Although the exact financial details of this agreement weren’t disclosed, Timbre Media will make use of Saregama’s content and distribution strength in return for a 10% stake in the company. However, the programming of these radio channels will be handled by Timbre Media’s team of ex-Worldspace Radio employees.
According to The Hindu Business Line, this service will be available on mobile, Web and DTH (Direct-to-Home) platforms with the first mobile channel launching in eight weeks. Additionally, Timbre Media is said to be in talks with mobile operators to work out a pricing strategy.
That aside, Satellite Radio is actually not a new concept to India. Worldspace had launched its satellite radio services in India in 2000 and was able to garner 163,200 subscribers by 2008, before it filed for bankruptcy and its buyer deciding not to support WorldSpace’s subscription business in India. The service was officially shut down in December 31, 2009, with no refunds provided to its subscribers.