Optical storage and devices maker Moser Baer on Thursday said it will foray into the entertainment space through Indian home video market.
The company will release video content on DVD and video CD formats using its proprietary and patented technology, which enhances quality and significantly reduces cost, it informed the Bombay Stock Exchange.
Its new division is in final negotiations to acquire copyrights/exclusive license of more than 7000 titles in all major Indian languages, which comprises a third of all movies produced till date in India.
"This initiative will enable us to offer high quality titles at very attractive price of Rs 28-34 for VCD/DVD, which will redefine the home video market in India," Yogesh Mathur, CFO, Moser Baer said.
According to research, India has over 26 million DVD/VCD users, growing at a rate of 25 per cent, it said. Despite the huge potential, home video market accounts for a mere 7 per cent of the total film revenues of Rs 7,900 crore (Rs 79 billion).
The new initiative will release titles in Hindi, Tamil, Telugu, Malayalam, Kannada, Bhojpuri, Marathi, Bengali, Gujarati and Punjabi languages.
With 400 distributors and a dedicated sales force, the new division will also set up owned and branded outlets at about 300 locations in addition to its alliances with large format stores, the company said.
