Noida Software Technology Park Ltd (NSTPL), a Jain TV group company, along with Motorola, Intelsat and KIT Digital, has announced the launch of Direct To Network (DTN) cable service – Jain HITS. The group plans to mobilise investment of over Rs 1,500 crore over a period of five years for this Headend In The Sky (HITS) platform. Jain HITS service will be available pan India to cable operators and MSOs by November 2012.
In the first phase, the company is investing Rs 250 crore for the initial rollout of the service.
While Motorola is the end-to-end technology partner, KIT Digital is the solutions architect and managed services partner. Intelsat is the satellite provider for Jain HITS service.
Speaking to exchange4media, Ankur Jain, Managing Director, Jain HITS, said, “The major problem that LCOs are facing is of revenue and shortage of set top boxes (STBs). In order to make a robust connection with the LCOs and MSOs in the initial stage, we are sharing our carriage fees with the LCOs. The percentage of carriage fees to be shared with the LCOs will depend on their size and will start from 10 per cent going up to 50 per cent.”
When asked why people would opt for Jain HITS when there are strong DTH players in the market and with the digital switchover a little over two months away, Ankur Jain stressed on the cost effectiveness of the service. “We are providing 500 channels as well as broadband service, which the DTH players are not providing. We are also working on a post paid basis that no DTH players are offering,” he added.
In a bid to preempt any shortage in STBs, Jain HITS has placed orders for 30 million set top boxes. The initial subscription fee has been kept at Rs 950, while the monthly charges for the service will vary from Rs 100 to Rs 700 depending on the package that a consumer chooses.
In order to create awareness and promote the new service, Jain TV is depending on the database of 60,000 local cable operators to reach out to potential customers. At present, there are no plans to use the print or television medium for promotions.