr2.jpg

    The aim is also to remove entry barriers by laying down well defined and transparent procedures and processes thereby creating level playing field and competition in the sector and to facilitate innovation and technology adoption for providing better quality of services to the consumers to steer further growth of the sector by attracting investment through investor friendly policies 

    Subjects to be covered in the pre-consultation before a final consultation paper is issued are related to processes and procedures for obtaining permission/license/registration for the following broadcasting services and subsequent compliance connected with these permissions. The fields include:

    (a) Uplinking of TV channels 
    (b) Downlinking of TV channels 
    (c) Teleport services 
    (d) Direct-to-home services 
    (e) Private FM services 
    (f) Headend-in-the sky services 
    (g) Local Cable Operators 
    (h) Multi System Operators 
    (i) Community Radio Stations 

    The consultation will include allocation of broadcasting spectrum; clearance from Department of Space; WPC clearance for broadcasting services; SACFA Clearance Process; and Clearance from Network Operations Control Center (NOCC).

    For DTH, the issues include disaster Recovery Site for DTH Operator; and transmission of radio services over DTH platform.

    public://tr3.jpg

    Other issues are Right of Way for cable operators; Broadband through cable TV; Open sky policy for KU band; Rationalization of FDI policy in broadcasting sector, developing India as a teleport hub, Skilled manpower in broadcasting sector, and Indigenous manufacturing of broadcasting equipment.

    While the broadcasting sector so far has been replete with success, the Authority feels that this sector has immense potential to move on higher trajectory of growth if more conducive business environment could be created by simplifying existing provisions of policy framework related to broadcasting sector. It has also been noted that certain existing provisions may require a re-look in view of the technological changes that have taken place in the broadcasting sector.

    The Authority is of the view that the attractiveness of business proposition  is the prime mover and creates the potential for investments, but ease of doing business enables greater realization of this potential. Therefore, taking a cue from the Government’s efforts towards ease of doing business

  • Arasu DAS licence: Stakeholders fear flurry of similar requests & permissions

    NEW DELHI: Even as Tamil Nadu state government-backed MSO Tamil Nadu Arasu Cable TV Corp (TACTV) expressed satisfaction at getting the DAS license after “five years of struggle”, some other stakeholders felt this move by the Ministry of Information and Broadcasting may go against a policy recommendations by sector regulator TRAI and, possibly, open up floodgates for similar requests from other local governments.

    TACTV general manager Ramana Saraswathi, while welcoming the development, told indiantelevision.com that the matter about shuttering analogue signals within three months was something that the state government would decide.

    She said that TACTV would await government instructions. Incidentally, the state government in Tamil Nadu state is an ally of the BJP-led NDA coalition that is in power in New Delhi.

    While officially analog has had a sunset on 31 March 2017 in India, MIB’s internal review of the ground situation revealed that full digital play is yet to be a reality. The Andhra Pradesh state government, meanwhile, had exhorted MIB to extend the March 2017 deadline, which had received no official feedback from MIB.

    However, not everybody was as upbeat as Arasu. Most MSOs and LCOs outside Tamil Nadu, contacted by indiantelevision.com, made clear their apprehension saying this might “open the floodgates” and “other state governments may take advantage” of this by regularising or floating MSO companies, which will indirectly help politicians control what all gets aired and what all people can watch.

    One Andhra-based MSO said that an inter-ministerial committee had itself held that the matter was one of policy that should be decided by the MIB. LCO Sky Vision managing director R S Raju said that when TRAI has submitted a series of recommendations on why government or semi-government bodies should not be allowed in TV distribution business, which are awaiting a final decision at MIB, such permissions, conditional or otherwise, send a wrong signal to the industry players.

    Saharsh Damani of the All India Digital Cable Federation (AIDCF) said the organization would study the government order in detail and then give an official reaction.

    In August 2014, TRAI had suggested barring political parties from entering into broadcasting space, while it recommended several restrictions on the corporate houses in this regard.  It had made a similar recommendation in December 2012 and earlier in November 2008.

    “Ownership is a huge concern… how do you know that a TV channel operated out of Bhopal owned by a local MLA or MP is conveying the truth rather than tinted version of the truth. This is one problem with political ownership,” the then TRAI chairman Rahul Khullar had said in 2014 while releasing recommendations on ‘Issues Relating to Media Ownership’.

    TRAI had suggested that entities, including political bodies, religious bodies, central and state government ministries and government funded entities be barred from entry into broadcasting and TV channel distribution sectors.

    The regulator even suggested that surrogates of such entities too “should be barred”.

    TRAI had pushed for enactment of a new legislation through an executive decision for its recommendations to be implemented, while suggesting an exit option should be provided in case permission to any such organizations had already been granted.

    Arasu’s conditional license makes things that much more difficult for MIB and other central government department to take a final decision on the regulator’s suggestions.

    ALSO READ:

    Arasu gets provisional MSO license subject to analogue switch-off in three months

    Can a MSO block a channel airing unfavourable poll survey?

    DAS: MSOs, LCOs give low figure of STB seeding, official sources admit it’s under 80%

  • Arasu gets provisional MSO licence subject to analogue switch-off in three months

    NEW DELHI: The Tamil Nadu-Government run Arasu Cable TV Corporation (TACTV) has been granted provisional licence to operate as a multi-system operator in the state on condition that it switches off analogue signals in the entire state within three months.

    Information and Broadcasting Ministry sources also told indiantelevision.com that it had been made clear that the provisional licence was subject to the Centre taking a final decision on the recommendation of the Telecom Regulatory Authority of India that no government owned body should be permitted in the field of running or distributing television channels.

    In Tamil Nadu where there is a court stay in operation since Phase I, TACTV had warned MSOs and LCOs against switching off analogue signals anywhere in the state after 31 March 2017.

    The sources said that Arasu had been granted provisional licence in 2006 at the time of the Conditional Access System on certain conditions based on the TRAI report but this had not been renewed when Digital Addressable System came into force.

    Pointing out that the centre had refused to grant DAS licence to TACTV because recommendations of the TRAI, a Chennai-based MSO had told indiantelevision.com earlier this month that the case in Madras High Court had been gong on for so many years primarily because the Central Government was not clear about its stand and keeps taking adjournments.

    TACTV that it had applied for a DAS licence as far back as July 2012 but the government had failed to take a decision despite an order of the Madras High Court of December 2013 asking the Centre to take a decision on the application of TACTV for grant of it’s license “in the soonest possible time”.

    Earlier on 3 September 2015, the Telecom Disputes Settlement and Arbitration Tribunal adjourned sine die the hearing of a matter in which it had asked the Information and Broadcasting Ministry to explain the denial of digital addressable system licence to the TACTV.

    The order by then Tribunal Chairman Justice Aftab Alam and members Kuldip Singh and B B Srivastava came on being informed by the Government counsel that a single judge of the Madras High Court had on 28 August 2015 stayed the proceedings pending before the Tribunal.

    The Tribunal said however gave liberty to the parties to bring to the notice of the Tribunal any further development in the matter.

    The Information and Broadcasting Ministry had on 14 August 2015 been asked by the Tribunal to file an affidavit in a matter where the root issue is about the denial of digital addressable system licence to the TACTV Corporation Ltd. It also directed the Indian Broadcasting Foundation to get impleaded in the case.

    The Tribunal had held that Arasu was guilty of transmitting television signals in Chennai – which had adopted DAS in the first phase – in analogue mode, and at the same time guilty of using Star signals in the metropolis without any authorization inter-connect agreement with Star India.

    Noting that there is no compliance with the direction of the Court even after more than a year and half, the Tribunal had at that time felt it was imperative to know the stand of the Government for a proper adjudication of the matter.

  • Jio brings Rs 309 all-unlimited plan, new Prime sops

    MUMBAI: Reliance Jio Infocomm announced that the Jio Summer Surprise has been fully withdrawn, following the advice of Telecom Regulatory authority of India (“TRAI”).

    Jio further announced new all-unlimited plans with special benefits, exclusively for its Jio Prime members and aimed at encouraging Jio subscribers to live the Digital Life without restrictions – Jio Dhan Dhana Dhan!

    The plans start with the most affordable Rs. 309 which provides Unlimited SMS, calling and data (1GB per day at 4G speed) for three months on first recharge.

    The company also announced the Rs. 509 unlimited plan for daily high data users offering Unlimited SMS, calling and data (2GB per day at 4G speed) for three months on first recharge.

    Considering the special benefits that are available to Jio Prime members, customers who were unable to subscribe to Jio Prime for any reason, can continue to do so by paying Rs. 408 or Rs. 608 (Jio Prime + recharge price) to avail these benefits.

    These plans will be available starting on 12 April, 2017. Existing Jio customers who have not done their first recharge so far, need to do so by 15 April 2017 to avoid degradation and/or discontinuation of services.

    Jio is currently implementing the world’s largest migration from free to paid services in such a short period of time. In order to smoothen the migration from free to paid services, Jio has implemented simple, affordable and regulatory compliant plans in customer interest. Jio looks forward to customers making full use of this opportunity to avail the most attractive tariff plans in the industry, which are unparalleled globally.

    With this, Jio extends the benefits of a superior and advanced technology to take India to global digital leadership. Jio’s unmatched data strong network is capable of meeting the burgeoning data requirements of hundreds of millions of Indians. The announcement also marks another step in Jio’s commitment to continuously delight its customers and enable them to live a fully digital life. Jio is thankful to the millions of customers who have taken up Jio services.

  • TRAI now seeks telecom biz ease ideas by 25 April

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) had issued a paper on “Ease of doing Telecom Business in India” on 14 March 2017 and sought comments of stakeholders. The last date for receiving written comments from the stakeholders was fixed as 11 April 2017.

    Promoting “ease of doing business” is amongst the priority work items for unhindered growth of thetelecom sector. A number of steps have already been taken for ease of doing business. Steps like adoption of market based spectrum management such as assignment of spectrum through auction, permitting spectrum trading, spectrum sharing and liberalisation of administratively assigned spectrum, Unified Licensing regime, Merger and Acquisition guidelines, Virtual Network Operation etc. have been guided by the principles of “ease of doing business”.

    Some stakeholders requested that, since the paper deals with various issues, the time line for submission of comments may be extended. Considering the requests, it has been decided to extend the last date for submission of written comments up to 25 April 2017.

    The comments may be sent preferably in electronic form at advmn@trai.gov.in. TRAI may be contacted at Telephone Number +91-11-23210481.

    Further, the Authority is of the opinion that various processes that a telecom licensee is required to go through, should be simplified and combined to the extent possible to economise on efforts on part of the Telecom Service Providers (TSPs) as well as the Government. Therefore, it is important to identify the bottlenecks, obstacles or hindrances that are making it difficult to do telecom business in India and thus, require regulatory intervention.

  • Active DTH subscriber growth subdued in Oct-Dec’16 quarter

    BENGALURU: Telecom Regulatory Authority of India (TRAI) numbers for the quarter ended 31 December 2016 (current quarter, Q3-17) reveal that active DTH subscriber growth in India was lowest since the quarter ended June 2015 (Q2-16) at just 1.2 percent or just 7.5 lakh (0.75 million). In the previous quarter the platform had added 14 lakh (1.4 million) active DTH subscribers and 25.5 lakh active DTH subscribers in Q1-17.

    TRAI reports revealed that the active subscriber base in the country grew to 626.5 lakh (62.65 million) in Q3-17 from 619 lakh (61.9 million) in the immediate trailing quarter (Q2-17). Further, the industry has witnessed a higher growth of registered subscribers at 3 percent as compared to active subscribers in Q2-17 which was at 2.9 percent. In Q2-17 TRAI had reported 941.6 lakh or 94.16 million registered subscribers, which grew to 970.05 crore or 97.005 million in the current quarter.It may be noted that TRAI has been reporting the net active subscriber base including temporarily suspended subscribers that have been inactive for not more than 120 days since Q3-16 (quarter ended 31 December 2015).

    Of the six private players in the Indian DTH ecosystem, three are publically listed and their numbers are available in the public domain – They are in alphabetical order: Airtel Digital TV Services or Airtel DTH which is a small segment/division of Indian telecom major Bharti Airtel Limited; Dish TV, the largest DTH player in the country in terms of number of subscribers; and Videocon d2h.
    public://F1_3.jpg
    Airtel DTH, Dish TV and Videocon d2h have about two thirds (65 percent) of market share of the DTH universe by private players in India. Of the other three players, according to a TRAI report TataSky has a market share of 23 percent, while Sun Direct and Reliance have a market share or 10 percent and 2 percent respectively. It may be noted that at present probably the largest DTH player in India could be the government’s FreeDish, but since it is a free service, no subscriber data is available even with PrasarBharati. Please refer to the chart below:
    public://F2_2.jpg
    For Q3-17, the subscriber growth of the three major players – Airtel DTH, Dish TV and Videocon d2h was more than the industry growth– their combined subscriber base grew 1.6 percent quarter-over-quarter (q-o-q) by 6.33 lakh (0.633 million) to 406.58 lakh (40.658 million) from 400.25 lakh (40.025 million) in the immediate trailing quarter. This means that the major contribution to growth of overall active subscribers – 84.4 percent was by these three players.

    Among the three, Videocon d2h had the highest growth at 2 percent – its subscriber base grew 2.5 lakh (0.25 million) from 125.2 lakh (12.52 million) in Q2-17 to 127.7 lakh (12.77 million) in Q3-17. Airtel DTH subscriber base grew by 1.83 lakh (0.183 million) or 1.5 percent quarter-on-quarter (q-o-q) in Q3-17 to 125.88 lakh (12.588 million) from 124.05 lakh (12.405 million) in Q2-17. Dish TV, the largest private DTH player subscriber base grew by 2 lakh (0.2 million) or 1.3 percent q-o-q to 153 lakh (15.3 million) from 151 lakh (15.1 million).

    Let us see how these three players performed in Q3-17

    Airtel DTH

    Airtel’s Digital TV Services segment (DTH segment) reported 17.7 percent year-on-year (y-o-y) increase in operating revenues for the quarter ended 31 December 2016 (Q3-17, current quarter). Also, Operating Profit (Earnings Before interest and Tax – EBIT) of the DTH segment in the current quarter increased 27.1 percent year-over-year (y-o-y).
    Airtel DTH reported revenues of Rs 873.5 crore in Q3-17 and Rs 742.2 crore in Q3-16. EBIT for the corresponding periods was Rs 68.4 crore (7.8 percent margin of the segment’s operating revenue) and Rs 53.8 crore (7.2 percent margin of the segment’s operating revenue) respectively.
    EBIDTA in Q3-17 also increased y-o-y – by 22.3 percent to Rs 302.6 crore (34.6 percent margin of the segment’s operating revenue) in the current quarter from Rs 247.4 crore (33.3 percent margin of the segment’s operating revenue).
    Airtel’s DTH segment added 14.82 lakh subscribers between Q3-16 and Q3-17, or a 17.3 percent y-o-y increase. It had 125.88 lakh subscribers as on 31 December 2016. Q-o-q, the segment witnessed a 1.5 percent growth (1.83 lakh adds) in subscribers from 124.05 lakh in Q2-17.
    ARPU in Q3-17 increased to Rs 232 from Rs 229 in the corresponding year ago quarter, but remained flat q-o-q as compared to the immediate trailing quarter.

    Dish TV

    Subscription revenue in the current quarter increased 3.3 percent y-o-y to Rs 692.10 crore from Rs 669.90 crore. TIO declined 3 percent to Rs 747.98 crore from Rs 771.48 crore.

    Profit after tax (PAT) declined to almost a third (declined 61.0 Percent) y-o-y to Rs 26.68 crore (3.6 percent margin – of TIO) in Q3-17 from Rs 68.49 crore (8.9 percent margin) in Q3-16. EBIDTA in the current quarter declined 6 percent y-o-y to Rs 249.51 crore (33.4 percent margin) from Rs 265.45 crore (34.4 percent margin).

    Videocon d2h

    Videocon d2h computed subscription and activation revenue in the current quarter wasRs711.2 crore as compared to Rs 710.7 crore in the immediate trailing quarter.

    Continuing the trend is has set in the previous two quarters, Videocon d2h reported a profit after tax (PAT) for Q3-17. The DTH major reported PAT of Rs 21.77 crore (2.8 percent margin) for the current quarter. It had reported PAT of Rs 6.32 crore (0.8 percent margin) for Q2-17, and Rs 2.66 crore (0.3 percent margin) for Q1-16. For the corresponding year ago quarter (Q3-17), the company had reported a loss of Rs 22.05 crore.Adjusted EBIDTA grew 33.2 percent y-o-y to Rs267 crore (35.4 percent margin) in Q3-17.

    The DTH major also reported 13.3 percent y-o-y growth in net subscriber numbers at 127.7 lakh for Q3-17 as compared to 112.70 lakh and a 2 percent quarter-over-quarter (q-o-q) growth from125.2 lakh. Monthly Average revenue per user (ARPU) in the current quarter came in lower at Rs 205as compared to Rs 209 in the immediate trailing quarter.

    Demonetisation impacts DTH industry

    The Media and Entertainment industry has been hit by the recent demonetisation initiatives, and more so the carriage industry. The largest DTH player in terms on subscribers – Dish TV said in its earnings release Q3-17 that it’s could collect subscription revenue from just 30 percent of its subscribers post the demonetisation date of 8 November 2016. Demonetisation was also mentioned by Videocon d2h in its earnings papers. However, the players stepped forward to do their bit for the government’s demonetisation initiatives.

    Dish TV CMDJawaharGoel said,“Subscribers as well as trade partners were extended temporary credit facilities basis their pasttransactions pattern. Subscriber awareness drives to promote alternate methods of paymentwere run both on the ground and on screen in addition to various other initiatives. Looking at the brighter side of it, demonetisation does promise an eventual less-cash dependentpopulation that should use online payment interfaces over cash for DTH recharges. That’s goingto be a boon for the DTH business.”

    Goel is optimistic about the future. He said, “Though demonetisation has led to an initial distress, it also will result in certain structuralchanges that are going to benefit the economy in the long run. As far as our business isconcerned, the effect has already started coming in. As online payment transactions, creditcards and a less-cash society become buzz words today, we are happy to note an increase in ouronline transacting subscriber base from 30 percent to around 38 percent with around 22 digital wallets and thelike being integrated with the company. Every online recharge transaction vis-à-vis EPRS basedtransaction implies savings on recharge commissions paid by us.”