Television
in India has witnessed a major transformation over the decades embarking the
journey of digitization. As the Cable Television Network Act 2011 has made it
mandatory for all analog cable TV to switch over digitization, the market has
changed dramatically offering better viewing experience for viewers.
The
target cities of digitization are Mumbai, Delhi, Bangalore, Kolkata and
Chennai. There were 3 different phases of channelizing the network that will
also reach to towns and districts. However, with the question like what is
digitization, the answer is provided by the providers. Company like Videocon D2H has made the service more
interesting by offering extra features and service.
The Beneficiaries:
The
providers like Videocon D2H, TATA Sky and Airtel are not the one who are going
to benefit with this switch over, but also the users. Providers will be
benefited with ARPU (Average Revenue Per User). Moreover, Broadcasters also
will be able to get the accurate number of their subscribers through this
digitization, which is not possible with an analog cable thereby increasing
their subscription revenue.
According
to the The Associated Chambers of Commerce and Industry in India study,
presently the number of household TV users are estimated to more than 150
million and cable TV homes are about more than 100million. There has been a
huge challenge for the installation of digital connection to each of these
households. Among the major challenges are concerns about the timely
installation of digital set top boxes in all television households; questions
about the availability of necessary funds for the procurement of new digital
cable boxes.
Changing from Analog to Digitization:
There
has been a huge change seen in analog TV users who are now switching over to
digital service. There is a huge limitation in analog service including limited
channels, high charges and not so crisp channels.
In
India, DTH providers are not leaving any stone unturned to attract consumers switching
from analog cable to digital TV.
The Rise of DTH Players in Digitisation:
DTH
players are concentrating in rural areas where TV audience are increasing
rapidly and switching over to digital service. With the onset of digitization,
service providers got an entry to the urban markets in the early phases of
digitisation. Urban subscribers are also having options of choosing STB from
local cable operators; however, they get limited service and channels compared
to digital company.
Though
the digitisation has emerged as new player, it couldn’t overthrow the cable
operating service. According to the set top box seeding status of phase II
released by government, DTH players in India could grab about 30% of the market
share. This is something that can worry DTH players in near future.
However,
players like Videocon D2H is gaining momentum and ensuring that the user gets
good service under best package. They are not only offering service to single
user in building, but the entire residents of the building. This certainly
helps the company to get more subscribers and earn good revenue by offering
quality service.
Conclusion:
No
doubt, digitisation has been a game changer and getting the process ahead to
rich more TV audience, also giving tuff competition to cable operators.