Bharti Airtel set to launch its IPTV service

Durgesh Gupta - Televisionpoint.com | Mumbai
Bharti Airtel, world's number four telecom player, is all set to launch its Internet Protocol Television (IPTV) and a satellite channel to further boost its brand image while simultaneously focusing on rural market penetration.

While the two TV channels, both to be named after Airtel, are aimed at taking the entertainment route to strengthen the brand's recall value, the rural market expansion is being strategised to make Airtel the number one player in the telecom sector.

"Of the six lakh villages in the country we already have a 3.65 lakh covered by Airtel and the aim is to extend the coverage to 90 per cent villages," said Manoj Kohli, president and CEO, Bharti Airtel.

The rural market expansion plans were made easier after the Telecom Regulatory Authority of India (TRAI) dropped its plan to introduce differential entry level charges for rural sector. The telecom companies opposed the move on the ground that it will lead to manipulation. Entry level fees includes costs like activation/registration charges and security deposit.

The cellular phone company's expansion plan in villages piggy rides Indian Farmers Fertiliser Cooperative (IFFCO) for effective consumer connect. With the help of IFFCO, mobile users will be provided with daily updates on agriculture related activities.

The company is so focused on rural market that of the 2.5 lakh new subscribers added recently 52.8 per cent are from villages. Buoyed by the response, the company expects to spread its network across the 75,000 villages of Uttar Pradesh.

Kohli ruled out any further reduction in tariff saying that the subscribers were not complaining with the present rate structure. He, however, added that further cut would be possible only if the government decides to bring down the present taxes from 31 per cent.

"Taxes in telecom sector in India are the highest in the world and we have brought this to the notice of the government," Kohli said.