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Zee TV, Prasar Bharti could emerge trumps in DTH race

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Zee TV, Prasar Bharti could emerge trumps in DTH race

In addition, the world's largest DTH service provider - the US based Direct TV - a venture of Hughes Electronics Corporation will also look at India after evaluating the policy. Another global giant British Telecom has also been enthused by the announcement. The industry analysts feel that the 49 per cent foreign equity cap may bar entry of foreign companies like Star TV and Sony India into this sector. As the overseas holdings in the promoting companies have also been included within this cap, such companies can only remain minority partners in the ventures.

Domestic television major, Zee Telefilms appears to be the favourite candidate, other than Prasar Bharti, for setting up a DTH venture. The company, however, chose to remain non-committal at this stage. British Telecom (BT) Broadcasting, a division of BT, said that it could look into becoming a DTH infrastructure provider.

Other players also accorded a cautious welcome to the policy that allows an unlimited number of players to pay an entry fee of Rs 10 crore and 10 per cent revenue share for winning a licence.

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