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Taking into consideration the fact that HBO is now part of the
bouquet, and that the network has the biggest television event of
the year - the cricket World Cup - on its platform, the increase
is far lower than what many in the cable trade were fearing.
Looking at the current package price of Rs 40, and adding in the
effective current cost of HBO at about Rs 8, the network price works
out to an increase of Rs 7.
Distribution executives that indiantelevision.com spoke to earlier
had said that with HBO on board and the cricket thrown in, Rs 65
looked a likely pricing structure. One that the cable trade could
probably live with. However, one-Delhi-based cable operator had
told indiantelevison.com two days ago that he was expecting the
new package price to be Rs 55 so not everyone in the trade is surprised
by the pricing.
Speaking to indiantelevision.com, SET India CEO Kunal Dasgupta
said the cable industry had been fearing the worst and had reacted
very positively to the new price structure. Dasgupta asserted that
by keeping the effective hike quantum so low he expected the declared
base of the One Alliance to shoot up dramatically in the lead-up
to the World Cup and maintain those levels even after the end of
the tournament.
Timed strategically, the increase comes a few months before Max,
the cricket and movies channel, is poised to air the World Cup.
The network has also promised a fresh programming line up in the
New Year for channels as diverse as AXN and MAX, apart from the
World Cup.
The One Alliance, a joint venture distribution company of Sony Entertainment
Television and Discovery Communications India, floated in March
this year, has in its kitty Sony, Max, AXN, CNBC, Discovery, Animal
Planet and the newly acquired HBO.
Dasgupta still needs a news channel as (with CNBC India headed to
Zee-Turner even more so), as well as a music channel and kids channel
to complete his bouquet. For the second part the two Viacom channels
MTV and Nickelodeon look the most attractive bets currently. However,
Nick is with the Zee-Turner and with over 18 months of the present
contract still left to run, it may eventually turn out that MTV
joins Sony while the kids channel remains where it is.
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