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Tag: tariff order

  • Tata Sky reveals new channel prices after TRAI’s show-cause notice

    Tata Sky reveals new channel prices after TRAI’s show-cause notice

    MUMBAI: Leading direct to home (DTH) operator Tata Sky on Thursday finally unveiled the new pricing of channels and packs after it was served a show-cause notice by the Telecom Regulatory Authority of India (TRAI). With just a week for the new tariff order to kick in Tata Sky’s decision to announce its pricing comes as a relief to consumers, some of whom had even complained about the same to the TRAI.

    According to a report by news agency PTI, TRAI's show-cause notice said, "Tata Sky has failed to provide options to its 17.7 million subscribers in compliance with the new framework to exercise their choices for TV channels. Tata Sky has put its subscribers in a situation of great difficulty despite no fault of theirs by not complying with the provisions of the new regulations and the tariff order.”

    Despite the delay in announcing channel prices, Tata Sky MD and CEO Harit Nagpal is confident that his team can complete the tricky task of implementing the new norms within a relatively short span of time.

    “Tata Sky has always been compliant to regulatory requirements. We have gone live with our modes of communication across the Tata Sky website, Tata Sky mobile app and also equipped the dealers that subscribers can reach out to. We were confident that we would be able to complete the task in 1 week’s time. hence we used this time to create a seamless and smooth transition for all our subscribers. We have ensured that choosing channels and packs is as easy as 1, 2, 3 for any subscriber,” the veteran executive said.

    The DTH operator has come up with a number of packs that will serve consumers of different interests. The packs not only focus on several genres like entertainment, news, sports, and lifestyle but also on all the regions across the country. Even in terms of pricing, the packs provided by the DTH operator offers a wide variety. Apart from its own packages, Tata Sky has also updated the information about broadcasters’ packages and price of the channels available on a-la-carte basis.

    For making the transition easier for its subscribers, a dedicated pack selection portal has also been provided on the website. Users need to log in via their registered mobile number or subscriber ID, post which they can exercise the options.

    The DTH operator has also notified that users with long duration packs will be migrated to monthly packs starting 1 February and the remaining balance will be credited to their Tata Sky account.

    Tata Sky is currently embroiled in a legal battle, of which Bharti Telemedia-owned Airtel Digital TV and Sun Direct are a part, with the TRAI in the Delhi High Court. Unlike the position Star India had adopted, wherein it questioned the regulatory powers of TRAI, the matter in the Delhi HC questions the regulator’s power to wipe out deals that operators enter into to fix commissions and rates for customers. The court is likely to pronounce its verdict in the matter on 28 January.

    In a press release issued by the TRAI on Thursday, it had singled out one DTH operator for not providing options to its subscribers to exercise their choices. The press note also mentioned that the said DTH operator had assured in writing that it would comply with the new regulatory framework.

    TRAI wrote to all broadcasters and DPOs, asking them to comply by the new regulatory framework within the stipulated time. The regulator has also revealed that 40 per cent of consumers have exercised their option of selecting TV channels under the new tariff order.

  • TRAI says 40% consumers have exercised their options under new tariff order

    TRAI says 40% consumers have exercised their options under new tariff order

    MUMBAI: With just a week for the new tariff order to kick in, the Telecom Regulatory Authority of India (TRAI) on Thursday revealed that nearly 40 per cent of the consumers have already exercised their options under the new regulatory framework.

    The regulator also expressed its satisfaction over the progress made by all stakeholders in order to adapt to the new norms.

    In the last month, TRAI has conducted frequent meetings with DPOs and broadcasters to oversee all implementation plans. The regulator has noted that all service providers have offered a consumer care channel on TV Channel Number 999, consumer corner on their website, started a Call Centre, released mobile apps and updated EPG displaying the MRP of each channel.

    The stakeholders have also made arrangements to receive options of subscribers using various methods.

    TRAI on its part has carried out an extensive consumer awareness program. The regulator has been proactively educating consumers through various means like social media and SMS. 

    It has also launched a web portal to help consumers to select the channels of their choice and estimate their monthly bill.  A facility has also been provided to take a print out of the  TV Channels selected or download the file so that the same can be sent to the TV service provider to facilitate exercising of the subscriber option.

    However, the regulator in its latest press note singled out one DTH for non-cooperation.

    “Authority has been receiving hundreds of complaints intimating that one of the  DTH (Direct to  home)   service provider is  not  providing options to its   subscribers  to    exercise   their   choices   and   providing   misleading information in  regard to  implementation of  new  framework. The Authority has taken up the matter. The said DTH operator has assured in writing that they will be complying with the new regulatory framework and will make the options available for obtaining the consumers choice. The  Authority assures all  the  subscribers that all  efforts are  being made to ensure that there is no inconvenience or  any  disruption of TV services due to  the   migration to  the new  regulatory regime,” it said.

     TRAI’s note also went on to add that Multi Systems Operators (MSOs) in far-flung areas and smaller towns are yet to implement the new regulatory framework in letter and spirit.

    Despite the strides made by all parties involved, the regulator has yet again directed all broadcasters and DPOs to comply with the new regulatory framework.

  • Karnataka may face day-long cable TV blackout on 24 January

    Karnataka may face day-long cable TV blackout on 24 January

    MUMBAI: Karnataka cable TV users are likely to face a blackout of TV channels on 24 January if the Karnataka State Cable Television Operators Association goes ahead with its intention to protest against the Telecom Regulatory Authority of India’s (TRAI) new tariff order. The state has 60 to 70 lakh cable channel subscribers.

    The association has decided to black out cable channels across the state on January 24 from 6 am to 10 pm. According to a report in The Hindu, the channels will be switched off by the respective associations.

    As quoted in the report, VS Patrick Raju, president of the association said the TRAI decision is regressive. He also added it would go against the interests of both the channel subscribers and the operators.

    “TRAI has come out with the new regulations without taking operators into consideration. At present, the operators are giving 450 channels for Rs 300 and if the new rules come into place, the subscriber will end up paying Rs 1,500 for same number of channels as the channel rate ranges from Rs 1 to Rs 19. In addition, a provision has been made to charge 18 per cent. The TRAI regulation is a regressive act and new rules are introduced just to favour big corporate bodies,” he added.

    Cable operators across India are going against the new regime and this Karnataka incident is not any different. Many experts in the cable industry have spoken against the TRAI formula that dictates revenue sharing model.

  • TRAI reminds consumers they can pick a-la-carte channels

    TRAI reminds consumers they can pick a-la-carte channels

    MUMBAI: In its latest missive the Telecom Regulatory Authority of India (TRAI) has taken note that broadcasters are only advertising bouquets of their channels and not informing customers about a-la-carte options. As per the new regulatory framework, consumers must be given the choice of picking individual channels too.

    “Now it has been noticed that several broadcasters are advertising their channels in the form of bouquets only. However customer may note that they have option to choose channels on a-la-carte also,” TRAI said in the release.

    It went on to state, “Consumer has complete freedom to choose their desired 100 standard definition (SD) channels within the network capacity fee of maximum Rs 130. The desired channels could be in a-Ia-carte free to air channels or pay channels or bouquet of pay channels or any combination thereof. The choice completely rests with the consumers.”

    TRAI has also mentioned that the maximum retail price (MRP) of a channel on a-la-carte can be viewed in the Electronic Programme Guide (EPG) or Menu of the TV screens of customers. However, Distribution Platform Operators (DPO) such as cable operators, DTH operators may provide discount on the MRP.

    For informing consumer properly, DPOs have been requested to run Consumer Information channel preferably on channel number 999 wherein consumer-related information including the prices of channels on a-la-carte and bouquets are made available.

    LCOs, MSOs, DTH operators are coming up with various options to consumers so that they can exercise their choice conveniently. LCOs can be reached by personal contact while the option of calling on call centre number is also available for many DPOs. Along with the website facility, many DPOs are also providing the option of apps.

    It once again reminded subscribers to make their picks in advance to avoid last minute hassles.

  • TRAI tariff order, disruption posed challenges to DPOs in 2018

    TRAI tariff order, disruption posed challenges to DPOs in 2018

    MUMBAI: Distribution platform operators (DPOs) in India trod a tricky terrain throughout 2018. Both DTH and cable operators continued to face the heat of Jio FTTH, the rapid growth of over-the-top (OTT) platforms and the uncertainties posed by the implementation of the new tariff regime towards the end of the year.

    OTT platforms and challenge of cord cutting

    With the fall in data triggered by Jio, OTT went beyond male, metro, and millennial which posed a potential threat to the cable and DTH industry. As online viewership increased rapidly, traditional distributors were exposed to the threat of cord-cutting.

    What bothered cable operators more than independent platforms was traditional broadcasters driving the B2C lane. Almost all the major broadcasters strengthened their presence on digital, offering catch-up TV along with original content, thus allowing them to bypass revenue sharing with traditional distributors without having to worry about the tariff order or down-linking permission from the government.

    KCCL CEO Shaji Mathews pointed out that broadcasters are trying to develop OTT platforms in such a way that their dependence on cable and DTH is reduced. He also added that they are developing it to push for additional viewership and to have an alternative medium.

    Jio’s FTTH foray

    After leading the wireless data revolution, Mukesh Ambani-led Jio Infocomm returned with another blockbuster offering last year – Jio GigaFiber. The grand entry in the fixed-line broadband sector was not only a challenge for broadband service providers but for cable, DTH players also as the FTTH service is bundled with additional benefits including TV service. Given that the Jio FTTH service will come at a lower cost as compared to market rates, another price war is likely to be unleashed by India’s richest man. In addition to that, the higher amount of data at better speeds will convert more people into binge-watchers of online content increasing the risk of cord-cutting.

    Jio’s entry in India’s low-penetrated FLBB sector has created opportunities for larger MSOs as the former quickly realised the difficulty of last-mile connectivity.

    “If you talk about Jio coming in the industry, we are very much positive towards it that they have recognised our structure – broadcaster, distributor, MSOs, LMOs. Since they have recognised it and tied up with major players like Den and Hathway, it’s a win-win situation for industry also,” Maharashtra Cable Operators Foundation member Asif Sayed said.

    According to Mathews, it is not the first time that the cable industry has been subjected to disruption. The advent of DTH too was rooted in disruption. According to him, the cable industry is well equipped to face the impending Jio onslaught.

    DD FreeDish growth

    Public broadcaster Prasar Bharati’s free-to-air (FTA) platform DD FreeDish too became a cause for concern for the distribution industry. The new tariff framework caps monthly cable or DTH bill of television households at Rs 130 (plus taxes) for the first 100 FTA channels. However, DD Free Dish offers the same free of cost. Doordarshan director general Supriya Sahu believes DD FreeDish is not only used by a marginal section of the society but is also evolving as an alternative option which clearly indicates that it could be a potential threat for DPOs. As per consulting firm EY, the number of DD FreeDish subscribers is expected to reach over 40 million by 2020.

    DPOs forged new alliances

    With the threat of disruption looming large, cable and DTH operators adopted new strategies to survive. Major DTH players as well as MSOs signed content deals with popular OTT platforms and rolled out hybrid set-top boxes as a counter.

    Essel group-promoted Siti Networks unveiled “SITI PlayTop” with YouTube and YouTube Kids in-built, its first hybrid set top box, in September 2018. Another leading MSO, Hathway, launched two new products – an OTT set-top box and a cable hybrid box. Mumbai-headquartered MSO IMCL’s group company ONE Fiber also introduced an OTT device. DTH companies too got in on the act. In the first half of 2018, Harit Nagpal-led Tata Sky entered into a strategic partnership with streaming giant Netflix. India’s largest DTH operator Dish TV announced the national launch of its OTT platform and DishSMRT Stick – a streaming device to make any TV smart. Jawahar Goel’s company has also planned new consumer-friendly initiatives including the launch of Hybrid connected box and integration of voice assistance in next-generation smart STB.

    Added focus on broadband

    Realising the importance of online video in the entertainment sector, MSOs and some LCOs with their existing resources focused on broadband business to further cement their positions. Cable operators with a reach of over 100 million households can easily upgrade fixed line coaxial cable to carry high-speed broadband. Fastway CEO Peeush Mahajan said his company expanded its broadband service in new locations in 2018 and the MSO’s focus will be expanding further in as many as areas possible this year. Even DTH operator Tata Sky rolled out broadband service in 15 cities as it remodeled itself as a video and broadband company.

    KCCL’s Mathews said that most major MSOs have now started investing in broadband and FTTH. He also added that the implementation of fixed-line broadband has been hampered because of various governmental issues like lack of coordination between the various ministries on issues like license fee and difficulties in acquiring licenses.

    VAS remained key

    While the ARPU growth was on the lower side across the ecosystem, DTH operators invested in various value-added-services to drive growth. Dish TV launched VAS services for both DishTV and D2H brands such as ‘Bhojpuri Active’, ‘Fitness Active’ among others with an objective of delivering quality content to consumers across regions in their language. Tata Sky too expanded its regional services with the launch of VAS like Tata Sky Telugu Cinema and Tata Sky Tamil Cinema. At the end of year, it also launched Tata Sky ShortsTV, a service dedicated to curated short stories and films.

    DTH sector’s sluggish growth

    The growth of direct to home (DTH) subscriber base of private players in India was the slowest over the last five years for the nine month period ended 30 September 2018 (TQY 2018, TQY period, three quarters of the year under review) as per TRAI. The good news was that the quarter ended 30 June 2018 (Jun-18, last or previous quarter) saw a reversal of fortunes. From a loss of about 30,000 (0.003 crore, 0.3 million, 0.3 lakh) subscribers in the quarter ended 31 March 2018 (Mar-18), DTH subscriber growth was positive 18.4 lakh (0.184 crore, 1.84 million) for the quarter ended 30 June 2018 (Jun-18). However, in the case of the quarter ended 30 September 2018 (Sep-18), subscriber growth has once again nose-dived to just 8,000 subscriber additions.

    New tariff regime

    The most crucial development of 2018 was TRAI’s win against Star India in the Supreme Court with regards to the new tariff order. With the radical change in the overall ecosystem, the organisations sounded cautiously optimistic. The new rule is expected to bring transparency in the value chain along with creating a level playing field for all stakeholders.

    While broadcasters and DTH platforms are likely to be benefitted, LCOs seem highly concerned about what’s in store for them. LCOs feel the 80-20 revenue share will work for DTH operators but not for MSOs. They prefer a share cap for LCOs instead of taking it out from the 20 per cent that MSOs have. While the deadline to implement the order was 28 December 2018, TRAI offered respite to the sector handing an extension until 31 January 2019 to ensure a smooth transition.

    With less than a month to go, DPOs have also started updating new channel prices and packages on their websites to inform consumers. Many large MSOs like Hathway, DEN Networks and Siti Cable have come up with "suggestive packs" bundling popular channels of all major broadcasters. Moreover, as TRAI has withdrawn its appeal before the Supreme Court to reinstate the 15 per cent cap on discounting of channel bouquets under the new regime, DPOs say now the order lacks value. As broadcasters now can give a discount of 50-60 per cent on bouqets keeping the a-la-carte channel price high, DPOs will not be in a position to package their products.

    Given the fact that there will be some time needed for consumers to adjust to the new structure, broadcasters may call for a rating blackout for at least six to eight weeks. However, it will not be the first rating blackout. When the industry went from analogue to digital distribution, the ratings were held back for around nine weeks. Though initially there was chaos, later both cable operators and DTH platforms reaped benefit from digitisation. “TRAI tariff order implementation provides transparency in the system and gives more choice to the consumer. Dish TV has been prepared to implement the new tariff order and stands to benefit with faster and healthier growth,” India’s largest operator Dish TV feels.

    Standing at the next revolution in TV industry, time will tell how the new regime will pan out for stakeholders. 

  • SITI Networks launches My SITI mobile app

    SITI Networks launches My SITI mobile app

    MUMBAI: SITI Networks Limited, an Essel Group company, has launched My SITI mobile app for its customers. The My SITI app gives a convenient way to SITI’s 55 Mn consumers to access and operate their SITI Digital cable TV connection.

    In line with the regulations of the New Tariff Order, and TRAI’s migration plan, the app will give options to customers to indicate their choice of channels / bouquets during the transition period. My SITI App can be downloaded from Google Play Store (https://goo.gl/75pF66) to all Android based mobile devices. SITI has launched a multi-platform campaign to educate its customers on the app and the true power of choice. SITI has also activated the app for their 24000+ business associate network to help them take customer choice in compliance with TRAI’s migration plan. SITI has also activated the feature on its website and is aggressively reaching out to customers and partners through a multi-dimensional campaign.

    My SITI app would also enable customers to select channels / bouquets / packages, make payment, and share feedback through a very simple and intuitive interface on their mobile phones. This is in line with SITIs philosophy of institutionalizing systems and process to drive business operations and compliances.

     “We have always worked towards giving the power of choice in the hands of our customers and enable transparency. My SITI app for customers is a testament to our resolve and a step that will empower our customers by providing real-time access to their accounts, payments and transaction history. We are also enabling customer choice for the successful implementation of the New Tariff Order and QoS regime,” SITI Networks chief business transformation officer Rajesh Sethi said.

  • TRAI says no postponement of tariff order implementation in fresh clarification

    TRAI says no postponement of tariff order implementation in fresh clarification

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) has clarified that it won't be giving any more extensions to the implementation of the new tariff regime beyond the deadline of 31 January. It has given an additional month for customer migration to new tariff regime after which there have been speculations that the authority may be further postponing or stopping or revising the rule. Quashing rumours, TRAI has issued a press release and clarified that the new framework has come into effect on 29 December itself.

    TRAI also states that  it has been monitoring the progress in regards to availability of consumer corner, choices to the consumers, provision of consumers care channel, percentage of consumers whose choice has been obtained etc. on day to day basis. It even noted that almost all the service providers have started providing consumer care channel on channel number 999.

    The authority further added that the schedule of activities has been properly communicated to all the service providers for reaching out to the consumers and obtaining choices. In addition to that, TRAI is conducting review meetings regularly to monitor the progress.

    TRAI has again advised all the service providers to strictly observe the timelines as provided in the migration plan.

    It has also asked subscribers to exercise their options without waiting for the last minute to avoid any inconvenience and to ensure that they continue to view their favourite channels.

    As the date for implementation of tariff order was nearing, stakeholders were highly concerned how the transition would pan out for consumers. Bringing relief to them, TRAI gave time till 31 January for consumers to opt for channels of their choice under the new regime. Customers will be migrated to new plans as per their choice from 1 February.

    Earlier there were speculations about a complete blackout of TV channels in December as the system allegedly is not ready for such a big move. Then too TRAI asserted in a release that it has advised all the broadcasters, DPOs, and LCOs to ensure there is no disruption of TV services.

    Left with less than one month in hand, DPOs have also started updating new channel prices and packages on their websites to inform consumers. Many large MSOs like Hathway, DEN Networks, Siti Cable have come up with "suggestive packs" bundling the popular channel of all major broadcasters.

    As per TRAI, the new tariff order will give consumers the power to choose and will also lower the prices for TV channels. This new framework allows them to select and pick channels that they like to watch and pay accordingly. It also requires the TV broadcasters to disclose maximum retail price (MRP) of their respective channels and also of the channel bouquets.

  • Hathway, DEN, Siti reveal packs under new TRAI tariff order

    Hathway, DEN, Siti reveal packs under new TRAI tariff order

    MUMBAI: Major DTH players and MSOs have started updating new channel and package pricing as per the new TRAI tariff order. Soon after major broadcasters announced new rates, DPOs are taking swift action making it easier for consumers to choose their desired channels. Last month, TRAI gave an additional one month for the implementation of the new regime to make the transition of consumers smoother.

    Essel group promoted Siti Networks has revealed five suggestive packs ranging from Rs 52.5 to Rs 166 excluding GST. The number of channels also varies in the suggestive packs. While the first one has 18 channels, the highest number of channels i.e 49, is available on the fifth pay pack. 

    Another national MSO Den Networks has revealed over 10 suggestive packs leaving more options from consumers. The prices of the packages range from Rs 199 to Rs 500 inclusive of taxes. DEN Intro Pack priced Rs 199 mostly comprises free to air (FTA) channels barring a few pay channels in the news and infotainment space while DEN Titanium Pack priced at Rs 500 offers a large number of channels across genres.

    Leading MSO Hathway Cable and Datacom has also updated several new packs including the base pack containing 100 FTA channels along with regional add-ons and genre add-ons. Moreover, Hathway has created different packages for different markets like Maharashtra, Karnataka, West Bengal, Telangana, Tamil Nadu and Hindi speaking markets.  Both the Prime and Royal packs offered by the operator include major channels from all the genres while the Royal packs leave much more option. 

    Two DTH players i.e., Dish TV and Airtel Digital TV, have published the prices of individual channels. However, along with segregating the available channels on its network on the basis of genres, Dish TV has highlighted different packs from broadcasters in another list. Airtel Digital TV has only provided the pricing of the individual channels on its website. The DTH operator is offering no discount on the price which is offered by the broadcasters and just passing on the channels by adding tax to the same pricing.

  • Madras HC declines stay on TRAI tariff order

    Madras HC declines stay on TRAI tariff order

    MUMBAI: The Madras High court rejected the interim prayer plea in a petition filed by Chennai Metro Cable TV (CAS) Operators Association declining to stay the implementation of Telecom Regulatory Authority of India's (TRAI) tariff order. Justice S Vaidyanathan issued notice to TRAI as well as posted the matter to 3 January for further hearing.

    The cable TV association’s petition was against two notifications on the new regulations issued through media releases on 19 November and 18 December fixing December 29 as the deadline for implementing the new regime. They sought to quash the two notifications along with an interim stay on the implementation of the regulations.

    The regulatory body’s council submitted that the matter was already raised before the Supreme Court. Moreover, now TRAI itself has given additional one month for smooth transition allowing consumers to choose the plan till 31 January.

    The objections were first raised by a social activist after the first communication on 19 November, as submitted by the petitioner association. It claimed that TRAI, without considering the objections, passed the second release specifying the deadline.

    Under the new regime consumers have to choose channels and local cable operators will have to collect the required fees. The petition claimed this arrangement unworkable. It also claimed it would curtail the right of consumers to see all channels.

  • TRAI extends deadline to 31 Jan for migration to new tariff regime

    TRAI extends deadline to 31 Jan for migration to new tariff regime

    MUMBAI: Stakeholders of India’s broadcast sector can now breathe a sigh of relief as the Telecom Regulatory Authority of India (TRAI) has extended the date of customer migration to the new tariff regime by a month to 31 January 2019.

    With 28 December, the initial deadline for the tariff order implementation neared, the DPOs in particular were highly concerned how the transition would pan out.

    Thanks to the decision, now DPOs can seek options from consumers till 31 January. Customers will be migrated as per their choice from 1 February.

    "We had a meeting of broadcasters, DTH operators, and MSOs today [Thursday]. Everyone confirmed their readiness to implement new regulations. However, they requested that some more time may be given to seek options from subscribers for smooth and interruption free migrations," TRAI secretary Sunil K Gupta was quoted as saying by a PTI report.

    The regulatory body may consider holding weekly review meetings with industry representatives to monitor the progress of the transition of TV viewers, a Hindu Business Line report stated. The report also added that the DPOs are likely to be asked to submit weekly reports on the number of subscribers who have migrated to the new subscription plans in accordance with the new tariff order.

    “It is definitely a step forward from the original plan. Once the bouquet prices are declared by DPOs, only then consumers can migrate to the new plan. These are all interlinked – broadcaster prices have come based on which the DPOs have to declare their prices, they need time for that. Once they (DPOs) declare, consumers need time for selecting a plan. So there needs to be a logical gap between the declaration of prices by broadcasters and then a gap for the DPOs to declare their prices and then time for consumers to choose also,” KCCL CEO Shaji Mathews told Indiantelevision.com

    Earlier this week, TRAI also squashed all rumours about a channel blackout on 29 December. TRAI asserted that it advised all broadcasters, DPOs and LCOs to ensure there is no disruption of TV services. TRAI also added then that it was working on a detailed migration plan for all subscribers.

    “It will help consumers and DPOs as well as broadcasters. This is not only required for DPOs, if there’s no time consumers will not choose new packages or channels which means there will be a blackout of channels and then broadcasters will suffer as DPOs will not be able to collect money. This is a step towards avoiding a blackout,” he added.

    The new tariff order will give the power of choice to the hand of consumers. While until now consumers only watch the channels offered by DPOs, the new order allows them to select their desired TV channels and pay accordingly. Currently, all the broadcasters have updated their channel and package pricing.