Connect with us

Cable TV

COFI makes a strong pitch for uniform rollout of CAS

Published

on

NEW DELHI: On the eve of a meeting of the information and broadcasting ministry and the multi-system operators (MSOs) on conditional access system’s (CAS) implementation in the metros, the Cable Operators’ Federation of India (COFI) and others have made a strong pitch for a uniform rollout and having a policy to control the pricing of the pay channels.
 
 
In a memorandum to the ministry, COFI has said that CAS is necessary to ‘regulate and control distribution of pay channels’ in the country.

Pointing out that Pakistan recently had implemented a regulatory framework to control the distribution of pay channels COFI has said the issues tackled are exactly the same as faced in India and is meant to achieve the same
aim — consumer interest.

Though Pakistani legislation and way of functioning can be questioned and debated in a democracy like India, however, they make interesting reading.

Advertisement

The regulations drafted by the Pakistan Electronic Media Regulatory Authority (PEMRA), according to COFI, are as follows:

 
 Instead of controlling cable operators’ rates, it has controlled the rates of pay channels that form the very basis of subscription rates for customers.

 
 The rates have been kept less (Pakistani Re. 1 per channel) for foreign broadcasters than the local ones, since foreign channels are distributed in dozens of countries and collect revenue from all of them, while their expense for content and running of channel remains constant.

Advertisement

 
 Rates for local Pakistani pay channels have been kept at Rs. 2 per month per subscriber to give a boost to the local channels.

 
The above are only the maximum ceilings on channel price to keep them uniform. However, distributors have been permitted to offer discounts on this price to make their packages attractive.

 
Sports channels have been permitted to collect Rs. 2 per subscriber per month, considering their high cost of production and acquisition.

Advertisement

 
Rate for channels have been worked out based on the premise that generally it requires Rs. 250 million per year to run a satellite channel.

 
 Forced bundling on the part of broadcasters/channel distributors is not allowed. Cable operators, however, have been permitted to market bundled channels.

  While working out the subscription, additional expenses incurred by cable operators in the form of taxes, local levies, pole charges and also inflation at the rate of five per cent was taken into account.

Advertisement

   It has been made mandatory for a cable operator to adhere to the technical standards and establish “Customer Service Centres” to provide good quality signal and service to the subscribers.

 
 Protection has been given to cable operators, considering the large employment created by them, while arriving at channel pricing so that their interest is safeguarded in the wake of growing competition from new technologies like DTH and MMDS.

  The rates have been kept low so that their overall effect will be an increase in number of subscribers and revenues generated remain in the plus side of their existing collections.

Advertisement

 
 Income from advertisement has been taken into account while working out the channel price.

 
It was assumed that if prices were brought down to an acceptable level, the operators would be left with no reason to resort to piracy and hide subscriber count.

  PEMRA refused to accept findings of AC Nielsen and Ernst & Young’s report that showed cable TV growth likely to be 35 per cent in 2003 and operators’ gross profit to be 38 per cent on the premise that the report did not take into account various factors that reduced the profitability of the cable operators. A subscription of Rs. 150 per month was considered very low and unviable. It also criticised this survey report because it did not take into account functioning of hundreds of small cable operators in the non-MSO areas and rural areas.

Advertisement

 
  It was also considered that internationally the recovery of channel subscription is made from not more than 35 per cent of the subscribers.

 
 Satellite channel owners will invest a percentage of their revenue within Pakistan on research and development of electronic media and other broadcast related activities.

 
 Foreign channels should carry Pakistani content also.

Advertisement

 
 Subscription will be made to the channels on a monthly basis.

 
 Tariff determination will be reviewed after a period of 18 months.

 
 All channels must be licensed by PEMRA to be able to distribute within Pakistan.

Advertisement

 
 DTH service by satellite channel distributors is not permitted. A separate license is required for DTH service.

 In a debatable posturing, COFI has submitted to India’s I&B ministry, “We feel similar regulatory measures are also required in our country where we should tackle the problem at its root cause by controlling the pricing of pay channels.”

Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Cable TV

Hathway Cable appoints Gurjeev Singh Kapoor as CEO

Leadership change comes as cable TV faces shrinking subscriber base and modest earnings pressure

Published

on

MUMBAI: Hathway Cable and Datacom has tapped industry veteran Gurjeev Singh Kapoor as chief executive officer, marking a leadership pivot at a time when India’s cable television business is under mounting strain.

Kapoor will take over from Tavinderjit Singh Panesar, who is set to retire in August after a long innings with the company. Panesar, chief executive since 2023, has held multiple leadership roles at Hathway, including his latest stint beginning in 2022.

Kapoor brings more than three decades of experience in media and entertainment. He most recently led distribution at The Walt Disney Company’s Star India business, now part of JioStar. His career spans television distribution and affiliate partnerships, with stints at Sony Pictures Networks India, Discovery Communications and Zee Entertainment.

Advertisement

Panesar, with over three decades in the industry, has worked across strategic planning, distribution and business development in media, broadcasting and manufacturing. His past associations include ESPN Star Sports, Star India, Apollo Tyres and JK Industries.

The transition lands as the cable sector grapples with structural disruption. Traditional operators are losing ground to streaming platforms, while telecom and broadband players tighten the squeeze with bundled offerings.

An EY report estimates India’s pay-TV base could shrink by a further 30 to 40 million households by 2030, taking the total down to 71 to 81 million. The slide follows a loss of nearly 40 million homes between 2018 and 2024, a contraction that has already wiped out more than 37,000 jobs in the local cable operator ecosystem.

Advertisement

Hathway’s numbers reflect the strain. The company reported a consolidated net profit of Rs 93 crore for FY25, down from Rs 99 crore a year earlier. Revenue inched up to Rs 2,040 crore from Rs 1,981 crore. As of December 2025, it had about 4.7 million cable TV subscribers and roughly 1.02 million broadband users.

Kapoor steps in with a familiar brief but a shrinking playbook. In a market where viewers are cutting cords faster than companies can reinvent them, the new chief executive inherits a business fighting to stay plugged in.

Advertisement
Continue Reading

Advertisement News18
Advertisement
Advertisement
Advertisement
Advertisement Whtasapp
Advertisement Year Enders

Indian Television Dot Com Pvt Ltd

Signup for news and special offers!

Copyright © 2026 Indian Television Dot Com PVT LTD

This will close in 10 seconds