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Home DTH licence fee: Reliance Jio subscribes to keeping DTH licence fee
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DTH licence fee: Reliance Jio subscribes to keeping DTH licence fee

Team EntertainerBy Team EntertainerDecember 31, 2023Updated:December 31, 2023No Comments4 Mins Read
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DTH licence fee: Reliance Jio subscribes to keeping DTH licence fee
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Mukesh Ambani-owned Reliance Jio Infocomm has instructed the licence payment levy on direct-to-home (DTH) operators not be abolished, as doing so would trigger a loss to the nationwide exchequer and provides DTH an unfair benefit over cable TV.

The telecom main, which now has the utmost variety of telephone subscribers within the nation, stated this in its submission to the Telecom Regulatory Authority of India’s (Trai’s) pre-consultation paper for the formulation of a Nationwide Broadcasting Coverage (NBP).

In August, Trai really useful to the Ministry of Info and Broadcasting (MIB) that the federal government abolish the licence payment for DTH operators after the top of FY27 to make sure the long-term sustainability of the sector.

Trai argued that DTH platforms be handled much like different regulated and unregulated distribution platforms, resembling cable TV, headend within the sky (HITS), Web protocol tv (IPTV), and over-the-top (OTT) companies.

Jio added that the utilization of spectrum offers DTH a aggressive edge over cable TV, which eliminates the necessity for funding in ground-based networks, permitting for nationwide protection with out further infrastructure investments.

‘Cable TV incurs infrastructure prices’
In contrast to DTH, it stated, cable TV has to spend money on the upkeep and maintenance of infrastructure. It acknowledged that DTH gamers have surpassed cable TV suppliers in subscriber rely as a result of availability of spectrum for offering companies on a pan-India foundation. Reliance Jio identified that DTH had 65.25 million subscribers, in contrast with cable TV’s 64 million.

“Furthermore, it’s a elementary precept that companies like satellite tv for pc broadcasting, which leverage spectrum-a public resource-should reimburse the nationwide exchequer primarily based on market-driven costs,” it added. Reliance Industries (RIL), the nation’s most valued firm, owns vital stakes in India’s prime three cable TV firms: Hathway Cable and Datacom, DEN Networks, and GTPL Hathway.

ETB-1-31122023

Favouring open bids
The corporate has reiterated that spectrum for broadcasting companies be offered by way of an public sale course of to make sure transparency and truthful allocation, promote various tech, and safeguard nationwide exchequer revenues.

It additionally acknowledged that policymakers ought to enable the deployment of spectrum bands used for broadcasting companies for communication companies.

Earlier, the Indian Broadcasting and Digital Basis (IBDF) had urged the Division of Telecom (DoT) to not public sale the 3700-4200 band, also called the C-band spectrum, for 5G and 6G companies as a result of it might have an effect on over 100 TV channels that use the 3800-4000 MHz frequency vary.

Bharti Telemedia, the DTH arm of telecom main Bharti Airtel, stated the NBP ought to guarantee regulatory parity throughout all supply platforms, together with broadband. Bharti Airtel offers DTH companies below the Airtel Digital TV model.

The federal government ought to both free the DTH trade from excessive regulation or regulate all service suppliers, together with OTT and DD Free Dish, providing related companies, the corporate stated in its submission to Trai. It additionally famous that regulation prevents broadcasters and cable TV firms from proudly owning greater than a 20% stake in a DTH firm; nonetheless, no such restriction exists for different platforms.

“Some stakeholders have unfettered possession and management of all components of the broadband and broadcasting worth chain, together with content material and carriage, which creates monopolies,” Bharti stated. These anomalies result in dangers resembling exclusionary and discriminatory affect for subscribers who could not be capable of entry the identical broadcast content material on their selection of supply medium, it added.

Different to nationwide coverage
The IBDF has instructed that as a substitute of an NBP, the federal government ought to undertake a principle-based coverage and imaginative and prescient assertion to set high-level targets, relatively than specializing in particular person points. “A principle-based coverage will be designed to be versatile sufficient to be utilized to a variety of conditions and to permit for innovation and creativity in how the coverage is carried out,” it added.

The Web and Cellular Affiliation of India (IAMAI) stated that the formulation of NBP is a chance to create an analogous however distinctive guideline for the broadcasting sector, with a give attention to creativity, which is the founding pillar of broadcasting.

Whereas bundling of various companies like cable TV and broadband has led to assumption that there’s a convergence of tech, IAMAI cautioned the regulator there are distinctions between telecom, broadcasting, and digital companies that justify separate therapy.



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