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COST OF DELIVERING CABLE TV SERVICES

COST OF DELIVERING CABLE TV SERVICES. VIKKI CHOUDHRY National Cable & Telecommunications Association. CATV - Basic Information. Approx. 6,800 head-ends all over the country Today a CATV head-end has 54-76 +Channels CATV Bandwidth: 450-750 MHz Available Free to Air Channels : 38-46

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COST OF DELIVERING CABLE TV SERVICES

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  1. COST OF DELIVERING CABLE TV SERVICES VIKKI CHOUDHRY National Cable & Telecommunications Association

  2. CATV - Basic Information • Approx. 6,800 head-ends all over the country • Today a CATV head-end has 54-76 +Channels • CATV Bandwidth: 450-750 MHz • Available Free to Air Channels : 38-46 • Available Pay TV Channels : 32 • Local Channels (VCR,VCD,Local News etc): 2 • Radius of Operation – 5Kms [Co-Axial] 10+ Kms [OFC] • Homes Passed per Km : 350 Homes (approx) • All India C&S Homes: 38 M (source.NRS) • Percentage of C&S Homes: Metros – 60% Towns- 40% • Average Subscriber Homes /Head-end: *4,000 + Homes • Average CATV Distributors / Head-end: 10 • Annual Rate of Depreciation- 33% [On Capital Investment]

  3. CABLE TV SYSTEM – Head End • Dish Farm • Dish Antennas, LNBC, Dish Platform, TI Shielding and Grounding etc. • IF Distribution Network • Cables and Connectors, IF Amps, Conduits, IF Splitters (Power Dividers) etc. • Signal Reception & Processing Unit • Satellite receivers: Analogue/Digital FTA/Digital Pay IRD • RF Modulators: [One Modulator for Each Channel], Processors • Local Video: VCR/VCD/DVD • A/V, Switcher/Mixers and Text generators • Combiners, Tap Off, Splitters and Power Inserters • Post Amplifier, • Integration Cables, Connectors and Accessories • Test and Infrastructure Equipments • Spectrum Analyzer/ Field Strength Meters, Cable Preparation Tools • UPS, Power Generators and Cable Plant Power Supplies • Aircon, 19” Modular Racks, TV Monitors etc. * Estimated life of Head End Equipment / Capital Expenditure - Max. 6 Yrs

  4. CABLE TV SYSTEM - Distribution • Trunk and Distribution Cables • Drop Cables and Accessories • Mini Bridger, Line Extenders & Home Amplifiers • Amp Accessories-Eq-pads, filters, Attenuators • Tap-offs & Splitters- Outdoor/Indoor • Co-Axial Connectors and adapters • Power Ins., Line Power Supplies, UPS Backup • Messenger wire, Ties, Ground Blocks etc. • Clamps, Poles, Amp Boxes etc. * Estimated life Max. 4 Years [ Due to weather Exposed Installation & Constant Up gradation]

  5. CATV HEADEND Home - Cable Network

  6. Can Customers Afford? • To Pay Monthly Cable TV Subscription of Rs 402 ?

  7. Cutting on Operating Expenditure to accommodate Pay Channels and Taxes means • Will affects QOS [ Quality of Service to Subscribers] • Frequent Network Breakdowns and poor picture quality • No technological up-gradation / value addition in service • Inferior quality Head end & Distribution Equipment used • Customer Dissatisfaction resulting Non –payments • Soon commercial Un-viability of Cable TV Business • Grey market CATV equipment suppliers/ manufacturers will flourish, while manufacturers adhering to BIS prescribed standards will face decline in sales. • obstruct implementation of effective CAS.

  8. If under- declaration to PAY CHANNELS • Affordable Cable TV Subscription Rs. 225 – 250 per month Max. • Offer to give better picture quality and efficient service • Flexibility to run the business with some commercial viability • Scope for up gradation and value service addition for future • Use of standardized equipment for providing better QOS. • Sometimes disruption in pay channel services on issues of subscriber under-declaration , pay channel rates etc.

  9. Effective solution to this is CAS • With CAS basic tier available at affordable rates to the subscribers • More transparency in business with the pay TV broadcasters , Revenue Dept & Govt. • Level playing field for all the players i.e CSP, MSOs & Broadcasters. • Additional revenue from Pay TV service • Business becomes more viable

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