Long overdue wake-up call: Nisha Narayanan flags deepening FM radio crisis

Narayanan noted that despite reform recommendations made by the Telecom Regulatory Authority of India nearly eight months ago, implementation has remained elusive

by e4m Staff
Published: May 22, 2026 6:56 PM | 2 min read

HT Media Group's surrender of multiple Radio Nasha frequencies has raised alarms about the ongoing crisis in India's private FM radio industry, prompting calls for urgent policy reforms.
Nisha Narayanan of Red FM described the situation as a "wake-up call" for policymakers, noting a trend of declining viability in the sector, which has seen other companies like TV Today Network and BIG FM exit the market.
Despite recommendations from the Telecom Regulatory Authority of India for reforms, implementation has been slow, with key industry demands including a revised AGR model, reduced GST rates, and activation of FM receivers on smartphones.
Narayanan emphasized the importance of radio as an accessible medium for millions, urging for a fair regulatory environment to ensure its survival amid competition from global streaming platforms.

With HT Media Group recently surrendering multiple Radio Nasha frequencies across markets, concerns over the deepening crisis in India’s private FM radio industry have resurfaced sharply, prompting renewed calls for urgent policy reforms from industry leaders.

Reacting to the development, Nisha Narayanan of Red FM, in a LinkedIn post, said the development should serve as a “long due wake-up call” for the government and policymakers, warning that the sector is witnessing a steady erosion of viability.

According to Narayanan, the latest development is not an isolated case but part of a broader pattern that has unfolded over the past few years. The industry has already seen TV Today Network exit the radio business, insolvency proceedings at BIG FM, and Red FM surrendering Magic FM in Mumbai earlier this year.

“Station by station, the medium is being hollowed out,” she said in the post.

Narayanan noted that despite reform recommendations made by the Telecom Regulatory Authority of India nearly eight months ago, implementation has remained elusive. She recalled previously stating that “what truly matters is timely implementation,” adding that several favourable policy suggestions for radio have historically failed to translate into action.

Among the key industry demands are a 4% adjusted gross revenue (AGR) model for Phase III licence extensions beyond 2030 without fresh auctions, reduction in GST from 18% to 5%, mandatory activation of FM receivers on smartphones, and permission for regulated news and current affairs programming on private FM stations.

Narayanan highlighted that nearly 90% of FM consumption now takes place via smartphones, yet many devices continue to ship with FM receivers deactivated, forcing users to consume audio through paid data services instead.

She also questioned why traditional radio continues to struggle even as global streaming platforms scale rapidly in India, despite the government’s emphasis on domestic growth and Make in India initiatives.

Calling radio “the common man’s medium,” Narayan said the platform continues to reach millions across cities, towns and rural regions in local languages, while also remaining central to flagship outreach initiatives such as Mann Ki Baat.

“Radio has never asked for sympathy. Only a fair ground to play on,” she said, adding that the industry is now waiting to see whether reforms arrive before “the last frequencies go silent.”