VSNL's DTH plan hinges on unified licence

A top executive of the Tatas-promoted Videsh Sanchar Nigam Ltd (VSNL) said VSNL's plans for direct-to-home (DTH) will wait until the government announced the policy for unified license in telecom.

The executive said the Tatas are hoping that the government will include DTH within the ambit of the unified license, he added.

He said that the Tatas have excess capacity on Intelsat and wants to leverage its strengths in telecommunications as well as Internet services, and its infrastructure of earth stations and satellites, to foray into new areas like DTH and entertainment business.

"We have not finalised anything as yet. These are all part of an overall plan we are only considering. But we have to leverage our strengths to grow our business," he added.

The unified license for the telecommunications sector is not generally expected to include DTH as a service as it comes under the ambit of the information and broadcasting sector. However, the executive said he was hopeful the government will look into the issue.

There have been reports that the Tatas are planning to buy a stake in Space Television, the company floated by Rupert Murdoch's Star group for its DTH television distribution business in India.