Dec 15, 2008

Business - Sun Direct plans to pump in Rs 15 billion in FY'10

MUMBAI: Kalanithi Maran-promoted DTH service provider Sun Direct plans to invest Rs 15 billion in the next fiscal as it targets a subscriber base of six million.

Sun Direct, where 20 per cent stake is held by Malaysia-based Astro, expects to garner three million subscribers by the end of this fiscal. The company launched its service in Mumbai and West Bengal this week as part of its national rollout plan, after mobilising close to two million direct-to-home subscribers from the four southern states of Tamil Nadu, Andhra Pradesh, Karnataka and Kerala.

"We plan to invest Rs 15 billion in FY'10," Sun Direct COO Tony D'Silva tells
Sun Direct expects to break even in six years. The DTH service provider's current ARPUs are at Rs 85-90, the lowest among all the DTH operators.

"Our plan is to have high volumes. This will help us in reaching a break even stage as our costs are not as high as the others," says D'Silva.

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