Aegis Inc, leaders in interactive systems, has already set up a similar project for Seven Star Cable network in Mumbai, Mr PV Damodaran, General Secretary of the Cable Operators Association, the promoters of CIDCO, said here on Saturday. The presence of the major network cable operator, Asianet Satellite Communications Ltd (ASCL) will not affect the potential business for either-Internet over cable or cable TV-business in the state. "There are over 15 lakh cable TV homes in the state of which Asianet has been able penetrate only 2 lakh homes," Damodaran said.

The two thousand cable operators in the association had together pooled in Rs 5000 each for the new co-operative society. The Association expects the capital expenditure of the Rs 300-crore project to be funded by financial institutions and banks. The project would be completed in three stages. "This is a unique co-operative venture of this kind in the country," CIDCO claimed. CIDCO would also bring about a unification of operations of cable TV operators in the state both for cable TV and value-added services such as Internet over cable.

Small operators scattered over the state would be able to upgrade their services and fight competition from bigger players in the market once the new superhighway starts functioning, he added.