After prolonged talks with Sun TV Network Ltd, the state-run Tamil Nadu Arasu Cable TV Corporation has signed an agreement with the Kalanithi Maran-owned firm.
The deal would allow Sun TV channels on all cable TV distribution systems run by Arasu in the state.
In a bid to end the monopoly of private players in the cable TV business, chief minister J Jayalalithaa has revived the operations of the state-owned Arasu Corporation across Tamil Nadu barring Chennai soon following her return to power last year.
However, Arasu did not offer Sun TV network in its available networks but on public demand, Arasu Corporation officials held protracted negotiations with Sun TV, starting last year with both the companies failing to arrive at mutually agreeable rates, until recently, The Times of India reported citing sources.
Sun TV already has a dominant market share in terms of viewership ratings and with the new arrangement with Arasu it would be able to further consolidated its competitive positioning of the company's popular programming, according sources cited by Times of India.
With the arrangement, The Sun network group would also now start earning additional subscription revenues from the state. Immediately following its relaunch, Arasu Cable had initially made 90 channels available, including some pay channels, at a monthly charge of only Rs70.