Airtel DTM arm to stop STB imports by 2021-end; begins production in Noida

Airtel Digital TV has stopped issuing new import orders for STBs but will continue to see some shipments coming in under existing orders, which will end by December. Thus, by the end of 2021, it will transition completely to made-in-India STBs, including the high-end Airtel Xstream 4K Android TV Box. The Airtel Xstream Android 4K TV Box allows customers to access linear TV and OTT content.

“We are very pleased with the level of product quality our partners have delivered,” Sunil Taldar, CEO – DTH, Bharti Airtel, told ET.

The company previously manufactured non-smart STBs in Pune (Ranjangaon) through MyBox Tech, a subsidiary of Hero Electronix, and STMicroelectronics. However, it stopped the production in India and started importing devices from countries such as Vietnam and Thailand to ensure better product quality. These countries had better capabilities than India.

“This is a major milestone in Airtel Digital TV’s growth journey and a sign of India’s fast-growing manufacturing capabilities. The Covid-19 induced supply chain disruptions have further accelerated our efforts to make our supply chain more India-reliant,” said Taldar.

The company has already started providing locally manufactured devices to customers, he said.

Airtel Digital TV’s rival Tata Sky has also started making set-top boxes in India in partnership with Technicolor Connected Home and Flextronics.

The move to local manufacturing is in line with the Sunil Mittal-led telecom operator’s strategy to locally source all telecom equipment, networking and STB devices.

Bharti Enterprises Ltd and Noida-based contract manufacturer Dixon Technologies India recently signed a pact to form a joint venture to manufacture telecom and networking products such as modems, routers, STBs and Internet of Things (IoT) devices for the telecom sector. Dixon Technologies India has filed necessary applications with the communications ministry to avail benefits under the Rs 12,195 crore production-linked incentive scheme of the government.

Bharti Airtel has also told its partners Nokia and Ericsson to provide only locally produced 4G and 5G equipment. For 5G, the telco is currently working with Tata Consultancy Services. Both companies will start trials of the locally developed 5G stack early next year and will deploy locally made equipment, Bharti Airtel had said.

Airtel Digital TV, which had 18 million customers at the end of June, offers standard and high-definition (HD) TV services with 667 channels including 86 HD channels, 60 in-house services, six international channels and four interactive services including EduTech.