Hathway Believes Low End Broadband Users Might Switch to Wireless Service Providers

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Hathway Cable and Datacom said that its users on average consume 188GB per month with the company on average offering its users 94 Mbps speed. The development was shared by the company in its annual report for the period ended March 31, 2020 that Hathway Cable and Datacom released in early September, 2020. According to the report, the company has 35,000 Km of overground optic fibre cable network along with 500 Kms of underground optic fibre cable network. Further, it was said that the company has leased 4000 Kms of optic fibre cable network capacity.

Hathway Cable and Datacom Witnesses Shift in Usage Pattern

The company in the report highlighted that it “assessed an opportunity” to increase its market share by providing 200 Mbps to 500 Mbps speeds to its “premium consumers.” Hathway Cable and Datacom said that the move resulted in the increase of minimum data limits to 200GB per consumer per month across India.

“From [a] consumer behaviour point of view, the year experienced [a] gradual shift in consumers OTT viewing to large screen, thereby further strengthening our business case for FTTH,” the company said in its annual report. “The growth in OTT segment growth is allowing us to leverage our high-speed broadband offerings.”

Hathway Cable and Datacom said that it has consistently introduced “innovative technological products and offerings” to its users. The company highlighted its Hathway Play Box, an Android dongle that enables users to watch OTT content and game on the large screen. Hathway Cable and Datacom introduced the Android dongle during the financial year ended March 31, 2020 to its users in select cities across India.

“These initiatives help to increase customer sticky-ness and to retain customers for longer duration,” the company said in its annual report.

“Competitive Pricing” of Wireless Providers Might Force “Low End Users” to Make a Switch

The company highlighted that its immediate challenges would be to retain its users who on average consume lower data and to maintain its average revenue per user (ARPU) growth. Hathway Cable and Datacom said that it faces a threat of its “low end users” who might switch to wireless service providers “due to competitive pricing.”

However, the company highlighted that the increase in media content through OTT platform and government initiatives for Smart City would aid it to increase its user base across India.

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Born in India, Yogesh loves to travel and has lived in multiple countries including New Zealand and Canada. His bylines can be found on various newspapers and blogs throughout the world, including Vancouver Sun, Surrey Now-Leader, Daily Hive , Investing News Network and Rach F1.

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