The introduction of digital TV services is forcing a growing number of small operators to leave the cable market in Ukraine.
This, reports Kommersant, is likely to benefit larger players such as the market leader, Volia.
Smaller operators have also been hit by recent regulatory changes that have seen the number of must-carry channels increase from 16-19, depending on the region the operators serve, to 42, including all that have recently received digital licences.
Given that many small operators can only transmit 50-60 channels and must-carry services do not pay carriage fees, this has understandably cut those operators’ revenues.
What is more, the cost of digitisation has been estimated at around $50-55 (€38.3-42.2) per subscriber.
Volia currently accounts for 40% of the cable market in Ukraine, with Triolan claiming 10%, ODEK 7% and smaller operators the remainder.