Multi System Operator DEN expects to install 2-2.5 million set-top boxes (STBs) by the end of the first phase of digitisation. The company said, due to growing demand, it has started installing STBs in cities to be covered under phase II.
“We are focusing on digitising our subscribers across the four metros, and are not aggressively looking at getting new subscribers at this stage. We anticipate that as the deadline gets closer, several smaller players may not be ready for digitisation and we could partner with them to get new subscribers,” said S.N Sharma, CEO, DEN Networks.
During the second phase of digitisation, which will cover 39 cities, the company expects to install 3.5-4 million STBs.
Asked if the cable companies and DTH (direct-to-home) could wage a price war, M.G Azhar. COO, DEN Networks, said “Our packages are nearly 10-15 per cent cheaper than DTH. For instance, we have some English and sports content in the base pack.” The company is also continuing with the promotional Rs 799 plus taxes offer for its STBs in Kolkata, Mumbai, Delhi and Chennai.
DEN said while most of its commercial agreements with broadcasters had been inked, it is in the process of signing pacts with local cable operators. “The main concern of the local cable operators is how much revenue share they will get. As long as they take the box and deploy it, we will reach some kind of agreement,” said Sharma.
The company has also launched its HD boxes. Value-added services being offered as of now are games, audio, blogging services and classifieds that give updates on local restaurants and other information.
“Once we move from analogue to digital, we would launch high-speed broadband packages and other value-added services in the next few months,” Sharma said. The company has already started its pilot project to launch high speed data services.