Cable TV

US cable consumers look for control in convergence era

NEW YORK: In India, the Communications Convergence Bill is still to be introduced in Parliament. In the US, however, the cable industry is readying itself for content and distribution convergence.

A survey conducted by Deloitte & Touche also shows that while customers want more control over programming options, opinion is split down the line over relaxation of Federal Communications Commission (FCC) ownership restrictions.

Cable industry executives and stakeholders expect a dramatic increase in the number of partnerships and mergers between multiple system operators (MSOs) and content providers, as well as MSOs and telephony companies over the next three years. The survey was conducted by the Tri-State Technology, Media, and Telecommunications (TMT) practice at Deloitte & Touche LLP, one of the US' leading professional services firms.

The survey also revealed that consumer-defined customised bundles of channels will find greater acceptance by cable customers as opposed to other pricing options, including on-demand channel purchases, specific programme purchases, and operator-defined bundles.

The survey was conducted in February along with a panel discussion hosted by the firm and the Columbia School of Business titled, "The Future of Multichannel Television." Panel participants included CTO Scientific-Atlanta Bob McIntyre. The US cable television industry has reached a crossroad stage. It is being driven by two forces which are convergence of distribution and content and consumer choice made possible by broadband and digital technology. The future course of the industry will be determined by which of these two forces dominates the report notes.

In addition to industry convergence, the survey also gauged the effect of issues such as pending FCC media ownership rules, the balance of power between content providers and distributors, and the potential importance of interactive TV programming and content on the cable industry over the next three years.

Key findings:

-- 46 per cent of respondents anticipate convergence of some form would be extremely or very likely to occur between MSOs and content providers, as compared to 35 per cent for MSOs and telephony operators, 19 per cent among content providers and software creators and five per cent between content providers and telephony.

-- As mentioned earlier consumers are more interested in pricing models that put control of purchasing and selecting channels and services in their hands. 73 per cent of respondents believe that consumers would be extremely, or very interested in consumer-controlled customisable bundles of channels, as compared to 60 per cent interested in on-demand channel purchases, 59 per cent for specific-programme purchases, and 47 per cent for operator-defined bundles.

-- There is no clarity regarding the extent to which the FCC is expected to relax ownership restrictions is still up for debate. 40 per cent of those surveyed believed there would be a major relaxation of restrictions, while 32 per cent expect moderate relaxation, and 28 per cent see little or no restriction relaxation.

-- Respondents disagree on whether the balance of power will shift over the next three years towards content providers (46 per cent) or distributors (41 per cent)

In the event of the FCC lifting certain media ownership restrictions, telecommunications partner for the TMT practice Craig Wigginton said "cable industry companies seeking to grow through acquisition or partnerships, or be acquired themselves, need to be thorough in their valuations, due diligence and overall planning to ensure that transactions produce the shareholder value they expect."

Survey respondents classified themselves as content providers (32 per cent), software providers (six per cent), telecommunications operators (three per cent), network technicians (two per cent), MSOs (two per cent), and "Other" (55 per cent.). Those in the "Other" category included financial analysts, industry analysts, and academics.

Survey Methodology: Interviews were conducted with 129 cable stakeholders, defined as executives, operators, programmers, financial analysts, industry analysts, and academics. Participants were given handheld devices and asked to input their responses to a series of questions that were presented to them as a group on a large screen onstage. Responses were gathered and tabulated using Option Finder, an instant audience response technology.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/12/02/Cable.jpg?itok=jQO-GCh5
Rohtak Cable DAS III extension case dismissed; eight posted for 7 Dec

NEW DELHI: While the case by Rohtak Cable Operators’ Association challenging the deadline set for Phase III of digital addressable systems (DAS) was dismissed, the Delhi High Court today directed that it would hear the other cases on 7 December 2016.

Cable TV DAS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/12/01/cable-wire.jpg?itok=rkADl4vM
MIB's digital deadline dilemma: to relax or not

NEW DELHI: India’s ongoing cable digitalisation, plagued by court cases resulting in roll-out delays, may have just got entangled with the short to medium-term inconveniences caused by demonetisation of high-value currency notes signalling likely further delays. The ministry of  information and...

Cable TV DAS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/12/01/NXT%20Digital.jpg?itok=a8r_rk6_
IMCL: Hinduja Ventures divests minority stake

MUMBAI: MSO company IndusInd Media and Communications Limited (IMCL)’s parent Hinduja Ventured Ltd. (HVL) has sold 0.13 equity stake in the company to a non-Hinduja Group company for Rs. 46.6 million (Rs. 4.66 crore). The buying company bought into the MSO at a price of Rs. 466 per share based on...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/26/Rajan%20Gupta.jpg?itok=oFRRxKbc
Hathway Q2-17 revenue and EBIDTA up; adds 1 lakh broadband subs

BENGALURU: Indian multi system operator (MSO) Hathway Cable and Datacom Limited (Hathway) reported 18.8 per cent growth in Total Income from operations (TIO) and 11.9 percent growth in operating profits (EBIDTA) for the quarter ended 30 September 2016 (Q2-17, current quarter). The company reported...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/25/jagdish-kumar-800x800.jpg?itok=SC_g2FGJ
Jagdish Kumar Pillai quits Hathway; Rajan Gupta appointed as MD

Hathway Cable and Datacom Limited has accepted the resignation of MD and CEO Jagdish Kumar Pillai.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/23/VD%20Wadhwa.jpg?itok=8S_qvm4t
Siti Q2-17 numbers up on higher restated subscription revenues

BENGALURU: The Subhash Chandra led Siti Networks Limited (Siti) formerly known as Siti Cable Network Limited, reported 23.6 percent and 2.9 percent year-over-year (y-o-y) growth in operating revenue and EBIDTA including other income for the quarter ended 30 September 2106 (Q2-17, current quarter...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/21/Atul-saraf-800x800.jpg?itok=SqcEWufE
Cable operators seek exemption in entertainment at par with fuel & medical services

MUMBAI: Although demonetisation of high-demonination currency is largely seen as a boon for a thriving economy marred by a legacy of unaccounted money and corruption, it is a proving to be a bane for the common man. The only basic entertainment that a layman has access to is television which is...

Cable TV Local Cable Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/18/DAS3-800x800.jpg?itok=2ygLmrP2
DAS Phase IV pace slack; MIB to meet Indian STB makers

A miniscule percentage of set-top boxes have been seeded in DAS Phase IV after August 2016 as compared to those seeded earlier in four phases when six weeks are left for the deadline for switching off analogue signals is reached.

Cable TV DAS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/18/TV-remote.jpg?itok=ZCq_f6Lv
Cable TV distribution to get fillip from demonetisation

MUMBAI: The cable television distribution business, a section of which has been infamous for dealings in unaccounted money, will have to upgrade addressability in the backdrop of the decision to demonetise higher value currency. It is estimated that the analog subscriber base will come down by 37%...

Cable TV DAS

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories