As a part of a $250 million cost-cutting move that involves shutting down channels and cutting around 250 jobs, MTV Networks is pulling the plug on MTV Desi, a channel targeting South Asian Americans. MTV Desi, launched in July 2005, is a part of MTV World which targeted ethnic market segments in the US. All three channels under MTV World - MTV Chi targeting Chinese Americans, MTV K for Korean Americans and MTV Desi - are being shut down.
However, MTV is looking at other modes of distribution, particularly online, for catering to these segments. Multichannel quotes an official statement:

“Unfortunately, the premium distribution model for MTV World proved more challenging than we anticipated in this competitive environment. As a result, MTV has decided to shut down its linear MTV World operation. However, we remain steadfast in superserving multicultural youth, and we are continuing to investigate ways to integrate the MTV Desi, Chi and K brands online and on our other screens.”

I’m just wondering if the potential which the overseas market holds for Indian content is overhyped, and whether it is more of an expatriate market than, say, a ‘Person of Indian Origin’ market…the other issue: is an on-demand offering better than a full fledged channel for catering to the proverbial long tail? MTV will probably face tough competition from Indian content already available online…
Related (all from PaidContent):
- MTV Layoffs Include Senior Execs; Digital Execs As Well; MTV World Channels Closing
- MTV To Cut Some 250 Jobs
- MTVN’s McGrath To Staff: Many Organizations Are Adapting