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Sambhar Mafia - Cooked To Kill!

Sunday, February 19, 2006

Turning Indian Broadband Into A Family Business

As part of its red herring prospectus, SUN TV has mentioned that it has plans to enter the mobile telephone and broadband space. Long before Dayanidhi Maran took over as the IT & Telecom Minister, SUN TV had grand plans to foray into cable broadband as it was already operating in the Cable TV distribution space through Sumangali Cable Vision (SCV).

Sun TV is open to entering the mobile telephone and broadband space. The company, in its offer document submitted to the Securities Exchange Board of India (SEBI), disclosed that, "as part of our growth strategy, we may broaden our media presence through other platforms, including broadband, mobile and DTH''.

I hope somebody raises an issue about the potential conflict of interest (Kalanidhi Maran runs SUN TV and his younger brother Dayanidhi Maran, by virtue of his ministerial post, has the right to interfere in BSNL decisions). Don’t be surprised if BSNL increases broadband prices or decides to provide below par service in order or make a SUN TV Broadband offer look more attractive. Further, SUN TV might also get access to sensitive information like cost structures, subscriber information through its networks in BSNL.

Update: SUN TV denies report on mobile service.

3 Comments:

  • >Update: SUN TV denies report on mobile service

    In the same statement, Sun TV has also denied any plans of venturing into broadband.

    By Blogger eV, at 10:27 PM  

  • nice thoughts...i thought in that angle..i mean that sun tv would get all the statistics from bsnl

    By Blogger Arun Prasath, at 1:48 PM  

  • @EV,
    I did see it. I think the original PTI report is based on the prospectus...which is the real document. The clarification is from SUN TV and I somehow feel that SUN TV is trying to cover up as they would have realized the trouble they would have got themself into.

    @Arun Prasath,
    Thanks for dropping by.

    By Blogger Kaps, at 2:36 PM  

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