The government today approved the policy for Headend-in-the-Sky (HITS) operators, a technology that will provide digitised cable content to viewers across the country. The guidelines are not binding on the cable operators or the subscribers and they can continue with the existing analogue system.
“The cable operators have the liberty to switch over to HITS provider network if so desired. Thus, it has a basic difference from the areas notified for the Conditional Access System (CAS) which is mandatory,” Information and Broadcasting Minister Ambika Soni said after a meeting of the Union Cabinet.
HITS will provide signals through satellite to many multi-system operators (MSO) or cable operators who can further send the signals to customers using their network. Unlike MSO, which transmits the bundle of channels to the cable operators using a cable, HITS operators will do it through satellite, speeding up the process of digitalisation of cable services in non-CAS areas of the country.
“HITS would not only help increase the penetration of cable market further into rural areas where it has been absent because of unavailability but will also help in further reduction of prices of set-top boxes and will also lead to further consolidation of the cable market,” Soni said.
She added HITS would help a subscriber with a wide choice of digital channels, better picture quality and value-added services at affordable price. It would provide greater channel capacity from the present limited capacity of channels.
HITS operators can uplink from Indian soil only and will have to install SMS and encryption system. They are not permitted to provide signals directly to the subscribes. However, if a HITS operator is also an MSO/cable operator, he can do so through his distribution network.
Existing permission holders of HITS will have to comply and migrate to the new policy regime within three months, failing which their permission will be cancelled.
The total direct and indirect foreign investment would be up to 74 per cent, Soni said, adding prior approval of the Foreign Investment Promotion Board will be required if the foreign direct investment (FDI) crossed 49 per cent. The current FDI limit for the direct-to-home service is 49 per cent.