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Date: 21-05-12

ABI: 70% of set-top box units in India are imported, mostly from China

ABI research has revealed from its recent market research that nearly 70% of set-top boxes installed in Indian households are imported from foreign manufacturers, especially from China.

"The cable TV digitization, mandated by the government, will spur set-top box shipment increases in India for the next several years," says Sam Rosen, principal analyst. 19.3 million set-top boxes will be shipped in India during 2012.

The government's cable TV digitization policy now specifies that cable TV digitization will occur in four phases by December 2014, due to this ABI says cable STB deployments will surge from 2012 as larger operators begin their digital STB deployments . The cable digitization process will progress far slower than the government mandate specifies - otherwise, consumers will be forced to abandon cable in favor of satellite as cable operators struggle to procure the set-top boxes, according to ABI.

High definition (HD) STB adoption in India currently accounts for only 11% of overall shipments. "The increasing adoption of HDTV sets and cable TV digitization is expected to bring more HD channels and HD services in India," comments research analyst Khin Sandi Lynn. HD STB adoption in India will accelerate in the coming years.

Vendor share study by ABI: In 2011, Huawei was the top STB vendor in India with 24% market share, followed by Pace with 12% market share. Chang Hong, Cisco, and Skyworth are also selling set-top boxes in India. Domestic STB production is likely to increase in the years to come with some overseas manufacturing set-top box factories in India, as well as Indian companies focused on building low-cost set-top boxes, opines ABI.

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