Wednesday, April 27, 2011

(Direct to Home) to (Direct-to-Slum) to (Direct-to-Rural)


Direct-to-Home (D2H):

The D2H market has changed ever since its launch in October 2003 (by Dish TV). The number of D2H subscribers has grown to 26.33 Mn by September 2010 i.e. a growth of more than 50% over quarter ending September 2009. D2H is still in the nascent stage of adoption in the urban market. Though the benefits are promising:

It offers superior digital technology (with viewer guide, program information and active channels)

It provides flexibility to choose your channel packages (CAS is a given thing)

Its’ direct, thus avoiding any infrastructure deployment problem

Its’ mobile, people can carry along their antennae while shifting houses

Its’ global as the service providers are present across India (on can switch cities as well)

It’s unperturbed by the cable TV problems (cable wars, blackouts due to electricity or wire cuts, etc)

Source: TRAI Performance Report Sept’09 to Sept’10 (Subscriber figures of Private Players only)

Besides the free DTH service of Doordarshan, there are 6 private DTH licensees, offering their services to the DTH subscribers:

Tata Sky Ltd. (Tata Sky)

Dish TV India Ltd. (Dish TV)

SUN Direct TV (P) Ltd. (Sun Direct)

Bharti Telemedia Ltd (Airtel)

BIG CBS Networks Private Limited (Reliance Big TV)

Bharat Business Channel Ltd (Videocon D2H)

Direct-to-Slum (D2S):

D2H i.e. Direct-to-Home started as an urban phenomenon with high-end set top boxes (STBs) ranging anywhere between INR 4,000 to 5,000. The same has fallen to almost like INR 1,000 (some have also advertised “free STB” campaigns with benefits being accrued over subscription packages). The first gainers of the D2H introduction were the slum-dwellers of the urban India. They have swiftly changed from the Cable TV to D2H. One can find umbrellas of dish antennae across the urban slums in India. If you are lucky you can also find one of the HD antennas as well.

Direct-to-Rural (D2R):

The rural India was not far behind in the adoption of D2H, as they have always been on the look-out for entertainment. The DVD revolution in rural India has already been witnessed by us. Mobile handsets are also making a handsome entry into our rural hinterland. Today, much of the D2H growth maybe attributed to the increased subscription of D2H in areas other than just metro towns in India. As per media reports, approximately 50% of the connections are coming from “cable dry” or “cable dark” areas i.e. the rural India. Fortunately, D2H can counter two mega problems of rural India: Availability & Electricity. Satellite based technology eliminates the need for deployment of infrastructure (like cable TV network). Also, the problem of frequent power-cuts in one-to-many areas can be eliminated with the use of battery operated inverters (which wasn’t true with the cable TV network).

India always looks forward to “alternate options” to make life easier and better. D2H is one such technological initiative that seems to be working so far.

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