With the introduction of digital TV or Direct-to-Home service in India, satellite television channels have found a new space to expand their presence and cash-in on the potential of rural India. DTH service providers have opened the digital door of satellite television channels for rural households.

As of today there are four players in the field — ASC Enterprises' Dish TV, an Essel Group company promoted by Subash Chandra; the Tata Star Combines' Space TV; NSTPL a Jain Studios group company promoted by Dr. JK Jain and the government subsidiary Prasar Bharati.

At present in India there are over 108 million television equipped households, and per year the numbers are growing by about nine million. Of these, Cable and Satellite penetration is only about 44 million. According to industry estimates the C&S penetration would reach 53 million homes by 2006 and is expected to touch 94 million households by 2010, making India one of the largest cable markets in the world.
Availability of DTH at affordable price with attractive tariff plans offered by service providers is the basic reason for the rapid growth in rural India. Few years’ ago the price of the DTH instrument, Dish and Set-Top-Box was about $340.90, which has come down to $68.18 to $90.90 at present.

Though the demand of DTH service is more in rural areas compared to urban cities, its success will largely depend on the package, policies and attitude of the masses, which is more or less essential for penetration of any new technology.