CTH plans Bt10bn boost for network
To deal with the intensifying competition in the satellite television business, Cable Thai Holding (CTH) is investing Bt10 billion to enhance its fibre-optic infrastructure network across the country - a project that should be completed in three years.
About 350 cable TV operators joined together to form CTH to build public awareness and raise funds for importing foreign content on a cost-sharing basis as well as providing selected packages to viewers.
The funds will come from CTH members and new investors like Wichai Thongtang, who has become a key shareholder at CTH, executive director Wichit Aurareevorakul said.
Wichai, who is known as one of the country’s take-over kings, is chairman of Prasit Patana Plc, which operates Phya Thai hospitals.
Wichit explained that this advanced fibre-optic cable network would allow cable TV operators to offer a wide range of services through cable lines, including providing Internet services such as Internet Protocol television (IPTV) on top of improved-definition TV programmes.
The company is also focusing on increasing the number of channels on offer from 32 to 60. The new channels will have imported content as well as locally produced programmes.
“We hope these jointly and self-produced programme can attract advertisers,” Wichit added.
At present, CTH members earn 90 per cent of their revenue from monthly subscription fees, though they believe that the new infrastructure would bring them new opportunities.
CTH’s target for this year is to see 40 per cent of its total earnings come from monthly subscription fees, 30 per cent from advertising, 20 per cent from Internet and IPTV and the rest from home shopping.
Additionally, the company plans to form 77 provincial groups of individual cable TV operators to cope with rising competition among satellite TV operators in the Kingdom that operate with leading production houses, namely GMM Grammy, RS, Work Point Entertainment, Nation Broadcasting Corporation and True Visions.
