GOVERNMENT OF INDIA

MINISTRY OF INFORMATION AND BROADCASTING 

LOK SABHA

UNSTARRED QUESTION NO: 2284

ANSWERED ON: 22.08.2013

DIGITISATION OF CABLE TELEVISION

(a) whether the Government is aware of the allegations that digitisation of cable television has been made mandatory for giving priority to the interests of broadcasters; 

(b) if so, the reaction of the Government in this regard; 

(c) whether several middlemen in the industry have been cut-off due to the above said step of the Government; 

(d) if so the details thereof; 

(e) whether revenue is likely to be increased due to above-said provision; and 

(f) if so, the estimated increase in revenue? 

ANSWER

(a) to (d): The Ministry is implementing digitization in the cable TV sector based on the recommendations of the Telecom Regulatory Authority of India (TRAI) with a view to remove the inherent drawbacks of existing analogue Cable TV system. Digitization is aimed at benefitting all stakeholders of the value chain in the Cable TV Sector i.e. Consumers, Local Cable Operators (LCO), Multi System Operators (MSOs), and Broadcasters. Digitization would bring a host of benefits for consumers like improved picture and sound quality, multiple choices of channels, internet, movies and games on demand etc. For broadcasters it would lead to enhance revenue generation through transparency in the subscriber base. The Cable Operators would get to provide advanced high quality services to their consumers and face the competition successfully by the DTH operators to stay in business. 

(e)  (f) State Governments and Government of India would stand to gain significantly as transparency in the subscriber base through digitization would lead to multi fold increase in the tax collection. The data regarding collection of revenue through taxes is not maintained by the Ministry.