ITV

Tag: Broadcasting

  • Sony Picture Networks India’s NP Singh re-elected as IBF president

    Sony Picture Networks India’s NP Singh re-elected as IBF president

    MUMBAI: At the 20th annual general meeting of the Indian Broadcasting Federation (IBF), Sony Pictures Networks India chief executive officer NP Singh has been re-elected as the foundation’s president.

    “I am elated to lead IBF when the industry is at crossroads trying desperately to have some iota of certainty and stability in the regulatory space. IBF leads the advocacy for the broadcasting fraternity and strives to provide an invigorating atmosphere for the sector to grow. To provide the leadership at this crucial juncture comes both as a challenge and opportunity. I look forward to meet all the challenges in conjunction with the Board members and office bearers of the Foundation. I am confident that in keeping with the vision of Prime Minister of digital India and ease of doing business, the sector will get its legitimate recognition,” Singh commented  on the re-election.

    Other new IBF office bearers for the year 2019-20 include Rajat Sharma, chairman, India TV (vice-president), Sudhanshu Vats, group chief executive officer, Viacom18 India (vice-president), K Madhavan, managing director, Asianet Communications Ltd (vice-president), Siddharth Jain, managing director (South Asia), Turner International (vice-president) and Shashi Shekhar Vempati, chief executive officer, Prasar Bharati (treasurer).

  • Zee Media CFO Sumit Kapoor steps down

    Zee Media CFO Sumit Kapoor steps down

    MUMBAI: Zee Media Corporation Ltd (ZMCL) chief financial officer (CFO) Sumit Kapoor has resigned from his position. His resignation will come to effect from 13 September.

    “This is to inform you that Sumit Kapoor has decided to pursue interest outside the company and has accordingly resigned from the statutory position of chief financial officer of the company with effect from close of business on 13 September 2019,” ZMCL informed the Bombay Stock Exchange in a filing.

    Kapoor had been appointed as the CFO of the company in December 2016. Kapoor, a commerce with MBA from IIT Roorkee (with specialisation in finance & marketing) who has also completed one-year Certificate Programme in Management and Leadership from Harvard Business School, Boston.

    Kapoor is a senior professional with experience of nearly two decades in business strategy and planning, investment proposals (national/international) and investors relations with various corporate houses including Monnet Group, E&Y, CB Richard Ellis and Deloitte.

  • Sun TV Network cautious about FY20 growth expectation due to economic slowdown

    Sun TV Network cautious about FY20 growth expectation due to economic slowdown

    MUMBAI: The current slowdown in the Indian economy has stunned the expected growth of major companies, and media conglomerates are not an exception. South India’s largest broadcaster Sun TV Network is being cautious about the growth expectation for the rest of the year especially due to a headwind in the advertising sector. Due to this, the Marathi channel launch has been put on hold.

    “We are seeing a lot of deceleration in sectors like auto and real estate and because of that, there is some multiplier effect which is pulling down the momentum in the economy. So, if you look at all the numbers that have come out from FMCG companies, barring some notable exceptions, like Asian Paints, everybody is painting a very down outlook. So, in that context, we shouldn't expect anything spectacular for the remaining calendar year at least. People are saying that if the monsoons are good, things will pick up because of better spending power coming into the rural economy. But all that is still a guesstimate,”  Sun TV Network group CFO SL Narayanan commented in an earnings call with analysts after the 1st quarter of FY 20.

    Explaining the current situation, he noted that the outlook for advertising this year is pretty challenging. Narayanan also added that the company is unable to give any guidance on advertising as well and need to set expectations very reasonably. According to him, even ending up with a mid-single-digit growth would be lucky this year.

    For the first quarter of FY 2020, advertisement revenues stood at Rs 368 crore, broadcast at Rs 10 crore, international subscriptions around Rs 41 crore, revenue from pay channels including digital was about Rs 169 crore and DTH Rs 228 crore. Along with these segments, movie production helped to garner around Rs 41 crore and IPL Rs 244 crore.

    Along with the slowdown in the national market, the situation in Tamil Nadu’s regional market has not also been very rosy. The spending of local and regional advertisers has also shrunk because of a lack of liquidity in the system. Narayanan also added that people are not seeing any ROI in advertising.

    “We have seen 2-3 per cent growth in the market share which we have gained over the past couple of weeks. So, our endeavour is to further keep growing the market share. And ultimately, it leads to the level where we were a couple of years back. So, I think the desire is to go to 50 per cent and we are working towards it,” Narayanan commented on Tamil Nadu market share expectations.

    Sun TV Network MD R Mahesh Kumar also added that some of the competitors are losing substantial share in the Tamil Nadu market. However, a series of launches happening in the market is making them confident about  gain in further market share eventually leading to better monetisation. He also added optimistically that the company will also improve the revenues accordingly.

    While the broadcaster forayed into the Bangla market at a time when the new tariff order changed the entire scenario, it left an impact on the newly launched Sun Bangla as well. Sun TV's CFO is still optimistic about the revenue of its Bangla GEC. He also added that the channel needs to be given some time as it launched only five months back. According to him,  the company’s strategy to venture into Bangla market is a well thought out expansion strategy.

    “I think it’s a step in the right direction because we think that there is a lot of potential there. It is a market where there is not much of TRPs available for trading and there are 2 well-entrenched competitors. And I think that our content strategy also has been very well thought. All those series have been very well made, slickly made. But it will take some time. Rome wasn’t built in a day. And so we are doing all the right things. And I’m sure we will see an uptick pretty soon,” Narayan explained.

    “I don’t think we can sit back and say that we shouldn’t have done this. We’ve actually applied a lot of thought and we identified that this is the place to go because to go into the regular Hindi market would have called for enormous amounts of capital. So even assuming but not admitting at some stage this [Sun Bangla] turns out to be a damp squib, it is not something that will wreck the balance sheet of Sun TV,” Narayanan added.

  • TRAI releases register of interconnect regulations

    TRAI releases register of interconnect regulations

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) has issued the Telecommunication (Broadcasting and Cable) Services Register of Interconnection Agreements and all such other matters Regulations, 2019 to formulate the contours of a reporting system for the service providers.

    “The primary objective of register of interconnect regulations is to formulate the contours of a reporting system for the service providers so that they can report details of interconnection agreements including commercial details to the Authority. It would enable the authority to maintain register of interconnect as per provisions of TRAI Act,” a release from the authority read.

    TRAI issued a consultation paper on the issue back in 2016 to simplify the process, avoid duplication of reports, and formulate its view on various issues such as accessibility of information of register. Draft Telecommunication (Broadcasting and Cable) Services Register of Interconnection Agreements Regulations, 2019 was issued by the authority in April 2019 on the back of the comments on the consultation paper and then an open house discussion was followed by that.

    As per the release, the objective of this regulation is to promote transparency and non discrimination in the broadcasting sector. As per the new regulation, all Reference Interconnect Offers (RIO) are required to be filed by every broadcaster and the distributor of television channels. Initially, the distributor having average active subscriber base below one lakh have been exempted from the obligation of reporting details of interconnection agreements to promote ease of business and reducing regulatory burden on such MSOs with limited resources.

    “The new regulation envisages online filing in electronic mode. The authority has specified that the new regulations will come in force in 120 days, except as regards submission of information related to compliance officer. The intervening period will enable the service provider to prepare for easy compliance,” TRAI added in the release.

  • TDSAT directs Meghbala to pay Rs 1.6 cr to Star India within 1 week

    TDSAT directs Meghbala to pay Rs 1.6 cr to Star India within 1 week

    MUMBAI: The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has directed Meghbala Cable And Broadband Services Pvt Ltd, in an order dated on 2 September, to pay Rs 1.5 crore to Star India within one week. The cable service provider has been instructed to pay the balance amount of the total outstanding due within a period for further two weeks.

    Star India issued a notice to Meghbala Cable on 13 August disclosing that the latter is required to clear the outstanding dues upto invoiced amount for June aggregating to Rs 2,62,97,810. According to the notice, the cable service provider was supposed to pay the required amount on 3 September.

    Learned counsel for Meghbala Cable has submitted that it has reduced the outstanding dues over a period of three months and hence some more accommodation will enable them to liquidate the entire arrears so that it may start paying the current invoiced amounts in accordance with the agreement and the industrial practice.

    “Evidently, the petitioner (Meghbala Cable ) will be liable to pay the invoiced amount even for subsequent months like July and August, 2019 very soon. Therefore, only a limited accommodation can be granted to the petitioner to clear the outstanding dues covered by the notice. For that purpose, we direct that respondent (Star India) shall not give effect to the impugned notice until further orders if the petitioner pays amount of Rs 1.5 crore within one week from today and the balance amount within a period for further two weeks. We trust that petitioner shall make efforts to pay the future invoiced amount within stipulated time,” TDSAT said in an order on 2 September.

  • MIB’s inter-ministerial committee considers TRAI recommendations on monopoly of cable TV services

    MIB’s inter-ministerial committee considers TRAI recommendations on monopoly of cable TV services

    MUMBAI: In the face of rising dominance of certain multi system operators (MSOs) and local cable operators (LCOs) in several states, Telecom Regulatory Authority of India (TRAI) had released recommendations on “Monopoly/Market dominance in Cable TV services” back in 2013. The regulatory body was requested by the Ministry of Information and Broadcasting (MIB) to provide its recommendations on this issue. Presently, the recommendations have been considered by MIB.

    Indian National Congress spokesperson Manish Tewari sought a response from MIB about status of the regulatory body’s recommendations, monopoly in cable TV services, reasons behind the government making recommendations to Competitions Commission of India (CCI)and whether this violated the TRAI act and also if the government agrees with TRAI on curbing monopolies.

    One of the TRAI recommendations included Herfindahl– Hirschman Index (HHI) to be used for measuring the level of competition or market concentration in a relevant market. Tewari also asked if the government has an issue with the recommendation while MIB responded that it has also been considered by the committee.

    MIB in its response also said that the acceptance of the recommendations have multi-dimensional implications, which requires consultation with various stakeholders. Moreover, it has also been added that no recommendation has been made to CCI in regards to that.

  • Cabinet approves 26 per cent FDI in digital media

    Cabinet approves 26 per cent FDI in digital media

    MUMBAI: As the cabinet government amended the foreign direct investment (FDI) policy, it has also given the nod to 26 per cent overseas investment in digital media with government approval.

    "The extant FDI policy provides for 49 per cent FDI under approval route in up-linking of ''news & current affairs'' TV channels. It has been decided to permit 26 per cent FDI under government route for uploading/streaming of news and current affairs through digital media, on the lines of print media," an official statement said.

    While the FDI policy has not touched digital media for a long time, the cap has been introduced along the lines of print media where 26 per cent FDI is allowed through government approval route.

    “The scope of the impact will be determined by the wording of the provision in the FDI policy. News and current affairs are present on social media platforms, on digital platforms that are subsidiaries of foreign brands etc. How would you differentiate between TV channels which have 49 per cent and their online streams, which will effectively have 26 per cent?” Eros International group chief marketing officer Manav Sethi commented.

    The previous time when FDI norms in media were relaxed was in November 2015 to attract overseas funds. The FDI limit in news channels and private FM radio was raised to 49 per cent,up from 26 per cent, while 100 per cent foreign investment was allowed in entertainment channels.

    “FDI in digital media is a welcome development. Clarity around this fast-growing segment of the media industry will act as an enabler for capital infusion. Significant value will be unlocked going forward,” Deloitte partner Jehil Thakkar commented.

  • TRAI does not intend to revise NTO, aims to fine-tune it

    TRAI does not intend to revise NTO, aims to fine-tune it

    MUMBAI: Amid several ongoing speculations on changes in the new tariff order (NTO), Telecom Regulatory Authority of India (TRAI) chairman RS Sharma clarified that the regulatory body does not have any plan to revise the pricing framework. He also added that it is only trying to fine-tune it due to certain issues consumers are facing.

    “The framework is already fixed. There is no proposal to change any component of that framework, and if somebody is making a point that we (TRAI) are changing the framework, it is absolutely false. Since this framework has started operating, we have observed that certain issues largely related to consumers have cropped up. We are only trying to fine-tune it,” Sharma said in an interview with the Economic Times.

    He also added that the consultation paper which stirred the recent controversies is not about changing the framework but it is bringing perfection in the phenomenon observed in the last few months. After finding certain issues, it brought the consultation paper on the table. But it may tweak a few parameters if it finds that all parameters are not working fine.

    “We are ensuring that consumers have a choice and are empowered to exercise their choice. Our objective is not to increase or decrease ARPU. Our aim is to enable the consumers to choose channels and safeguard them against any obstacle in their path,” he said.

  • TRAI issues draft regulation to facilitate consumer choice of TV channels using API

    TRAI issues draft regulation to facilitate consumer choice of TV channels using API

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) on Friday issued the draft (Second Amendment) to the Telecommunication (Broadcasting and Cable) Services Standards of Quality of Service and Consumer Protection (Addressable Systems) Regulations 2017. Through this draft regulation (second amendment), TRAI is seeking the comments of stakeholders on the issue of developing of app by third parties and consequent sharing of information using Application Program Interface (API) between DPOs and consumers.

    The new tariff order rolled out in the beginning of this year put power in consumers’ hand to select television channels they want to watch. To ensure proper implementation of the new framework, the authority has made a number of efforts such as series of meetings with DPOs, publicity in electronic and news media, interactions with customer groups etc. Despite all the efforts, it has been brought to notice of the authority that consumers are not able to make real choice of TV channels.

    “It was noticed that quite a few DPO platforms were not providing adequate freedom and choice to consumers. Customers also complained that the call centre of DPOs are also not helping to facilitate consumer choice of the channels,” TRAI said in a release.

    To resolve the issues, the authority felt need to have channel selection system developed by third party to facilitate easy channel selection by consumers. As per TRAI, since the third party app will be accessible by every customer of Broadcasting & Cables Services sector,  it will facilitate easy choice to consumers.

    To facilitate functioning of third-party apps, TRAI created channel selection system API specifications document which prescribed common APIs with all distribution platform operators (DPO). TRAI intends to mandate all the DPOs to compulsorily share information with the apps after authenticating the subscriber so that such apps can help in easy selection of the required TV channels.

    The newly issued draft regulation (second amendment) issued shall be open for comments of the stakeholders up to 22 August. 

  • New tariff order helped ZEEL’s strong domestic subscription revenue growth in Q1 FY20

    New tariff order helped ZEEL’s strong domestic subscription revenue growth in Q1 FY20

    MUMBAI: Zee Entertainment Enterprises Ltd (ZEEL) experienced strong growth in domestic subscription revenue in the first quarter of FY 2020 where the new tariff order played an important role. The leading broadcaster has guided for domestic subscription revenue for the overall year to grow in mid-twenties.

    “The implementation of the new tariff order has allowed us to price our channels in line with their popularity, thereby leading to a sharp improvement in monetisation. Additionally, uniformity in pricing across platforms and increased transparency have led to a step jump in this quarter’s subscription revenue growth,” ZEEL MD and CEO Punit Goenka said in an earnings call after Q1 results.

    The broadcaster also witnessed sharp growth in subscription revenue in the southern market too. Apart from the digitisation of the Tamil market, the new tariff order also played an important role here.

    Goenka, talking about the growth in the Southern market, mentioned that either ZEEL channels were free in certain markets or their pricing was not proportionate with their viewership share while the new pricing regime gave them the opportunity to re-price content.  He pointed out that the tariff has been frozen since the last 16 years and no price change was done since then for any of the channels after launch.

    “Despite having built significant viewership over the last several years, our channels were really not priced in line with their popularity. Under the old tariff order, it would have been a long journey but the new tariff order gave us a chance to reset this pricing. So, that has allowed us to significantly improve our monetisation,” ZEEL corporate strategy and investor relations head Bijal Shah commented on the overall subscription growth.

    “And on top of this, in this tariff order, discrimination between the platforms is not possible, which has also led to an improvement in subscription revenue growth. So, this is much more on expected lines. In fact, for the last 2-2.5 years, we have been guiding that tariff order will allow us to properly monetise the viewership which we have, and we are seeing that evolving the way we had envisaged,” he added.

    However, the broadcaster did not outline any clear guidance in terms of advertising growth but Goenka did mention that ZEEL would beat the industry growth.

    Goenka said this fiscal year also will not be very high on free cash flow generation despite slight improvement. But next year onwards, there will be a lot more cash conversion from the company’s bottom-line to cash with an actual ramp-up in free cash flows.

    “It is the first quarter right now, so a bit difficult to give you an exact amount, but total working capital investment in FY20 will be in the range of Rs 500-700 crore, that is the kind of increase we will see in total in working capital in full year FY20. It could be closer to the lower-end of the range but we just want to keep some buffer for ourselves right now,” Shah noted.