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HomeNewsCable NewsGTPL Hathway’s combo plan (cable TV & broadband services) gets good traction
Thursday, 20 February 2020 14:05

GTPL Hathway’s combo plan (cable TV & broadband services) gets good traction

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As per GTPL Hathway, the leading cable TV and broadband service provider, there are 220,000 subscribers who are using a combo of cable TV and broadband services offered by it.

GTPL Hathway head cable TV business and chief strategy officer Piyush Pankaj commented: “We have identified around 220k subscribers who are using both our services and we are giving them as a special service, special assistance and everything is going on. But right now, the two businesses are distinct.” 

GTPL wants to convert all its cable TV households into FTTX households. In the previous fiscal, the company had relaunched its GTPL Giga HD service, a dual service package that combines cable and broadband services under a single package in the price range of Rs. 499 to Rs. 799.

GTPL Hathway MD Anirudhsinh Jadeja added that the company and Reliance Jio are exploiting synergies in network infrastructure. Reliance Industries has acquired a majority stake in Hathway Cable and Datacom, which owns a 37.5% stake in GTPL Hathway.

He said: “So, it is our privilege now Jio is also our partner. There is no competition in the market and wherever we are in common, we are complementing each other. And after Jio partnership, there is a lot of synergies happening in network infrastructures also, where our business is becoming stable because of mutual support.”

Pankaj noted that the total Capex for Q3 FY20 and 9M FY20 stands at Rs. 36 crore and Rs. 122 crore respectively. In Q3, the company spent Rs. 13 crore on broadband and Rs. 23 crore into the cable TV business. During the nine-month period, the company’s Capex in broadband is Rs. 43 crore and Rs. 79 crore on cable TV. The company plans to spend Rs. 160 – 165 crore on Capex in FY20. The company is left with Rs. 40 crore of Capex for Q4.

Speaking on the impact of NTO 2.0, GTPL Hathway chairman and non-executive director Rajan Gupta said that the NTO 2.0 is an extension of NTO 1.0. He further stated that the Telecom Regulatory Authority of India (TRAI) has made minor changes to the NTO. He expects the business model to remain stable.

He said: “There is NCF for Rs. 160 in the new NTO and there is NCF Rs. 130 in the earlier NTO plus we could charge additional Rs. 20 for every additional 25 channels, so broadly speaking, from a short-term perspective, they are more or less similar kind of thing. So, NCF has a big portion of earning. That is something which is more or less protected while one can debate on what kind of future impact it will have after 3 years, after 5 years, but from a short-term perspective that is protected.”

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