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KOLKATA: Close to 100 local cable operators (LCOs) in Kolkata have joined hands to form Bengal Broadband in order to provide independent cable services to their customers along the lines of mutli-system operators (MSOs) like SitiCable, Manthan, Incable among others. The LCOs plan to start their operation from the next fiscal, 2014-15.
The company has invested around Rs 4.8 crore in setting up a headend equipment and office infrastructure at Salt Lake College More in the city. It aims to have one million subscribers in the first year of its operations as they plan to provide digital connections to consumers at reduced rates, at around 15 to 20 per cent less than the MSOs.
Bengal Broadband director Mrinal Chatterjee said that the company will be able to offer services to customers at a cheaper rate as they would no longer have to pay a part of the profit to the MSOs. “It will be an operators’ driven MSO. We are looking to generate around Rs 100 crore as revenue in the first year of our operations,” said Chatterjee.
But it isn’t really easy as the multi-system operators (MSOs) are creating hurdles for the group, informs Chaterjee.
“However, in future, we plan to get another 1,000 LCOs under our fold and we will also focus to expand to the entire Bengal region,” added Chatterjee, also adding that the group is planning to expand in terms of infrastructure and is not looking for any profit in the first year of business.
Chaterjee also informed that they have already appointed three directors for Bengal Broadband and can appoint up to 12.
Perceiving digitisation as a threat to their business, the LCOs affiliated with Siticable, Manthan, GTPL, Incable and Digicable among others have also united.
Cable TV analyst Namit Dave Cable thinks that operators are not happy with the Telecom Regulatory Authority of India (TRAI) ruling on consumer application forms (CAF) and billing, which gives MSOs an upper hand in controlling the consumers.
Earlier we reported how a group of LCOs and independent MCOs met the Parliamentary Committee on Information and Technology in New Delhi to discuss the issue. The recent development is a result of that.
“During the analogue times, the share between the MSOs and LCOs used to be 20:80, but after Digital Addressable System (DAS), it has become 65:35. The business model is not at all lucrative,” said a local cable operator, who is a part of the Bengal Broadband, on the condition of anonymity.
This new development doesn’t come as a surprise to the industry because LCOs are trying to get back their customers from the MSOs. According to sources, more similar announcements may come if the situation continues.
Indian Television Dot Com > Digital Edge > LCO’s form ‘Bengal Broadband’ to be effective from FY15
..
The company has invested around Rs 4.8 crore in setting up a headend equipment and office infrastructure at Salt Lake College More in the city. It aims to have one million subscribers in the first year of its operations as they plan to provide digital connections to consumers at reduced rates, at around 15 to 20 per cent less than the MSOs.
Bengal Broadband director Mrinal Chatterjee said that the company will be able to offer services to customers at a cheaper rate as they would no longer have to pay a part of the profit to the MSOs. “It will be an operators’ driven MSO. We are looking to generate around Rs 100 crore as revenue in the first year of our operations,” said Chatterjee.
But it isn’t really easy as the multi-system operators (MSOs) are creating hurdles for the group, informs Chaterjee.
“However, in future, we plan to get another 1,000 LCOs under our fold and we will also focus to expand to the entire Bengal region,” added Chatterjee, also adding that the group is planning to expand in terms of infrastructure and is not looking for any profit in the first year of business.
Chaterjee also informed that they have already appointed three directors for Bengal Broadband and can appoint up to 12.
Perceiving digitisation as a threat to their business, the LCOs affiliated with Siticable, Manthan, GTPL, Incable and Digicable among others have also united.
Cable TV analyst Namit Dave Cable thinks that operators are not happy with the Telecom Regulatory Authority of India (TRAI) ruling on consumer application forms (CAF) and billing, which gives MSOs an upper hand in controlling the consumers.
Earlier we reported how a group of LCOs and independent MCOs met the Parliamentary Committee on Information and Technology in New Delhi to discuss the issue. The recent development is a result of that.
“During the analogue times, the share between the MSOs and LCOs used to be 20:80, but after Digital Addressable System (DAS), it has become 65:35. The business model is not at all lucrative,” said a local cable operator, who is a part of the Bengal Broadband, on the condition of anonymity.
This new development doesn’t come as a surprise to the industry because LCOs are trying to get back their customers from the MSOs. According to sources, more similar announcements may come if the situation continues.
Indian Television Dot Com > Digital Edge > LCO’s form ‘Bengal Broadband’ to be effective from FY15
..
