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Regulation and Policy Challenges Linger, but Digital India and Digitization of TV Services Boost the Growth of the OFC Market in India
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In India, the trends of increasing smartphone users, OTT video adoption and increased data usage has resulted in telecom operators to improve networks to provide uninterrupted quality of service. Digital India goals and projects like Bharat Net have begun to consider technologies such as optic fibre networks and 4G to provide proper networks to match with the increase in demand. Optic fiber networks though have been laid out by major telecom operators, a number of operational and regulatory challenges are interrupting the laying and use of optic networks for providing services. With the digitization of cable TV, cable multiple system operators (MSOs) have invested in utilizing fiber for providing video and Internet services.Though their balance sheet have been tested due to high infrastructure investments, the value added services and broadband services have provided additional revenue generating opportunities. It is expected in 2020 that around 12 percent of the revenue for the OFC market will come from cable MSOs. With a number of challenges like Right of Way (RoW) and lower Return on Investment (RoI), proper stakeholder relationship and regulations will be the core factors that will improve the situation of cable MSOs. This study analyses the current state of optic network roll-out in India, the demand for OFC networks, challenges and opportunities for cable MSOs. The study also provides an outlook both in the demand and the supply side.
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