India Telecom Regulator Plans New Cable Indus Licensing Policy
[2008-7-17]
Tag : cable television
India's telecommunications regulator plans to giveseparate licenses to local cable operators and multi-systemoperators in a bid sustain growth in the cable television industry. The Telecom Regulatory Authority of India has also recommended thatthese operators digitize their networks to take on competition fromthe technologically-advanced distribution platforms ofdirect-to-home and Internet protocol television.
"Due to the absence of any licensing and regulatory framework forthe cable TV sector, the growth so far may not be sustainable...,"TRAI said in its draft recommendation to the government, issuedTuesday. India had 78 million households with cable television at end of 2007, upfrom 410,000 in early 1992, TRAI said.
Currently, local cable operators and multi-system operators have toregister under a single annual license as cable TV operators,although both have different functions. Multi-system operators integrate various channels from thebroadcasters and pass them on to cable operators, who in turndistribute these channels to the subscribers.
TRAI has proposed a one-time entry fee of INR10,000 for adistrict-level license and INR100,000 for a state-level license forlocal cable operators. For multi-system operators, TRAI has proposed INR100,000 as anentry fee for a district-level license, INR1 million for a statelicense and INR2.5 million for a country license.
In addition, the operators should also pay an administrative chargeof 10% of the license fee, TRAI said. TRAI has also proposed that new local cable operators digitizetheir networks in the next three years.
India's telecommunications regulator plans to giveseparate licenses to local cable operators and multi-systemoperators in a bid sustain growth in the cable television industry. The Telecom Regulatory Authority of India has also recommended thatthese operators digitize their networks to take on competition fromthe technologically-advanced distribution platforms ofdirect-to-home and Internet protocol television.
"Due to the absence of any licensing and regulatory framework forthe cable TV sector, the growth so far may not be sustainable...,"TRAI said in its draft recommendation to the government, issuedTuesday. India had 78 million households with cable television at end of 2007, upfrom 410,000 in early 1992, TRAI said.
Currently, local cable operators and multi-system operators have toregister under a single annual license as cable TV operators,although both have different functions. Multi-system operators integrate various channels from thebroadcasters and pass them on to cable operators, who in turndistribute these channels to the subscribers.
TRAI has proposed a one-time entry fee of INR10,000 for adistrict-level license and INR100,000 for a state-level license forlocal cable operators. For multi-system operators, TRAI has proposed INR100,000 as anentry fee for a district-level license, INR1 million for a statelicense and INR2.5 million for a country license.
In addition, the operators should also pay an administrative chargeof 10% of the license fee, TRAI said. TRAI has also proposed that new local cable operators digitizetheir networks in the next three years.
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