Reliance to give Toshiba LCD TVs free with DTH

BTW, why only free stuff with DTh?? Why not with IPTV ?? I don't think reliance DTH will be any better than tata sky.No. of channels they can offer will be quite limited .After all the no. of transponders they can get right now will be much less than what dish and tata sky already have.
 
KingKrool said:
In the land of the real world, where spending 1.7 BILLION USD isn't something you do without thinking. Even over a longish period. Remember, they have to recover the price of those LCDs from the customers... I don't think that is so easy unless they do something like 5 year contracts (which may well be what they do). More likely they'll go with 3 and hope no one jumps.
Too risky for them. When you have to fulfill a massive contract, you generally start with something you already know. Still, who knows what they are up to. LCD prices are crashing everyday, and it may be they have factored that cost in already.
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Nopes i dont think you are in the real world and you dont know how Reliance works. Read out the history of RPL, they didnt even invest any worthwhile amount in the project, took the initial amount from Chevron and IPO, gave chevron a 5% stake and the project is in full swing(again this might sound unconvincing to you but thats the truth).
Do you know how much money Reliance invested initially in the Infocomm buisness.
You have no idea what these guys are capable of, but ofcourse you are right that they wont get into it without thinking.
Whether they give free LCDs or not, thats a separate case, but do read some newspaper and buisness papers before passing judgement on these Giant Companies.
 
I know enough about business my dear sir. There is a difference between a petro refinery and a DTH offering. Also, I do happen to know how the Ambani's got into telecom. They had a hell of a time in the beginning, but what they had going for them was initially they didn't have to pay any license fees. That allowed them to establish themselves, once that happened, the subsequent fines hardly mattered.

The Ambani's have often made their profit by stretching rules... problem is, here there are no rules for them to stretch.

Anyway, it is quite simple - they'll need to recover the cost of each LCD from each customer. It is that simple really. What could be possible is they are simply seeking to put cable operators out of business. They do have the cash reserves to do that. In that case, they can then make their money after having established a monopoly. But I doubt it will be that easy.

Moreover, the issue they'll face is the lack of premium channels. Around the world, that is how cable operators make their money (you should see the charges for HBO!). The only premium channels in India are the 50 million sports channels, and ADAG won't see any money from that (unless they manage to do what many others haven't and get a revenue-sharing deal).
 
lol @ cyberjunkie

btw that 500 rs phone at that time was also smwhere arnd 10k mark..(R-220.samsung is it?)

yeaa babay gimme my l-shee-dee

and caammon guys chill! watch Guru :p
 
I am sure Reliance know what they are doing, they are known for making audacious deals and they are certainly not amateurs. It's a massive business opportunity for Toshiba or any LCD manufacturer and I am sure terms will be negotiated accordingly. Reliance are well known for excellent negotiation skills and squeezing the best possible deals.

Some part of the LCD cost will be recovered from consumers and 10k is not a small amount for the average consumer to invest. Early adopters are already on TataSKY or Dish. Business is not done on cash reserves; debt, credit and many instruments can be used so that's not really a problem.
 
BIG DTH will offer its DTH connection for Rs 10,000-12,000 and the consumer will get a Toshiba LCD TV free along with the DTH hardware
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R-ADAG to storm DTH market in March next- Media-Media / Entertainment -News By Industry-News-The Economic Times

10-12k is hardly "free". The competitors are charging 3-4k, so basically RADAG is charging you 8k for an LCD. They would then be taking a hit of 4k or so.... that is more feasible, especially since their losses will decrease over time.
 
Arent we missing a point here...??

Wat abt viablity for the customer..??10-12k is no small thing,,,,

I mean isnt entertainment and all supposed to get cheap instead of expensive????
 
^^ Ah yes, but you can think of it in another way. Next time you want to buy a TV, you can just get a DTH connection instead.

You would be surprised how often that works, even though it is pathetic.

Long live EMIs and perpetual debt on non-essential items.
 
What LCD at that scale will cost 10K?

I would think that it is possible to knock together a low-resolution (768x) 21 inch display without only one composite video input, for about 8K (200 dollars) to primary, for a 15 million quantity.

Current LCD offerings are not a benchmark for the quality or price of the sets on offer. We'll have to see what the product actually is, before making any comments.

Payments will not have to be on the spot. In deals of this volume, Reliance may not have to front all the money - it can be phased into 3 or 4 payments over a few years.
 
^^ No doubt about that. It is what I have been saying all along - this stuff ain't free. Now that I see a 10-12k installation fee, it all makes sense. Obviously Reliance will pay as they take delivery (I guess they'll actually just commit to 1-2 million and have options on the rest). As for number of inputs, it hardly makes a difference. People in India have just one device (a DVD player) if at all to connect in apart from the cable/stb.

Device quality at 720p is still quite good - after all, 1080p in India is all but useless seeing as how there are no HD channels yet.
 
I doubt the device will even be 720p, maybe just standard DVD res (768x whatever).

Proof of the pudding is in the eating, so let's see what the final offer is!
 
cybertragic said:
This is crazy stuff. According to today's Economic Times, Reliance may be giving away free LCD TVs along with their DTH connection though the size is not mentioned.

"Reliance is in advanced talks with Toshiba to sign an agreement for about 15 million LCD TVs, to be given along with the DTH connection. The proposal deal stands like this: BIG DTH will offer its DTH connection for Rs 10,000-12,000 and the consumer will get a Toshiba LCD TV free along with the DTH hardware. Also, subscription will be free for the first six months or so. "

Source: R-ADAG to storm DTH market in March next- Media-Media / Entertainment -News By Industry-News-The Economic Times

Only Reliance can come up with something seemingly so preposterous. What can the other subscribers offer to counter this? An LCD TV, settopbox and 6 months subscription for Rs. 10,000. Going by current DTH offers thats just Rs. 7000 extra for the LCD.
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How will the LCD be Free when you pay around 12K for a DTH Service which others give for about 2-3K?
 
Corleone said:
How will the LCD be Free when you pay around 12K for a DTH Service which others give for about 2-3K?
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Dish TV (All instruments + Installation + 12 months sucbscription @300) 5000/-
TATA (All instruments + INstallation + 12 months sucbscription @300) 6500/-
 
Guys guys...current LCD monitors are available in market for abt 8-8.k for 19" res...so reliance can easily get a 20/21 incher for the same price via block booking.

Now 8k for LCD + 2K for STB & installation ..... 10k ...its a perfectly viable offer !!!!
 
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