Tuesday, July 3, 2012

STOCK SCANNER


India: Digitisation positive for cable TV

This is my old post regarding Cable Digitization in Indianmetros...I am again posting this info to have a look at my recos 
The cable networks in the four metros will be digitized by the end of June 2012. Currently, the total TV household subscriber base is 135 million out of which close to 110 million are analog subscribers.
The much-awaited Cable TV Networks Regulation Amendment Bill was finally passed by the Lok Sabha on Tuesday paving the way for the next digital wave in the country.

The move will cheer investors of DTH operators and Multiple System Operators like Den Network and Hathway Cables.
The Bill aims to digitise India's vast cable TV network by the end of 2014.
The cable networks in the four metros will be digitized by the end of June 2012. Currently, the total TV household subscriber base is 135 million out of which close to 110 million are analog subscribers
With this Bill being passed, nearly 80 per cent of the subscribers who are under-declared in the analogue regime will be forced to go digital, translating into higher revenues across the chain.
The move is also expected to benefit broadcasters as it will help derisk their revenue base by increased subscription revenues through advertising revenues. While this move is expected to be a win-win for all stakeholders, it has faced stiff opposition from Local Cable Operators who will be compelled to allign with MSOs.

With digitization, viewers stand to benefit with more number of channels and better quality viewing. But with the capital requirement for digitization estimated at Rs 20,000 crore, it is going to be a cash guzzling task.

SP I RECOMMEND HATHWAY CABLES AT RS.110 FOR A TARGET OF 240 WITH A ONE YEAR PERSPECTIVE AND DEN NETWORK AT RS.54 FOR A TARGET OF RS.250 IN COMING YEARS