kesav 127 Report post Posted November 13, 2009 Cabinet clears new HITS policy. * 74% foreign investments allowed * can serve as good competition for DTH & IPTV * Rapid digitalisation of cable TV expected NEW DELHI: In a major relief to viewers -- dependent on the vagaries of their local cable operator -- the Union Cabinet on Thursday gave its approval for a digital delivery platform to distribute multiple channels via satellite. While content will still be available through a cable operator -- unlike direct to home (DTH) -- the quality of service and choice of channels are likely to be better. I&B minister Ambika Soni said the policy will provide an enabling regulatory environment for digitisation. The ministry hopes that through this route, costs for digitisation will come down. The system has not been made mandatory and according to ministry officials, applications seeking HITS licence have already been received. The nod for the policy -- that has been pending with the ministry for some time -- was not without obstacles. According to sources, at least two senior Cabinet ministers including one who has interests in the TV business, resisted the policy. HITS technology enables the broadcast of numerous TV channels from a single satellite system after aggregating them on ground from different satellites. The aggregated signals are uplinked to a single satellite for further distribution to cable operators directly or through multi-system operators. HITS will allow better access to rural areas and is likely to have a major impact on the way television audience is measured. While it will allow transparency in subscription base for the government, cable operators will be able to install a small device costing about Rs 2-3 lakh that can download these signals and distribute digital signals to subscribers through the existing cable network. This is likely to bring down the cost of set-top boxes besides cutting down on capital investment and operational costs. The total direct and indirect foreign investment, including FDI, would be up to 74%, Soni said, adding prior approval of FIPB would be required if FDI crossed 49%. The current FDI limit for DTH service is 49%. Another recommendation by TRAI that has been accepted by the Cabinet is the restriction on cross-media holding of 20% of the total paid-up equity for various segments of broadcasting services. Any person or entity holding more than 20% equity in a HITS licence shall not hold more than 20% equity in any other broadcasting company and/or DTH and vice versa. "These restrictions have been provided to avoid vertical integration and to promote competition," the minister said, adding that HITS services would be allowed in both `C-Band' and `Ku-Band'. There would be no restriction on number of permissions and all those found eligible and fulfilling terms and conditions would be able to apply for licence. In an effort to incentivise the policy, the ministry has waived off carriage fee for HITS operators. The operators will only have to pay Rs 10 crore as entry fee along with spectrum fee. source :: http://timesofindia.indiatimes.com/india/Cabinet-clears-digital-delivery-for-cable-TV/articleshow/5224003.cms Share this post Link to post Share on other sites
chintan1 6 Report post Posted November 13, 2009 And thats why the Stock WWIL is top traded in NSE with 6% gains ... Share this post Link to post Share on other sites
