Corpus Media Labs, a Hyderabad-based systems integrator offering digital TV and IP (Internet protocol) TV solutions around its ‘Tornado’ software, is all set to launch its set-top-box (STB) products in the domestic market this month. The company, which is gearing up to cash in on the cable network digitisation drive being undertaken across the country, is targeting to gain a 20 per cent market share in India by selling 20 million STBs by the end of 2014, according to Sachin Tummala, chief executive officer of Corpus Media Labs..
Corpus, along with its consortium partners — hardware manufacturers from China and Korea, and multi-system operators (MSOs) — is presently beta-testing its STB products (low-end, standard and high-end) with MultiChoice, a satellite television service in South Africa, and with Manthan Broadband Services in Kolkata.
The Cable Television Networks (Regulation) Amendment Bill 2011, passed by the Parliament, mandates that all cable TV operators will have to transmit TV signals in an encrypted format through a digital addressable system. Industry analysts forecast that the process of conversion from analog to digital in India has a business potential of Rs 40,000 crore.
Of the 140 million households in India, close to 100 million are yet to be digitised of which 70 per cent will be from cable networks, he said. “With the cable operators, courtesy the Supreme Court’s deadline to complete the digitisation process by the end of 2014, poised to give direct-to-home (DTH) service companies a run for their money, the latter are now going back to their drawing boards and labs to come out with low-cost STBs. This is a double opportunity that we are planning to go after in the domestic market,” Tummala told Business Standard.
The company had sold its financial division ‘Lab49.com’ to Morgan Stanley in 2009 for $25 million in cash, a major portion of which was infused into developing its STB products.
Stating that though India was not yet ready for IPTV, Tummala said the company was trying to develop some prototypes and sell those to communities through cable operators.
More From This Section
Under this partnership, the cable operator will provide the video content, while Corpus will provide the infrastructure to convert the content into an IP signal.
“Our Hospitality IPTV solution has already gone live with Accor’s Bangalore property, while we are in discussion to offer our Faith IPTV to the 250,000 Brahmakumari disciples and stream live and recorded videos on spirituality. Talks are also on with Lifestyle to provide digital signages at their stores across the country,” he said.
On the back of its India strategies, Corpus is aiming at doubling its revenues to Rs 360 crore this year. “We are looking at becoming a $100-million company in the next three to four years,” he added.