MTNL has partnered with Akash Optifibre for it’s IPTV service (A-Tel) and video phone calling service V Spyk). (source)
The service will enable MTNL users to get services such as Video on Demand, Broadband and TV channels using MTNL’s fixed line infrastructure (the usage of which is declining).
The deal is in the form of revenue sharing between the two sides where Aksh Opticfibre will keep 75 per cent of the revenue while the balance will go to MTNL. Akash Optifibres will also manage content for the service [source]
A-Tel is priced at Rs. 1,000 and the combo deal is available at Rs. 1,460 (includes A-Tel setup box and one year free subscription).
As far as Indian IPTV Market is concerned, Gartner expects IPTV subscribers to cross 75K user base by 2011, has presented a gloomy picture citing following reasons for a low uptake:
- Low broadband penetration in India.
- Pricing : Under the pricing regulations imposed on the pay-TV industry, IPTV will effectively be priced at the same level as digital cable and DTH, resulting in ARPUs in the range of Rs300 to Rs500, as opposed to analog cable users paying Rs150 to Rs300. IPTV therefore will not be able to differentiate itself from digital cable or DTH players in terms of price.
- The existing pay TV platforms are tightening their grip on the market and will effectively block IPTV operators from being able to capture its target group of wealthy households.
Other companies that are entering Indian IPTV Market are: Huawei, Airtel, Reliance + Microsoft
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