IndianMascot
Core Member
Although carriage fees saw a reduction of 15-20 per cent after the first two phases of digitisation, the delay in implementation of the various phases of digitisation means the promised jump in subscription revenues and average revenue per user (ARPU) has not materialized.
The recently launched Digitization and Mobility: Next frontier of growth for M&E, report by Deloitte states, “One year into the implementation of digitisation, the cable and broadcast sector is still trying to iron out creases and get systems in place. The key goal of digitisation was addressability, which was expected to plug leakages in the system. While cable subscribers have been increasing, rampant under-declaration meant, Multi-System Operators (MSOs) that transmitted the signals to cable operators earned little from the large subscriber base.”
In 2014, Deloitte predicts that the digital TV distribution space – both digital cable and Direct-to-Home (DTH) would find ample room for growth given the catalysing effect of digitisation and the headroom for growth provided by non-TV households in the country.
The report prepared for the ASSOCHAM annual M&E meet says about 12 million set-top boxes have been seeded and 80 per cent consumer application forms have been received as of December 2013. The Telecom Regulatory Authority of India (TRAI) claims 100 per cent digitisation in DAS phase II.
Digitisation has failed to show increase in ARPUs: Deloitte | Indian Television Dot Com
