Top Story

e4m_logo.png

Home >> Media - TV >> Article

TRAI's first tranche of tariff hike for analog areas comes into effect

02-April-2014
Font Size   16
Share
TRAI's first tranche of tariff hike for analog areas comes into effect

In a major boost to broadcasters, the Telecom Regulatory Authority of India (TRAI) has announced a 27.5 per cent inflation-linked tariff hike for analog cable areas. The hike, which comes after a gap of almost five years, will be implemented in two instalments – while the first installment of 15 per cent came into effect from April 1, 2014, the second installment of 12.5 per cent will be effective from January 1, 2015.

With this hike, consumer ARPU should increase and accordingly contracts signed on Reference Interconnect Offer (RIO) basis should see a surge.

It will also lend higher bargaining power to broadcasters when fixed fee deals come up for negotiations. Though this order is only for analog areas, DTH as well as DAS area deals are also expected to be revised upwards.

Since MSOs and DTH operators will have to shell out higher content fees to broadcasters, ZEE, Sun TV and TV18 Broadcast are expected to be the biggest beneficiaries in the listed space.

The last time that TRAI had allowed a tariff hike (7 per cent) was in 2009.

Broadcasters are viewing the current hike as a step towards eventual de-freezing of TV tariffs and expect DTH companies to initiate ARPU hikes, followed by MSOs.

Siddharth Kumar Tewary, Founder, Chief Creative, One Life Studios and Swastik Productions, on owning the IP on his most ambitious project 'Porus,' the risk of recovering its cost and his distribution strategy

Webscale plans to build the brand around smooth operations for the e-commerce sector and then move on to demand generation

Shriya Ghate, Business Head, Tinkle, spills the beans on the company's vision for its special line of merchandise launched to celebrate its 37th anniversary, its pricing, marketing strategies, and more

Vivek Patni, Director of Wonder Cement, on the current marketing strategies and challenges that brand owners face

Luis Fonsi, Rita Ora, Jain of Makeba fame , Dimitri Vegas, Jason Derulo, Charly Black and Dasu, J Balvin, Parineeti Chopra, Tiger & Jackie Shroff speak exclusively to the radio channel

The Film-Maker, as the host of ‘Calling Karan’, Will Be Just A Phone Call Away From Listeners Seeking Advice On Love & Relationship

The group aims to double its FMCG turnover to Rs. 1,000 crore over four years.