Cross-media regulation has only discouraged clean,legitimate players in DTH & cable

[Bapun]

Uday Shankar is a tough man when it comes to dealing with joint venture partners: he is not averse to exiting from old relationships if he sees the growth engines being exhausted.

In his eight-year tenure as CEO, Star India has parted ways with three of them: Balaji Telefilms, Hathway Cable & Datacom and MCCS, the JV company with ABP Group for the TV news business. At a much broader level, parent News Corp also ended the Asian sports broadcasting joint venture with Walt Disney and took full control of ESPN Star Sports.

Still, Shankar is fair, ethical and a trusted friend. Star has made none of the promoters of the JV partners uncomfortable by selling the shares to anybody hostile. The only joint venture left is Tata Sky, the DTH company in which Tata Sons has 60 per cent stake and Temasek holds 10 per cent. And, of course, Shankar’s grand alliance with Zee Group to handle the distribution business through an entity named MediaPro Enterprises.

In Asianet Communications Ltd, which was acquired by Star, Shankar has former telecom czar Rajeev Chandrasekhar as a minority partner. Star has agreed with its partner to list Asianet and give Chandrasekhar an exit option.

In the second part of the interview with Indiantelevision.com’s Sibabrata Das, Shankar talks about the joint venture exits, Star’s bet on DTH, cross-media restrictions and the scope of Indian media businesses to attract foreign capital if the policies are further liberalised. He is candid in his replies even on issues which normally would have evoked guarded responses: be it the restrictions on broadcasters owning direct-to-home (DTH) companies or cable TV operations or about the possibility of Rupert Murdoch’s first ever initial public offering (IPO) in India through Asianet.

More> Indiantelevision.com > Executive Dossier > Indiantelevision.com's interview with Star India CEO Uday Shankar

 

[tech_genie]

RE: Cross-media regulation has ...

Uday Shankar is a tough man when it comes to dealing with joint venture partners: he is not averse to exiting from old relationships if he sees the growth engines being exhausted.

In his eight-year tenure as CEO, Star India has parted ways with three of them: Balaji Telefilms, Hathway Cable & Datacom and MCCS, the JV company with ABP Group for the TV news business. At a much broader level, parent News Corp also ended the Asian sports broadcasting joint venture with Walt Disney and took full control of ESPN Star Sports.

Still, Shankar is fair, ethical and a trusted friend. Star has made none of the promoters of the JV partners uncomfortable by selling the shares to anybody hostile. The only joint venture left is Tata Sky, the DTH company in which Tata Sons has 60 per cent stake and Temasek holds 10 per cent. And, of course, Shankar’s grand alliance with Zee Group to handle the distribution business through an entity named MediaPro Enterprises.

In Asianet Communications Ltd, which was acquired by Star, Shankar has former telecom czar Rajeev Chandrasekhar as a minority partner. Star has agreed with its partner to list Asianet and give Chandrasekhar an exit option.

In the second part of the interview with Indiantelevision.com’s Sibabrata Das, Shankar talks about the joint venture exits, Star’s bet on DTH, cross-media restrictions and the scope of Indian media businesses to attract foreign capital if the policies are further liberalised. He is candid in his replies even on issues which normally would have evoked guarded responses: be it the restrictions on broadcasters owning direct-to-home (DTH) companies or cable TV operations or about the possibility of Rupert Murdoch’s first ever initial public offering (IPO) in India through Asianet.

More> Indiantelevision.com > Executive Dossier > Indiantelevision.com's interview with Star India CEO Uday Shankar

I think Uday is talking business here. However, on a more people-oriented perspective, Cross-media regulations have ensured that-

1) The market is not monopolized or duopolized :no
2) There are not many entry barriers created by a couple of media-powerhouses for newer players and helped companies like Videocon, Reliance & Airtel to enter the DTH foray. :hello
3) Has ensured rational pricing for channels and packages for all DTH providers. hya