Bharti Airtel might be contemplating purchasing the rival Direct-to-Home (DTH) operator, Dish TV. Bharti already runs a DTH business under the brand — Airtel Digital TV. The telecom operator is in early-stage talks with Dish TV to buy a majority stake in the company, reports Mint. Nothing’s finalised yet as the discussions are still in the early stage. However, Dish TV’s shares jumped 4.8% in the early trade session on Thursday to Rs 18.40. Bharti Airtel’s DTH business is already growing steadily. Airtel Digital TV had reported a 6% growth in YoY revenues in the September quarter.
Tata Sky Could Get Major Competition Airtel and Dish TV
Dish TV could certainly benefit if Airtel enters the business with a controlling stake. This could give major competition to the number one DTH operator in the country — Tata Sky. Tata Sky has kept its crown of being the DTH company with the largest subscriber market share in India for consecutive quarters, even years. According to the data released by the Telecom Regulatory Authority of India (TRAI), Tata Sky had 33.37% of the market in Q1 FY22 while its rivals Dish TV-D2h and Airtel Digital TV had 23.45% and 25.76% market share, respectively. While over-the-top (OTT) businesses/platforms are growing in India, pay-TV remains the single biggest source of entertainment for millions of households. Not everyone has access to the internet and OTT platforms in a uniform manner. But satellite television services even reach rural India in the same capacity. At the time of writing, Dish TV is still trading at Rs 18.40, which is 4.84% in the green, while Bharti Airtel is trading at Rs 720, which is 0.31% in the red. In other news, Yes Bank, a prominent stakeholder in Dish TV, will be allowed back to participate in the Annual General Meeting (AGM) of the DTH company after the Supreme Court ruling.
