The Indian Broadcasting Foundation (IBF) has welcomed the initiatives taken by the I & B Ministry and TRAI in bringing about much needed reforms in the cable sector.
The Tariff amendments and the new Interconnect regulations for Digital Addressable Cable brought about by the Telecom Regulatory Authority of India (TRAI) will inject necessary transparency across the value chain. With a slew of consumer friendly measures – namely choice of packages and introduction of Basic Service Tier, TRAI has ensured that all subscribers of varied socio economic background are duly taken care of and provided for. IBF also welcomes the mandate to enhance the channel carrying capacity to a minimum of 200 channels wef July 1, 2012 and 500 channels wef January 1, 2013.
The new interconnect regulations have brought within its wake the much awaited specifications for digital addressability while at the same time laying down the eligibility criteria for availing signals. The reporting requirements will help the government in plugging leakages while the provisions on disconnection of signals will ensure that all stakeholders are aware of their rights and obligations.
Overall the Tariff Order and the Interconnect Regulations read with the amended Cable TV Act and Rules are steps in the right direction and will help the country to make the digital transition.
However, a big area of concern for Broadcasters is Carriage Fee. The Broadcasters have taken up this issue in various discussions with the TRAI and the Government in the past. Carriage Fee has crippled various broadcasters, especially the smaller sized companies, and it has restricted a broadcaster’s ability to invest in content and other activities of a channel. Therefore, there is an urgent need to revisit this issue and IBF will seek clarity on this matter from TRAI.
India is on the threshold of a digital makeover and IBF trusts that this will, over a period of time, make way for more freedom to stakeholders as digitalization acquires critical mass and the country gains more confidence in bridging the digital divide.
Acknowledging to the audience that his heart still favoured Mumbai over Delhi and it was Mumbai that saw him at his pioneering best, Vinod Mehta, now advisor to the Outlook Group, was a picture of pride and fulfilment as he received the coveted Lifetime Achievement Award bestowed on him by the Press Club of Mumbai on May 4.
Receiving the award from Kapil Sibal, Union Minister of Communications & IT, Mehta thanked the members of the fourth estate and said that this award means more to him than even the Padma Shri. Mr Mehta was felicitated for his selfless contribution of more than 35 years to his passion – journalism. Mr Mehta joined a host of winners from the fourth estate that were honoured by the Press Club for outstanding contribution to the trade.
The evening also witnessed two special awards being given to late Pradeep Vijaykar (formerly with Times of India) and eminent journalist Madhu Shetye for their outstanding contribution to the domain. Gurbir Singh, President of Press Club of Mumbai delivered the keynote address while veteran sports journalist Ayaz Memon was the emcee for the evening.
Prior to the awards ceremony, the evening witnessed a scintillating panel discussion on the role that media was portraying in the country and whether it was headed in the right direction. The panellists included Arnab Goswami of Times Now, who moderated the session, Vinod Mehta of Outlook Group, Kumar Ketkar of Divya Marathi and Uday Shankar of Star India.
Mr Goswami began by stating that there is no shortage of attention being showered on media but expressed concern when he said that never has the media done so wrong. “The question that all journalists and editors need to ask ourselves is, are we doing everything right today? Is the chase for news headed in the right direction?â€
Replying to his question, Mr Mehta said: “There is no problem with the direction, what is essential is for us to judge the media in the environment it works in. The judiciary and press media still function with a degree of idealism and integrity but there is so much of self-congratulation that is happening; that is something that is slightly out of proportion.â€
Expressing his views on the issue of responsibility, Mr Mehta said: “Where the young journos are concerned, I feel they have a good sense of idealism and integrity but if there is somebody who has to take the blame for the current state of affairs, it is the editor. Even if somebody from the team has committed an error, the editor has to take ownership of that and find a solution to it. The problem is that the editors have forgotten what their job is and are pursuing their own agenda. The need of the hour is self-examination; we need to introspect and be accountable for our actions.â€
Replying to Mr Goswami’s query on whether there was unity between members of the fourth estate and the role that editors essayed, Kumar Ketkar said: “It is the editors who stop news from being published and not the management as many think. The editors try and control their reporters and that should not be the case.†Mr Ketkar cited the example of the slain BJP leader Pramod Mahajan, who was shot by his brother a few years ago. “When his brother was arrested for his murder, he had written a letter from the jail explaining his stance and he wished to supply the letter to all in the media. I was told that most editors had agreed to play up the letter in their publication and so I went ahead and planned a big editorial spread for the news. But the next day, I was surprised to see that only my paper had carried the news. This shows the lack of unity existing between the media players today.†According to him, “The media today is not clear on the role that it has to essay. They are not mature enough and lack understanding skills. Journalists themselves are timid and lack courage.â€
Uday Shankar, CEO of StarIndia went on to describe how television as a medium emerged in a big way first during the 90s and then again during 2008-09. “A lot is being said about how news television has been crowded space but I feel it managed to rediscover its own agenda during 2008-09. I cannot understand when some people say media doesn’t do self-introspection. If that is what is claimed, then how come they’ve come to rediscover themselves? Personally, I feel media has done the right thing by chasing news. If there are people who still have questions about the role of news channels, then I cannot understand whether media should be responsible for what it does or whether it should concentrate on doing the right thing?â€
The panel went on to discuss how urban centres led by metropolitan cities were receiving maximum attention from the media and how stories from the rural and less important towns were being ignored in a large way. The need of the hour, the panel highlighted, was to bring out stories from these small cities and towns which were inspirational in nature.
Winnerspeak:
Ashish Khetan, Editor – Investigations, Tehelka
“I bagged the top award for my story on the national rural health mission scam that was unfolding in UP. The story was not about the bonds between the corporation and ministers but how corruption was actually killing people. The funds which were allocated for improving healthcare for the needy and rural people were being siphoned off and embezzled by the whole gravy train of bureaucrats, including politicians. Unfortunately the story did not get much play in the national media because it was centered around the poor but I feel the story was more important than 2G, CWG or other scams that were covered by the media.â€
Abhijit Sathe, Sr Asst Editor, Mumbai Mirror
“I won the runners-up award for Crime (Pradeep Shinde award) for my story Hiranandani vs Hiranandani. The award means a lot to me. The story was a big one that chronicled infighting between families of one of the biggest names in business today. I exposed how two siblings were sabotaging each other’s interests. I am greatful that I was selected for, and eventually won the award.â€
Rafique Baghdadi, Business India
“More than react to the win, I would like to say this: more than 62 years ago, a lady called Ms Panna Shah, had done a PhD in Indian Cinema and since then there is nobody who has done that course in the industry as yet. It’s high time the business houses, film industry and the state government should give grants and scholarship to aspiring candidates to pursue that course.â€
The cycle of life and death is such a wicked thing, sparing no one, especially not the high and mighty (Thank god, really, for us who are not only low and but are also tiny – I’m speaking metaphorically here). And so the mighty Murdoch empire wobbles.
The Leveson inquiry into media ethics last month and the British parliamentary committee report after an inquiry into Rupert Murdoch’s companies released last week after last year’s inquiry commission both highlight that fall. The parliamentary report indeed calls Murdoch senior “unfit” to run his companies, although the Conservative party members of the commission would not endorse that. The irony for British politicians is that both the Labour and Conservative parties can be accused of getting too close to the Murdochs and their editors.
From the time he bought the Sun and then venerable Times, Murdoch has been a figure of controversy. His disdain for journalists and senior editors was applauded by media moghuls elsewhere as a fine way to treat employees (India’s journalists have also suffered from the Murdoch effect). Murdoch sacked, moved and reduced journalists everywhere to paid hacks, only capable of doing what he assigned them.
At the end, that became hacking into the voice mails of a murdered child’s mobile phone in order to sell more copies of a newspaper.
Murdoch has said he is sorry – inasmuch as he remembers anything at all. Although he does appear to recall a bit more than his son who saw and heard (and read) apparently almost nothing all the while that he ran the European branch of daddy’s company.
At a time when the Indian media is grappling with all sorts of issues and allegations, the Murdoch saga presents an interesting contrast. That Murdoch’s editors bent the rules and ignored media ethics is a certainty but it presents almost the exact opposite of the way that the Indian media operates. Can you imagine any Indian reporter – especially one involved in the glamour world – going to such depths to get a story? Hiring private investigators, bribing police officers – all this shows a commitment to newsgathering that most Indian newspapers had given up and many journalists would faint at the idea of so much hard work. (So much easier to let the PR person write the story which his client has paid the marketing department for.) I am not sure how many would object to the ethical problems raised since we have our own monsters to deal with.
Meanwhile it’ll be interesting to watch as the vultures start circling around.
MCCS will be relaunching news channels Star News as ABP News  in Hindi, Star Ananda as ABP Ananda in Bengali and Star Majha as ABP Majha in Marathi on June 1.
The relaunch process begins today with a massive communication campaign developed by Lowe Mumbai. The media buying plan has been formulated by Mindshare.
The campaign would be, over the next 8 weeks, aggressively communicating the change, using a combination of TV, Print, Radio, Outdoor and Internet, to all the viewers and stakeholders about the new name and logo.
The three news channels have helped MCCS evolve as a strong and respected broadcast news company. The theme of communication is simple and to the point: Our Stars don’t change, our News does not change, only our name changes.
Source: News Content Track – A service of TAM Media Research Pvt. Ltd
Channels: Aaj Tak, CNN IBN, Headlines Today, IBN 7, India TV, NDTV 24/7, NDTV India, Star News, Times Now, News 24 & Zee News
Period : Week 17 – Apr 22 to Apr 28, 2012
Note : Analysis is based on the Telecast duration
About TAM Media Research
TAM is a joint venture between Nielsen Company & Kantar Media Research. Besides measuring TV Viewership, TAM also monitors Advertising Expenditure of Television, Print & Radio through its division AdEx India. Since 2004, it extended its presence in the PR Measurement & Analysis space for Corporate/Marketing Clients by setting up a separate division Eikona PR Measurement.
In 2007, the joint venture introduced RAM (Radio Audio Measurement) service to track Radio Listenership for the Indian Radio Broadcast Industry. In year 2009, TAM launched a division, called TAM Sports that specializes in monitoring Sports Sponsorship ROI.
TAM Media Research’s objective is to fuel media insights that will drive the growth of the Indian Media Industry.
Title Waves, the new bookstore at Bandra, Mumbai was teeming with several old-timers who are associated in some way or the other with Sujit Sanyal, a former advertising veteran who worked with Clarion Advertising in old Calcutta. The occasion was the launch of Mr Sanyal’s debut book – Life In A Rectangle, The World Around 55BMirza Ghalib Street.
The launch was made special by the presence of Madhukar Kamath of DDB Mudra – an ex-Clarionite himself who was among the four individuals with an MBA qualification to have joined the agency when it was at the zenith of its success – who unveiled the book to the gathering.
Published by Fingerprint, Life In A Rectangle is a candid memoir where adman Sujit Sanyal narrates some revealing, some intriguing and other whacky stories about the advertising world from his Clarion days, his first agency, which he joined as a trainee and whose Kolkata branch he later went on to lead.
When asked on the factors that led him to script a book on his days at Clarion, Mr Sanyal said: “Life in a Rectangle happened while I was toying with the idea of writing a book on my formative days in advertising. The book is a fun reading piece that chronicles the advertising era of the 70s and 80s in Calcutta.”
On the choice for the name of the book, Mr Sanyal said that “the name for the book came from my mentor who said that all advertising that you see today are flashed on screens that are rectangle in shape, be it television, computer, mobile, magazine, i-Pad, etc.”
According to Mr Sanyal, what made him even more convinced to write a book on the agency with a glorious past is because at one point in time, Clarion Advertising was India’s No 2 agency after HTA (now JWT). “That was around mid-70s to early 80s. In the early 80s, it started falling apart due to differences between theUnion, the Management and the Board. In fact, the agency had seen downfall on many occasions and I, myself, was there during a couple of occasions. Once when I was a newbie and the second time when I was heading Clarion’s profit-sharing centre from Calcutta and I saw the fall from a much closer distance. So since I was writing the book, I said to myself why not add these bits of information too.”
Mr Sanyal added that there are just 2-3 people whom he has slam-banged, but the others have been given due credit for playing an influential role in his life. Highlighting the era of advertising that existed in those days also served as an inspiration for him to pen down his thoughts: “In those days, a man was judged by the way he used to hold his drink. But all that has changed today. I am not at all in favour of the pub-going trends of today where it is about ‘wham bam thank you ma’am’; holding your drink in a particular fashion was an art in those days. Also, we were unofficially trained on how to be a bartender. So if there was a client who came and he was drinking whiskey with water, it was our job to see that he kept getting his refills and not asking him on what else would you have. It was all great fun and at the same time you had to work too. The days of yesteryears were so much more exciting.”
Admitting the factors that have led the industry to undergo a sea-change, Mr Sanyal stated: “The advent of technology has made things a bit easier for everyone in advertising. The times have really changed today. Anyone who has a mobile and a laptop becomes a filmmaker and can do his own work at his own pace. But this has also led to things becoming more clinical; everything now has got into a box including media plans that are largely TRP-driven.”
Being direct, Mr Sanyal didn’t hesitate when asked on his views on the state of the advertising industry today: “The advertising industry today is all about business. There are a few legends who still are wowing the industry with their work but they will all go away. At the end of the day what are you doing in advertising – you are playing with human emotions. Also, what is happening is that I may have a relative who is the boss of a big client company but he cannot give me the business because the diktats are decided by people who sit across the transatlantic ocean. In a nutshell, globalisation is taking its toll on the industry. They are not allowing the Indian agencies to grow.”
Still basking in the accolades that are coming his way from friends and family over the first book, Mr Sanyal is already tempted into writing a second book that may see the light of the day soon. If he were to go by suggestions thrown up by his friends at the venue, it would well be a book on his first job at Junior Statesman (JS, as it was popularly known), a magazine that was far ahead of its time.
Life in a Rectangle: The world around 55B, Mirza Ghalib street; published by Fingerprint Publishing; price Rs 395/-
moneycontrol.com has launched an online investor camp starting at 8am on May 8. The day-long event will include a host of investment experts who will answer queries from investors all over India.
Master Your Money brings a unique opportunity to investors in India to go online and connect with leading experts, and get answers to their investment queries online. It provides a resource to millions of investors currently confronted by falling stock markets, high rates of inflation, skyrocketing real estate prices and the exploding value of gold.
Master Your Money is open to all kinds of investors, from buyers of fixed deposits, government bonds and insurance, HNI stock and mutual fund investors, individual traders and corporate finance professionals. The unique online event covers stocks, bonds, insurance, gold and real estate. Master your Money is sponsored by Principal Mutual Funds (sponsor – Mutual Fund section), L&T Insurance (sponsor – Insurance section) and Aditya Trading (sponsor – Stocks section)
“As a leading national portal dedicated to serving investors in India, we conceptualized Master Your Money to provide knowledge to the entire community of Indian investors,” said Joyson Thomas, COO, Web 18. Mr Thomas added that this is the fourth edition of Master Your Money and the first event which has attracted investors from all over the country.
Limca has changed its positioning statement this summer. Earlier they used to promise freshness. Now they are selling the drink as a thirst quencher. ‘Pyaas Badhao’ is the new message. And they have punned on the word ‘pyaas’. Thirst for a drink, and thirst for success.
Kareena Kapoor is the new brand ambassador. In the commercial, Bebo encourages a young, budding cricketer to sweat and toil so that he can become a successful player. Of course, lots of Limca drinking shots happen along the way. Totally unhappening stuff, I say.
I think makers of Limca have blundered big-time on this one. For one, Bebo is over-used in advertising so she adds little to brand recall. Waste of money. Cricket has been flogged to death in advertising, so that’s a waste of time. But the biggest mistake is giving up ‘freshness’ and opting for a needlessly loaded story. Yes, I am aware ‘freshness’ is a generic concept for cold drinks, but that’s where the challenge for creative people lies. On how to lift a regular thought by creating wow executions. Stunning renditions should have been tried on ‘taazgi’. The new ad tries very hard to establish the ‘pyaas’ of doing well in life. Worse, Bebo demands adequate footage too… what’s the point of using her otherwise? And in all this crowded mess, the brand gets lost.
Not working, people. Go back to ‘taazgi’ and go back to the drawing board. And hurry, the summer shan’t last forever!
Rating: (On a scale of 1 to 5): 1. Strategy shift bombs.
High drama ensued at the Assocham event inNew Delhias local cable operators (LCOs) flagged black ribbons at the Minister for Information and Broadcasting, Mrs Ambika Soni. The Minister was attending the 6th Annual Summit on Entertainment and Media organized by Assocham, Focus 2012: Digitization for Inclusive Growth. As the theme suggests, one of the primary issues discussed at the event was Digitization of Cable television.
The LCOs were protesting against the recent tariff order issued by the Telecom Regulatory Authority of India (TRAI), which they claim is an unfair order against all small operators. Following the heated arguments between cable operators present at the event venue and the Minister, one of the cable operators, Sandeep Mcgee who is based inEast Delhithreatened to commit suicide in front of the Minister. Mrs Soni, however, tried to pacify the operators’ fraternity and asked them to file a formal letter with all their grievances against the tariff order and the regulator. She also promised to address their concerns and, if need be, raise the same with the regulator.
Addressing the concerns of broadcasters on the carriage fee mentioned in the same order, Mrs Soni said that the government will consult all stakeholders before taking a final call on the regulations decided by TRAI under which the Multi System Operators (MSOs) are allowed to charge a carriage fee from broadcasters.
Earlier, in her inaugural address, the Minister emphasized the importance of digitization for the entire industry and all stakeholders: “Digitization is going to be the biggest reform in broadcast sector and enable operators to expand their revenue sources by providing more choice and variety to customers. Digitization is imperative to tabulate subscriber base and reduce carriage fee. Digitization will also help reduce all human error in the process.â€
Defending the tariff order issued by TRAI recently, she said that the government indulged in exhaustive consultations with all stakeholders on all issues including the carriage fee, and the main aim of the new regulations had been to benefit the consumer. Mrs Soni said: “The TRAI tariff order makes the viewer the most important beneficiary; the choice will be with the viewer.†As for the broadcasters, she said digitization would help reduce the dependence on TRPs and bring in transparency where every broadcaster would be in a position to identify exactly how many people are subscribing to the channel.
On the issue of media regulation, Mrs Soni said: “Let’s not condemn self-regulation per se because even though self regulation is a slower way of correcting things, it is still a surer way as it involves converting minds and hearts in the process.â€Â She added that in the whole race to growth, the provisions of the Cable Television Regulatory Act were overlooked and it was a fault in the functioning of the government that the act had been ignored.
On the issue of Paid News, she said that while it was the worst phenomenon that existed, it’s not as easy to detect paid news. She was responding to scathing criticism of the media by the Chairman of Press Council of India, Justice Markandey Katju in his keynote address at the same event.
TAM Media’s Radio Audience Measurement (RAM) – which covers four key metros, Mumbai, Delhi, Kolkata and Bengaluru – released its latest radio listenership figures for wk 13 to wk 16, 2012 (Last week of March to first three weeks of April, 2012). According to the latest RAM data, for listeners of 12 years of age and above, all places of listening, and according to radio channel shares, RadioCity, Radio Mirchi, Fever FM, Big FM, Red FM, Radio One, Oye! FM continue to be the top FM stations in the big four metros.
Mumbai:
Radio Mirchi emerges as the number one FM station in Mumbai with a market share of 15.3 per cent, followed closely byRadioCityat 15.2 per cent. The two FM stations are closely competing for the top spot, but what remains to be seen is which of these two FM stations retains the top spot. AIR FM2 Gold, Fever FM and Big FM make the top five FM stations in Mumbai. The other FM stations in the Mumbai market include Red FM, Radio One, Oye! FM, AIR FM1 Rainbow, Vividh Bharati and Akashavani.
Delhi:
Fever FM continues to be the most popular FM station in Delhi with a market share of 18.4 per cent, its nearest rival is the AIR FM2 Gold which is comfortably placed at number two with 18.1 per cent market share. Ranked three is Radio Mirchi followed by RadioCity which is ranked four and Red FM as ranked five in theDelhimarket. The rest of the FM stations in Delhi include Big FM, Radio One, Oye! FM, Hit FM, AIR FM1 Rainbow, Akashavani and Vividh Bharati.
Bengaluru:
RadioCity continues to maintain its leadership position in the city. RadioCity, Radio Mirchi and Big FM are the top three most popular FM stations in Bengaluru. RadioCity received a market share of 25.7 per cent whereas Radio Mirchi and Big FM received a market share of 22 per cent and 18.5 per cent respectively. Ranked four is Red FM with 12 per cent and the fifth most popular FM station is AIR FM1 Rainbow with 5.7 per cent. The other FM stations in Bengaluru include AIR FM1 Vividh Bharati, Radio One, Fever FM, Radio Indigo, Akashavani and Gyan Vani.
Kolkata:
Radio Mirchi is the clear winner in Kolkata with a market share of 22.8 per cent. The top three FM stations in Kolkata haven’t changed as Radio Mirchi continues to be the number one FM station of the city followed by Big FM with a share of 16.9 per cent and at the number three FM station of Kolkata, Friends FM received a share of 14.9 per cent of the share. Ranked four and five are Aamar FM and Fever FM with a share of 10.9 per cent and 8.9 per cent respectively. The other FM stations in the city are Red FM, Radio One, Oye! FM, Power FM, AIR FM1 Rainbow, AIR FM2 Gold, Vividh Bharati and Akashavani.
As expected, the release of the report by lawyer Raju Ramachandran into Gujarat chief minister Narendra Modi’s role in the 2002 riots got TV channels into a frenzy. Having whipped themselves up over the “clean chit” given to Modi by the Special Investigation Team, the indictment of the chief minister by the “friend of the court” provided just the kind of contradiction that Indian TV thrives on.
However, the arguments for and against Narendra Modi and his “crimes” or his “achievements” have become old and tired. As have the panellists. There on NDTV was Jainarayan Vyas putting up a stout defence of Modi. And, of course, a short while later he was on Times Now. Kumar Ketkar, editor of Divya Marathi provided the objective line – while slamming Modi for his well-documented anti-minorities stance – also appeared on both.
But at the end of the day, little is achieved with such debates. The BJP and Modi’s fan club spew their spiel. Modi’s detractors have their own. The debate moves along predictable lines. The events have become so far away that the details have been forgotten which leads to even more chaos. Both Nidhi Razdan and Arnab Goswami had a tough time controlling some of their panellists who as usual forget all rules of civilised behaviour once a TV camera is turned on them. Smriti Irani of the BJP, for instance, gave us ample proof of how she can now graduate to the “saas” role in a poisonous soap – if they still have them on TV that is.
(A disclaimer: I was deputy resident editor of The Times of India, Ahmedabad, from 2001 to 2004 and have a fairly good idea of what happened during the riots. Watching people who were nowhere around in those dark days holding forth can be both a frustrating and amusing experience.)
* * *
The big TV event of the week is of course the first episode of actor Aamir Khan’s Satyameva Jayate on the Star channels and DD. He dealt with the contentious and emotional issue of female foeticide and India’s skewed gender ratio. It was a well-researched show, with the subject presented from various angles and certainly struck a chord with the audience. The cyber world went gaga, judging from the number of tweets about the programme. Newspapers the next day were also congratulatory.
If there was criticism – especially on Twitter, the home of manufactured outrage – it was about whether female foeticide was such an unknown problem after all as well as whether any change would happen as a result of the show.
It is amazing to hear journalists talking about whether social change can result from media efforts, since we know from our own experience what a slow and pain-staking experience that can be. Your 140-character aphorism may take seconds to go out to the world; change on the ground takes a tiny bit longer than that.
* * *
An evening at the Mumbai Press Club was a great opportunity to meet up with former colleagues and old friends. The now annual awards for journalists in categories from crime and cricket to politics and the environment is a very good idea. Giving the lifetime achievement award to Vinod Mehta was a winner – since he promptly said that working in Bombay (as it was then) were the best years of his life!
With less than 60 days to go for the switch from analog to digital distribution, different stakeholders of the broadcast and cable industry are battling out their respective concerns with the government and the regulatory authority. Following the Tariff Order and Interconnection Regulations for the Digital Addressable Cable TV Systems issued by Telecom Regulatory Authority of India (TRAI), a lot of stakeholders have raised issues that will affect their business in which they deem the order to be unfair.
While the News Broadcasters Association (NBA) protested against the carriage fee mentioned in the order, local cable operators (LCOs) carried out a black flag protest during the recent Assocham event attended by the Minister for Information and Broadcasting, Ms Ambika Soni. The LCOs have objected to the revenue share prescribed by the regulator and the Multi System Operators (MSOs) have expressed concern over the increased number of ‘must carry’ channels mandated by TRAI.
MxMIndia spoke to a few representatives of the industry to understand their concerns in the run up to digitization.
Ashok Mansukhani, President, MSO Alliance
What’s your first response to the Tariff Order?
The Tariff order has a mixture of good and bad. Fundamentally, it lays out the path for digitization but there are certain issues which worry us like the mandatory ‘must carry’ channels. We don’t think that’s a fair thing to do, if the broadcasters have the right to decide how many channels to bring to India or create within India, we should have the right to decide what should be the capacity, obviously the capacity is much larger in a big city than a small city. Apart from that, there are some issues on revenue share, which is based on a formula which is pending in the Supreme Court. Our worry is that if the Supreme Court decides otherwise, the whole business model would break down. These are the main two concerns.
News broadcasters are objecting to the carriage fee mentioned in the order issued by TRAI, what’s your view on it?
Now everything will be transparent. What is possibly going to happen is that carriage fee, which is creating such a big hoo-ha today, will get replaced by genuine pay channel ecosystem but that is about five years away. In the current process, we have to digitize about a 100 million homes and enormous sums of money are required but no fiscal incentive or tax incentive or infrastructure incentive has been given by the government. I think in the run up to digitization, the broadcaster should not derail the process; rather they should sit down with the cables operators and the MSOs and work packages with attractive content and at compelling rates to attract consumers. I think that’s really what they should be doing instead of writing editorials about carriage fees.
Do you think the sunset date of June 30 is achievable?
No, it’s not achievable. There are just 60 days left. The negotiations with broadcasters have not begun. The revenue shares are default revenue shares but no discussions with operators have taken place. No agreements are in place. Out of 10 million boxes, only 2 million boxes have been installed. Many of those boxes don’t have smartcards, in other words, they don’t have the conditional access system, and they are vanilla digital set top boxes. I think it’s high time for the government to carry out a reality check. I am sure this will be discussed in the next task force and I am sure government will fix a new date.
Jehangir Pocha, CEO, INX News
What’s your first response to the Tariff Order?
The TRAI order has been a disappointment to news broadcasters because we were repeatedly told that there would be no carriage fee. We were repeatedly told that there would a mandated EPG or menu system, which has not been delivered. These two things add up to a huge financial burden on broadcasters, especially news broadcasters, an industry that is, contrary to public assumption, not doing at all well, that is facing huge financial burdens and many channels have gone bankrupt.
Apart from carriage, do you see any other issues in the run up to digitization?
I think the other issues are really about the willingness and commitment with which the policy can be rolled out because this is going to disrupt some vested interests, it’s going to disrupt a regular way of doing business and therefore, there is going to be a natural push back. But the concept of digitization is superb, it’s wonderful that the government and the regulator have pushed for it, but there have been some imperfections in what they have presented. Another thing that doesn’t make enough economic common sense to me is how the price was set so low for free channels and pay channels because the entire industry’s problems stem from the fact that the consumer is literally being subsidized by paying such low price for content, which in every other country, costs so much more. How this price has been set, by whom and who’s paying for the inherent subsidy in this, there hasn’t been enough transparency on this.
Both NBA and the IBF have expressed disconcert at the carriage fee in the order issued by TRAI, but the TRAI maintains that there is no cause for dissatisfaction on carriage fee. As a news broadcaster, what will be your next step?
I think we will have to explain to TRAI and the ministry just what the imperfections in this otherwise very positive bill are, and how they will create a huge financial burden for news broadcasters, how it will push us towards bankruptcy, how it will stop us from being able to create quality content and how it will, in fact, stop us from growing. If the government is interested in inclusive growth, news broadcasters play a very valuable role in this industry and in this nation. And our financial concerns should be addressed in some manner both by TRAI and the government.
Do you think the sunset date of June 30 is achievable?
Everything is achievable if the intent is there. There may be some practical concerns but let’s be realistic, while the policy is being presented now, we knew for 6 to 7 months that it was going to happen and I’m not sure if MSOs and LCOs spent adequate amounts of money, time and effort on preparing for this day, which they knew was coming. Now they are saying, this day has come and we need more time. We have seen consistent attempts to delay digitization, and I think we should have very little patience with more delays.
Pulak Bagchi, VP, Star India
What’s your first response to the Tariff Order?
It’s a step towards the right direction and I think it will be path breaking in terms of the reforms it triggers in the cable space.
What’s your view on the concerns being raised by news broadcasters over carriage fee?
Carriage is a phenomenon which is certainly not new – it’s been around since the inception of the industry. What TRAI has done is only put a method into the madness, which should be commended. Earlier, there was no transparency in the payments that were being made, now atleast you’ll be having a foothold into the figures. You’ll also be able to determine whether they are reasonable or not. TRAI has also said that they will be intervening in cases of arbitrary levels. So there’s really no cause for concern. I think we should not be pressing the panic button; it has taken so many years for the government and the regulator to come up with these formulations. It’s important that we live up to the mandate and we must also give regard to the expectations of the people of this country. Given that digitization is a reality today, the sooner we embrace it, the better.
Do you think the sunset date of June 30 is achievable?
It is, because it’s targeted towards four major cities where it’s not an alien concept. Perhaps there will be some incremental approaches that will be taken in those respective areas and I’m sure that the deadline could be met. There’s no difficulty in abiding by the timelines.
Are there any marketing initiatives or consumer awareness campaigns that you are undertaking in the run up to digitization?
Star and IBF have made it mandatory for all members to spread awareness in their respective channels. We are carrying out marketing campaigns, we are also doing citizen focused awareness programmes where people can be brought up to speed with what digitization is all about. And we are also trying to infuse in the public sensibilities as to why it is good for them.
Roop Sharma, President, Cable Operators Federation of India (COFI)
What’s your first response to the Tariff Order?
It’s very bad from LCO’s perspective. Since there is a vertical monopoly and no cross media holding, none of the MSOs will be negotiating with the cable operator and if they don’t negotiate with the cable operator, the latter will end up taking only a Rs45 share, with which the business becomes unviable and the LCO will be unable to give better quality service to the consumer. Even the set top boxes, which are going to be put, are of vanilla quality, they are very primitive boxes. Consumer will not be able to get internet, broadband or other services on the same box. Cable operator has to spend so much money in upgrading and the government has just mandated a technology. We are even ready to upgrade, but we must get a proper share. The regulator wants to be the controller of the business. As a result, lot of cable operators will be forced to sell off their network or the network will die its own death. There will be a lot of unemployment generated in the market.
Do you think the sunset date of June 30 is achievable?
No, the timeline is very short. First is the procurement of boxes – in Chennai none of the MSOs have given any orders for boxes. Even in Kolkata, we are hearing that the state government was not consulted.
By Ranjona Banerji
By A Correspondent
By A Correspondent
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