Hinduja Ventures Ltd will invest at least Rs 5,000 crore over the next one-and-a-half years to set up infrastructure for its innovative broadcasting platform 'NXT DIGITAL'.
Hinduja-HITS (Headend-in-the-Sky) Network, under the brand name 'NXT Digital', will serve Multi System Operators (MSOs) as well as Local Cable Operators (LCOs) and aims to tap the transition from analog to digital mode of cable TV services under the government's digitisation drive.
The Hinduja Group firm said it will focus on the phase III and phase IV digitisation markets. The government has set a deadline of December 31, 2015 for phase III and December 31, 2015 for phase IV digitisation.
"We will focus on phase III and phase IV of digitisation markets. We aim to garner 25-30% of market share in the phase III of digitisation. We plan to invest at least Rs 5,000 crore to set up infrastructure to roll out our services and for COPE (Cable Operators Premise Equipment.) Investment will go up depending on the response we get," Hinduja Group India Chairman Ashok P Hinduja told reporters.
Hinduja said the company will also look at tapping synergies between its group companies for financing of COPE and expansion.
Tony D'Silva, MD of Grant Investrade Ltd -- a wholly owned subsidiary of Hinduja Ventures Ltd and leading NXT Digital project, said: "We plan to invest Rs 5,000 crore in the next 1.5 years... till December 2016. We have already made significant investment."
NXT DIGITAL will be based on MPEG-4 standards and will offer 500 channels to its customers.
D'Silva said the company got all approvals from the government on July 7 this year.
Information and Broadcasting Minister Arun Jaitley today launched NXT DIGITAL.
A present, there is only one company offering service on the HITS platform -- Noida Software Technology Park Ltd (NSTPL).
