New Delhi: The Government has claimed that preliminary data shows that central and state governments have gained significantly because of digitization of cable television, as transparency in the subscriber base through digitization has led to increase in tax collections.
While stating this, the Economic Survey for 2015-16 did not give any figures specifically relating to increase in revenues because of digitization. But it said digitization achieved by December-end 2016 would usher a new era in broadcasting, as it would enhance the viewing experience of the users and upgrade the service, the survey said.
The survey tabled by Finance Minister Arun Jaitley who also holds the Information and Broadcasting Ministry portfolio, said in order to achieve universal digitalization by 2017, the government is implementing the Broadcasting Infrastructure Network Development Scheme for modernization and upgradation of Prasar Bharati.
He said India has been experiencing higher volume of content consumption due to increasing per capita consumption, media penetration and use of 3G devices.
It was noted that India is the world’s second largest TV market after China with 168 million (16.8 crore) TV households, implying a TV penetration of 61 per cent.
There are about 847 satellite television channels, 243 FM radio channels and 190 community radio stations operating in India.
India’s broadcasting distribution network comprises 6,000 multi system operators (MSO) and seven direct to home (DTH) operators.
At the outset, the survey said the Indian media and entertainment industry has recorded unprecedented growth over the last two decades, making it one of the fastest growing industries in India.
According to a report by FICCI-KPMG, the Indian media and entertainment industry grew by 11.7 per cent to Rs 1026 billion(Rs 1,02,600 crore) in 2014 from Rs 918 billion (Rs 91,800 crore) in 2013 and it is projected to grow at a CAGR of 13.9 per cent to reach Rs 1964 billion (1,96,400 crore) by 2019.
DTH in India is also growing at a rate of about one million (10 lakh) subscribers per year. HITS (headend in the sky) technology will play a key role in achieving the goal of 100 per cent digital distribution in India. At present two HITS operators have been permitted by the Government to operate their set up.
