Chennai: The delay in getting Digital Addressable System (DAS) Licence from centre is putting Tamil Nadu Arasu Cable TV Corporation Ltd (TACTV) under pressure as the LCOs started dumping the state owned MSO.
According to reports, nearly 15,000 cable operators have begun signing up with the Tamizhaga Cable TV Communications Pvt Ltd (TCCL), a multi-system operator (MSO), run by cable TV operators.
On Tuesday, at the annual general body meeting of the Tamizhaga Cable TV Operators Association chaired by its founder P. Sakilan, operators from various parts of the State signed up with TCCL.
The main reason seems to be the uncertain future of Arasu Cable, as the tenure of the ruling state government, which initiated the state owned MSO is coming to an end in couple of months and continuing delay in Arasu Cable getting the Digital Addressable System (DAS) licence.
“The government had said the last-mile operators will be protected and taken care of, but even in case of a death, no compensation is given to families of cable operators,” said G. Dhamodaran, secretary, TCOA.
“The government promised quality service when Arasu Cable was launched. But, nearly 42 lakh subscribers have switched over to DTH. Why would they even though it is expensive than Arasu Cable,” asked Dhamodharan.
The DAS Licence application from Arasu Cable TV is long pending undecided before I&B ministry due to the recommendation of TRAI that is against the entry of state government in to Cable Distribution and Broadcasting Business.
The success and failure of Arasu Cable is likely to have a huge impact on future of Cable Distribution business as many state governments like Karnataka and Puducherry are looking to enter the business.