Category: Regulators

  • Radio City IPO to open on 6 March

    BENGALURU: The Initial Public Offering of (IPO) of shares of Music Broadcast Limited (MBL), the company that has the Radio City network will commence of 6 March 2017. Besides Radio City the company has a sales alliance with Suno Lemon 91.9 FM and Friends 91.9 FM in Kolkata and 40 web stations in eight languages. The company has grown its presence from four cities in 2001 to 37 cities as of mid-February this year. Under the Phase III Policy, MBL acquired 11 additional radio stations, of which 9 are already operational.

    The board of MBL had informed the stock exchanges through its parent and listed company Jagran Prakashan Limited (JPL) about the decision to hold the IPO on 24 November 2016. MBL had a turnover of Rs 240 crores in fiscal 2016 and a net worth if Rs 99.54 crore as per a JPL filing in November 2016.

    According to an MBL filing at the bourses, the book building IPO comprises of equity shares of face value of Rs 10 each for cash at a premium consisting of a fresh issue of up to Rs 400 crore and an offer for sale up to 2,658,518 equity shares by the selling shareholders .The offer will close on Wednesday, 8 March 2017. The Price Band for the Offer is fixed from Rs 324 to Rs 333 per equity share. The sole Book Running Lead Manager to the offer is ICICI Securities Limited. The equity shares are proposed to be listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).

    MBL will be the second radio operator to list on the bourses after Times Group-controlled Entertainment Network India Ltd, which runs Radio Mirchi. 

    Also Read:

    Music Broadcast plans IPO; to make buys

    FM Radio revenues witness seasonal slump in Q4-16, Q1-17

  • MSO renewals and cancellations list released

    MUMBAI: The MIB has granted registration to 230 multi-system operators (MSOs) for ten years as on 13 February, 2017, to operate digital addressable system (DAS). As per MIB order no. 2/108/2015-DAS dated 27 January, 2017, all these registered MSOs can operate anywhere in India. 

    The MIB has also released a list of 45 multi-system operators (MSO) the registration of which to operate DAS has been cancelled (as on 13 February, 2017) or their pending cases have been closed. 

    Of the MSOs listed on the MIB site, permission to one MSO has been restored, and the order for closure of two has been withdrawn. 

    For Kal Cables Pvt Ltd (Chennai),  the MIB order of cancellation of MSO registration has been withdrawn and provisional registration granted on 13 January 2017. For S.S.R. Cable Network (Adilabad, Telangana), the order for closure of application has been withdrawn and provisional registration was issued on 19 January 2017.

    For Nakerkal Communications, the MIB order for closure of application has also been withdrawn and the provisional registration was issued on 10 January 2017.

    On 9 January, www.indiantelevision.com had reported that the registration of MSOs remained slow with 71 provisional clearances in December 2016 and up to 4 January 2017 taking the total to 1130 despite the fact that less than a month is left for Phase III analogue switch-off and two months before the final phase of digital addressable system DAS deadline gets over.

    The number of permanent MSOs (with 10-year licences) remained static at 229, while the number of cancellations remained at 44 as intimated on 30 November 2016. Of the 71 entrants, 21 were registered in the first four days of January 2017.

    With the home ministry directive about doing away with security clearances for MSOs not communicated in writing to the MIB, confusion prevailed over slowing down of the registration processes of MSOs for delivering services in DAS areas. The Government already deferred to 31 January 2017 the sunset date for Phase III (from 31 December 2015) and 31 March 2917 for Phase IV (from 31 December 2016).

    The Ministry on 8 July 2016 issued an advisory to the Chief Secretaries of all States/UTs Governments, the District Collectors and the Multi System Operators (MSOs)/ Local Cable Operators (LCOs) to ensure that no unpermitted TV channel, are transmitted/ re-transmitted in the Cable Networks and to take action against the defaulter under the provisions of the Cable Television Networks Act 1995 to stop transmission of these channels.

    Click here for list of 230 MSOs

    Click here for list of MSOs registration of which has been cancelled (or cases closed)

    Also Read:

    MSO registrations remain slow even as DAS deadlines approach

    Report illegal TV channels, Govt alerted

  • Plea against Jio’s free offer coming up in HC

    MUMBAI: The Delhi High Court will be hearing a plea filed by Vodafone India alleging that the Telecom Regulatory Authority of India had failed to stop Reliance Jio Infocomm Ltd’s (RJio)’s what it called “blatant violation” of tariff orders, directions and regulations by allowing it to go on with its free offers.

    On 30 January, Vodafone had moved the court alleging that TRAI failed to implement the telecom department’s (DoT) circulars.

    Earlier, Idea Cellular and Bharti Airtel had moved TDSAT (Telecom Disputes Settlement Appellate Tribunal) alleging that TRAI had been a mute spectator to the violations committed by Jio.

    Race in the telecom industry meanwhile is getting intense. Airtel may now let customers enjoy free domestic roaming.The new offer seems to be in response to Jio’s introduction of new pricing plan. Airtel has reportedly decided to do away with national roaming charges on its network for both, internet services and calls. A formal announcement is yet to be made. The decision would benefit Airtel’s about 268 million customers.

    Meantime, a PwC report said the road ahead for Indian M&A seemed to be brightly illuminated. As per the report, PTI reported, the recent deals indicated an imminent need for consolidation in various sectors, sale of distressed assets by debt-laden companies and simplification of widely dispersed group companies. The report stated several sectors in India are in consolidation mode. For instance, it said, the telecom sector (Reliance Communications announced the acquisition of MTS India from Sistema).

    Also Read :

    Jio crosses 10-cr subs mark, offers prime membership for Rs 99

    TRAI violations query: Reliance Jio mum on ‘response’

    Jio HNY: TDSAT raps TRAI as contest deepens

  • MIB report: 50% digital STBs seeded during DAS’ first three phases

    NEW DELHI: If the Ministry of Information and Broadcasting (MIB) is to be believed, then first three phases of on going rollout of digital addressable system have already accounted for 50 per cent of digitisation as out of targeted 140 million set-top-box requirement, 70 million have been installed. Evolving ground realities may be different, however.

    The catch in the MIB’s annual report for 2016-17, put on the ministry’s website Thursday, is that the government has taken the Census 2011 as the base for calculating the total number of TV households in India, which has been pegged at 117 million. Adding an incremental 20 per cent for multiple TV homes and TV sets at offices and other places like restaurants, etc, MIB states total requirement for boxes was 140 million — a figure that may be different from ground realities.

    “Total STBs required by adding 20 per cent provision for multiple TV (sets) in houses and TVs in offices/shops is 14 crore (140 million),” MIB’s annual report says, while adding that in digitisation’s first three out of the total four phases, “7 crore (70 million) STBs have already been installed.”

    However, in an evolving world while BARC’s latest data, unveiled February 2017, estimates the Indian TV households at 183 million, the MIB annual report itself quotes, at another place, a FICCI-KPMG report of 2016 as India being “the world’s second largest TV market after China” having “175 million TV households…”

    The MIB report goes on elaborate that the first two phases of digitisation achieved 30 million seeding of boxes, while estimating the requirement for boxes for ongoing Phase IV, which comprises small towns and villages in rural hinterlands of India, to be 70 million.

    But amidst these confounding and confusing numbers being bandied around by the government, it admits that digitisation, pushed by MIB and regulator TRAI since 2012, has increased tax collections both for the State and the Central governments.

    Pointing out that cable TV digitisation has brought transparency in the whole eco-system, making it difficult for MSOs and LCOs to under-declare subscriber base and evade taxes, the MIB report highlights, entertainment tax collection in states increased from Rs. 157 crore (Rs. 1570 million)  in 2012-13 to Rs. 358 crore (Rs. 3580 million) in 2015-16.

    Further, the government also admits that digital cable TV networks were vital infrastructure for penetration of broadband through which e-government services could be deployed. Listing out the benefits of digitisation, the MIB report says, “(Though) no formal impact assessment of the cable TV digitisation has been carried out, data has been collected from different stakeholders, which indicates…major benefits from digitisation have started accruing.”

    The benefits are not restricted to government in the form of tax revenues, but also increased choice to consumers, including HD channels. “From the data received from the MSOs, it is observed that in Delhi, Mumbai and Kolkata, on an average, 300 SD and 20 HD channels are being carried by each MSO. Subscribers have choice to choose from these large numbers of channels…not possible in an analog regime,” MIB clarifies.

    Action Taken Report on Complaints Against TV Channels

    During the period 1 April 2016 to 21 December 2016, MIB issued advisories, warnings and orders to TV channels on receiving complaints from various sections of the population.

    There was one general advisory given to news &current affairs TV channels regarding telecast of incidents related to Cauvery water dispute with due caution and restraint; nine specific advisories to adhere to the Programme & Advertising Codes; four warnings directing the TV channel to strictly comply with programme and advertising norms and three orders to TV channels to go off air for varying number of days.

    According to the MIB, the News Broadcasters Association (NBA), as part of its self-regulation mechanism, has formulated a Code of Ethics and Broadcasting Standards. The News Broadcasting Standards Authority (NBSA) received and considered 1,451 complaints from 2014 to July, 2016 and passed 26 orders. It also issued one guideline and nine advisories.

    The Broadcast Content Complaints Council (BCCC), according to MIB, received 16,257 complaints from 16 April, 2014 to 20th June, 2016. During the period April, 2015 to July, 2016 industry-formed advertising regulator ASCI received and considered 2,020 complaints against advertisements, upholding 1,271 of them.

    Transponder Capacity Constraints

    While enumerating the highlights, achievements and also hurdles in the Indian broadcast and cable sector, MIB holds out some hope for all those Indian users of  satellite services that capacity crunch could get addressed

    “There is some constraint with regard to availability of transponder capacities, but it is expected that with greater demand will also come the supply,” MIB says without divulging how the growing demand for satellite capacity would be met.

    User s of satellite services in India, including teleports, DTH ops and Vsat players, have been severely constrained by lack of KU-band transponders as India’s space agency ISRO has not been able to fill the demand-supply gap despite several launches, while steadfastly refusing to ease norms for renting capacity on foreign satellites.

  • TV channels’ uplinking / downlinking procedure simplified

    MUMBAI: The ministry of information and broadcasting of the government of India has simplified the procedure for processing of application for uplinking/downlinking of TV channels. Marked to all broadcasters & teleport operators, this order, signed by the joint secretary to the government of India K Sanjay Murthy has come into immediate effect’

    All applications requiring permission for uplinking / downlinking of private satellites TV channels/ teleports/ news agencies/ DSNG etc. are processed as per clause 9.2 of the policy guidelines for uplinking of television channels from India dated 5 December 2011, which is reproduced below:

    “9.2 — On the basis of information furnished in the application form, if the applicant is found eligible, its application will be sent for security clearance to the ministry of home affairs and for clearance of satellite use to the Department of Space (wherever required)”.

    After detailed and careful consideration, the competent authority has decided that the following procedure would be followed in dealing with the phrase “wherever required” as mentioned in clause 9.2 of Uplinking Policy Guidelines’.

    DoS clearance would be required in case of applications seeking permission to set up teleports and operating DSNG vans.

    DoS clearance would not be required for TV channel applications proposing to uplink from teleports which are already cleared by DoS and permitted by the ministry of information and broadcasting.

    Also Read:

    Non-news temporary uplinking approvals in 15 days

    81 teleports permitted to uplink, downlink TV channels

     

  • TRAI jurisdiction: Madras HC yes to MSOs as interveners, no as impleaders

    NEW DELHI/MUMBAI: The Madras High Court yesterday gave concession to the MSOs allowing them to intervene on matters of law under consideration. But, the court refused to let them implead, via AIDCF, in a case filed by broadcasters (content generators) challenging whether regulator TRAI can have jurisdiction over commercial issues relating to copyright of content.

    Both sides — petitioners Star TV and Vijay TV and All India Digital Cable Federation (AIDCF) — viewed the court stand as a moral victory.

    Star TV and Vijay TV had moved the Madras High Court pleading that Telecom Regulatory Authority of India (TRAI), India’s broadcast carriage and telecoms regulator, didn’t have jurisdiction to issue guidelines that had a bearing on tariff of content, both TV and film, especially if such issues were also governed under the copyright law.

    In an official statement, AIDCF said the court was “pleased to permit AIDCF to participate in the proceedings as (an) intervener” allowing it to “file all relevant material, make oral submissions and file written submissions in the main writ petition.”

    The AIDCF statement, quoting organisation president and Hathway video division CEO TS Panesar, said, “We are delighted to note the decision of the Madras High Court in recognising us as an important stakeholder in this matter.”

    A source close to the petitioners, however, described the court’s decision as “disallowing” MSOs to directly implead in the main writ petition, the same way as it had not allowed Indian Broadcasting Foundation (IBF) to implead itself in the case. “AIDCF can only intervene on the main matters of law under consideration, which is whether TRAI has jurisdiction over copyright issues relating to content,” the source opined.

    TRAI, which has been trying to bring about semblance of order in the broadcast and cable sector in India via various guidelines, could not be reached for comments by indiantelevision.com till the time of writing this report. However, TRAI chairman RS Sharma had told indiantelevision.com in an year-end interview in December 2016 that the regulator’s main aim behind issuing draft guidelines relating to broadcast and cable tariff, quality of service and interconnection was to reduce litigation amongst stakeholders and create a broad playing arena for all players, including the consumers.

    Industry sources had indicated that the MSOs had moved the court as they apprehended viewpoints of distribution platforms of TV services in India, notably the MSOs, may not be heard; especially when they have views that don’t converge with those of the petitioners on all aspects of the petition.

    However, there is lack of clarity on the status of the petition filed by Videocon D2H, a distribution platform, to get impleaded in the aforementioned case being heard by Madras HC. The matter is listed for another round of hearing 7 March, 2017.

    Incidentally, the Supreme Court, petitioned by TRAI, had refused to intervene in the case being heard by Madras HC and had stated in its last hearing few days back that it would wait for the outcome at the high court, listing TRAI appeal for a March-end hearing.

    ALSO READ:

    SC keeps TRAI request on tariff pending till Madras HC completes hearing

    TRAI jurisdiction: IBF plea dismissed, AIDCF impleadment decision on 22 Feb

    MSOs join issues with TRAI tariff plea at Madras HC

    Tariff order: Don’t notify without SC nod, TRAI told; Madras HC case to continue

  • 127 channels violating 12 min/hr ad-cap rule, TRAI releases details

    MUMBAI: TRAI has now released details of pay (104 non-news and 23 news) channels carrying more than 12 minutes average duration/hour of advertisement (commercial & self promotional) during peak hours (7 pm to 10 pm) for 27 June to 25 September 2016.

    Earlier, a Telecom Regulatory Authority of India (TRAI) report had revealed that 27 news and current affairs and 112 general entertainment channels continue to violate the regulations for telecasting a maximum of twelve minutes of advertisements and commercials.

    The report released by TRAI shows that the number of violators among news channels has come down from 36 while that of non-news channels has risen from the 105 as on June 29.

    The Delhi High Court in early January this year adjourned the hearing of the ad cap on television channels again, this time to 20 April 2017, as the concerned bench did not sit. Earlier, on 29 September 2016, the matter was put off as the bench headed by Chief Justice G Rohini did not have time to hear the matter in view of part-heard cases.

    The News Broadcasters Association (NBA) had challenged the ad cap rule, contending that TRAI does not have jurisdiction to regulate commercial airtime on television channels.

    Please see the complete list here:

    http://www.indiantelevision.com/News_Non-news_Channel_0.pdf

    Also Read:

    http://www.indiantelevision.com/regulators/high-court/tv-adcaps-case-in-delhi-hc-deferred-to-20-april-170112

    http://www.indiantelevision.com/regulators/trai/trai-report-139-channels-violating-12-mins-adcap-rule-151208

    http://www.indiantelevision.com/television/tv-channels/gecs/non-news-temporary-uplinking-approvals-in-15-days-160924

  • Tele-components co Twinstar to bring in Rs 9k-cr FDI

    MUMBAI: Twinstar Technologies is among the 15 proposals worth Rs 12,200 crore on Monday cleared for foreign direct investments into India. Twinstar proposal will however also require the approval of the Cabinet Committee of Economic Affairs (CCEA).

    Twinstar specialises in Optical Communications Passive Components for telecommunication and focuses on providing low-cost and high quality products for the rapidly developing FTTH market.

    The inter-ministerial body Foreign Investment Promotion Board (FIPB), led by the economic affairs secretary Shaktikanta Das, cleared the 15 of the 24 proposals it discussed, while deferring six and rejecting three proposals. Proposals which got the green signal primarily included Twinstar’s Rs 9,000-crore proposal, Apollo Hospitals’ Rs 750 crore proposal, and a proposal of Vodafone India, an official from the finance ministry said.

    Proposals of Hindustan Aeronautics and Dr Reddy’s were also approved.

    Also Read:

    http://www.indiantelevision.com/regulators/ib-ministry/idea-star-den-among-rs-1200-cr-fdi-proposals-approved-latter-to-switch-to-investing-biz-170120

  • TRAI data: Mobile b’band subs get over DeMon in December 2016

    MUMBAI: This is good good news for the those in the OTT/SVOD/App ecosystem. According to the latest telecom subscription up to 31 December 2016 released by the Telecom Regulatory Authoriy of India (TRAI), Indian consumers quickly got over the demonetisation hiccup – at least as far as subscribing to mobile broadband, and dongles are concerned.

    Growth at 8.89 per cent has come back in the December month with the total number of mobile broadband subscribers rising to 217.36 million from 199.61 million subs earlier.

    This increase has come about primarily due to Reliance Jio’s relentless drive to build a user base: it had 72.16 million mobile broadband users, whereas Bharti Airtel (43.56 million), Vodafone (35.02 million), Idea Cellular (27.04 million), and BSNL (20.36 million) followed.

    Prime minister Narendra Modi announced the scrapping of Rs 500 and Rs 1,000 notes on 8 November 2016. In that month, the number of users of broadband via mobile and dongles fell by 0.14 per cent from 199.91 million to 199.61 million. Probably, their woes in depositing the old notes and getting cash for themselves kept them preoccupied.

    In the months prior to that (October and September) subscription growth for wireless broadband and dongles was running at double digits at 14.97 per cent to 199.91 million and 13.31 per cent to 173.87 million.

    Reliance Jio accounted for 52.23 million (November), 35.94 million (October), and 16 million subs (September). Bharti Airtel’s figures for the same period were 41.90 million, 46.22 million, and 44.25 million respectively. Whereas the numbers for the respective period for Vodafone were (34.87 million) (40.19 million) and (35.93 million) and for Idea Cellular were (28.40 million) (29.76 million) (30.72 million).

    We will have to wait and watch whether the media blitzkrieg and broadband offers by Idea and Bharti Airtel which commenced a month or so ago will help slow down the uptake of Reliance Jio and swing subscribers back towards them. For Reliance Jio, of course the challenge remains how to convert the large number of free subscribers it has signed on into paying ones.

    As of a month or so ago, it had limited the daily bandwidth consumption to 1 GB at 4G speeds, following which data speeds drop. But users don’t seem to be complaining as they are quite hopeful that the free offer will continue courtesy the largesse of Mukesh Dhirubhai Ambani beyond 31 March 2017.

  • SC keeps TRAI request on tariff pending till Madras HC completes hearing

    NEW DELHI: The Supreme Court today refused to step in to allow TRAI to issue final broadcast tariff regulations, saying it would wait for the final outcome of a case in Madras High Court on a similar matter. The case in the apex court now has been listed for late March.

    TRAI had filed a special leave petition in SC requesting quashing of a Madras HC order stopping it from issuing tariff guidelines till it disposed of a petition filed by Star TV and Vijay TV relating to whether TRAI can frame rules relating to tariff and copyright laws, both   Indian and international.

    About 10 days back TRAI, as directed by the SC earlier, had submitted in a sealed envelope its final broadcast tariff guidelines seeking permission to notify the same.

    The apex court, while directing TRAI that it could continue with its regulation-framing exercise and also argue the matter in the Madras High Court had directed that before mandating any fresh rules, the broadcast and telecoms regulator should seek its permission.

    The Madras HC high court had asked TRAI to maintain status quo on tariff guidelines till full hearing of the case filed by Star India and Vijay TV. The court would later this month also hear the case of Indian MSOs’ industry organisation, AIDCF, which had requested to be impleaded in the Star TV and Vijay TV vs. TRAI case and be heard.

    Also Read:

    MSOs join issues with TRAI tariff plea at Madras HC

    Tariff order: Don’t notify without SC nod, TRAI told; Madras HC case to continue

    DAS Phase IV pace slack; MIB to meet Indian STB makers

    TRAI jurisdiction: IBF plea dismissed, AIDCF impleadment decision on 22 Feb