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Economic Times
a day ago
- Business
- Economic Times
DTH companies may get licence fee relief
Mumbai: The ministry of information and broadcasting (MIB) is reviewing the licence fee structure for direct-to-home (DTH) services as lobbying by operators intensifies amid rising subscriber churn and falling revenues, people aware of the development told ET. The ministry is in the process of preparing a Cabinet note that could lead to a significant reduction in the fee charged to private DTH operators, namely Tata Play, Airtel Digital TV, Dish TV and Sun Direct, the people cited earlier said, adding that any proposal to reduce licence fee will also require approval from the finance ministry, as it involves revenue considerations. Following the inter-ministerial consultation, the proposal will require the Union Cabinet's approval for implementation. DTH providers pay 8% of their adjusted gross revenue (AGR) as licence fee. Industry players argue that this cost has become increasingly difficult to bear, as more consumers migrate to OTT streaming services and the free-to-air DD Free Dish officials confirmed that deliberations are underway and indicated that a decision is likely, though they did not specify a possible revision follows repeated recommendations from the Telecom Regulatory Authority of India (Trai), which has urged the ministry to reduce the fee to 3% in FY26 and abolish it entirely by the end of FY27. Trai argues that DTH platforms should be treated on par with other distribution services, whether regulated or not, such as cable TV, DD Free Dish and OTT platforms, none of which pay a licence fee."The DTH sector is under considerable financial strain, and we urge the government to implement Trai's recommendations without delay," said Dish TV CEO Manoj Dobhal. "Regulatory relief is essential for our viability, especially as consumer behaviour shifts and revenues decline."India's active pay-TV DTH subscriber base has dropped from 70.26 million in 2020 to 56.92 million in 2025, a loss of over 13 million subscribers in five years, according to Trai's Performance Indicators FY24, the combined revenue of the four private DTH operators stood at ₹10,230 crore, down 5% from the previous year. Meanwhile, the IB ministry has issued demand notices worth over Rs16,000 crore to these companies for unpaid licence fees, a figure that exceeds the sector's total annual ministry's licence fee collection from DTH has plunged from ₹1,581 crore in FY22 to ₹648 crore in FY25, a decline of nearly 59%, highlighting the sector's worsening financial operators have previously petitioned the government to eliminate the licence fee altogether. They argue that their platforms should be treated on par with other TV distribution systems such as cable and IPTV, which are not subject to similar levies.
Time of India
a day ago
- Business
- Time of India
DTH companies may get licence fee relief
Mumbai: The ministry of information and broadcasting (MIB) is reviewing the licence fee structure for direct-to-home (DTH) services as lobbying by operators intensifies amid rising subscriber churn and falling revenues, people aware of the development told ET. The ministry is in the process of preparing a Cabinet note that could lead to a significant reduction in the fee charged to private DTH operators, namely Tata Play, Airtel Digital TV, Dish TV and Sun Direct, the people cited earlier said, adding that any proposal to reduce licence fee will also require approval from the finance ministry, as it involves revenue considerations. Following the inter-ministerial consultation, the proposal will require the Union Cabinet's approval for implementation. Explore courses from Top Institutes in Please select course: Select a Course Category Digital Marketing Data Science Design Thinking Healthcare MCA PGDM Public Policy Cybersecurity Management healthcare MBA Project Management Data Analytics Degree Finance Product Management Operations Management Leadership Others Technology Data Science others Artificial Intelligence CXO Skills you'll gain: Digital Marketing Strategies Customer Journey Mapping Paid Advertising Campaign Management Emerging Technologies in Digital Marketing Duration: 12 Weeks Indian School of Business Digital Marketing and Analytics Starts on May 14, 2024 Get Details Skills you'll gain: Digital Marketing Strategy Search Engine Optimization (SEO) & Content Marketing Social Media Marketing & Advertising Data Analytics & Measurement Duration: 24 Weeks Indian School of Business Professional Certificate Programme in Digital Marketing Starts on Jun 26, 2024 Get Details DTH providers pay 8% of their adjusted gross revenue (AGR) as licence fee. Industry players argue that this cost has become increasingly difficult to bear, as more consumers migrate to OTT streaming services and the free-to-air DD Free Dish platform. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 15 most beautiful women in the world Undo Government officials confirmed that deliberations are underway and indicated that a decision is likely, though they did not specify a timeline. The possible revision follows repeated recommendations from the Telecom Regulatory Authority of India (Trai), which has urged the ministry to reduce the fee to 3% in FY26 and abolish it entirely by the end of FY27. Live Events Trai argues that DTH platforms should be treated on par with other distribution services, whether regulated or not, such as cable TV, DD Free Dish and OTT platforms, none of which pay a licence fee. "The DTH sector is under considerable financial strain, and we urge the government to implement Trai's recommendations without delay," said Dish TV CEO Manoj Dobhal. "Regulatory relief is essential for our viability, especially as consumer behaviour shifts and revenues decline." India's active pay-TV DTH subscriber base has dropped from 70.26 million in 2020 to 56.92 million in 2025, a loss of over 13 million subscribers in five years, according to Trai's Performance Indicators Reports. In FY24, the combined revenue of the four private DTH operators stood at ₹10,230 crore, down 5% from the previous year. Meanwhile, the IB ministry has issued demand notices worth over Rs16,000 crore to these companies for unpaid licence fees, a figure that exceeds the sector's total annual revenue. The ministry's licence fee collection from DTH has plunged from ₹1,581 crore in FY22 to ₹648 crore in FY25, a decline of nearly 59%, highlighting the sector's worsening financial position. DTH operators have previously petitioned the government to eliminate the licence fee altogether. They argue that their platforms should be treated on par with other TV distribution systems such as cable and IPTV, which are not subject to similar levies.
Time of India
28-06-2025
- Business
- Time of India
Trump wants EchoStar, FCC to reach 'amicable' deal over wireless licenses, company says
By David Shepardson WASHINGTON: President Donald Trump prodded Dish TV parent EchoStar Corp and Federal Communications Commission Chair Brendan Carr earlier this month to reach an amicable deal over the fate of the company's wireless spectrum licenses, the company said in a filing on Friday. In May, the FCC told EchoStar it was investigating the company's compliance obligations to provide 5G service in the United States, questioning EchoStar's buildout extension and mobile-satellite service. Bloomberg News first reported that Trump met on June 12 with EchoStar Chair Charlie Ergen and later called Carr to take part in the meeting. EchoStar has been trying to shield its cache of wireless spectrum licenses from the threat of revocation by the FCC. The White House did not immediately respond to a Reuters request for comment on Friday and had previously declined to confirm the meeting took place. Carr did not immediately comment on the report on Friday but at a monthly FCC press conference on Thursday he told reporters, regarding EchoStar, that the "status quo needs to change" and added there was a "narrow window of opportunity here." EchoStar said in a filing on Friday that Trump "encouraged the parties involved to reach an amicable resolution." Ergen told Carr this month any reconsideration of the construction deadline extensions or revision to the 2 GHz band's sharing rules "would threaten the viability of EchoStar's current operations and future plans." U.S. satellite TV provider DirecTV terminated its agreement to acquire EchoStar's satellite television business last year, which includes rival Dish TV, over a failed debt-exchange offer. EchoStar said the FCC review was "harming EchoStar's ongoing deployment and threaten its viability as a wireless provider as well as endanger the video and broadband satellite services upon which millions of consumers rely." EchoStar previously disclosed that it missed roughly $500 million in interest payments, citing uncertainty around the ongoing FCC review but said on Friday that based on current discussions with the commission it was making interest payments to "further extend the timeline for EchoStar to explore an acceptable resolution of the FCC's stated concerns." EchoStar said on Friday that it was forgoing some other interest payments, citing uncertainty around the FCC review.
Time of India
27-06-2025
- Business
- Time of India
Tata Play FY25 loss widens to Rs 529 cr; revenue slides to Rs 4,082 cr
Tata Play, formerly known as Tata Sky , has reported widening of consolidated loss to Rs 529.43 crore for FY25, as it competes with other DTH operators including DishTV, Airtel Digital TV, and DD Free Dish. The company had incurred a net loss of Rs 353.88 crore in FY24. Revenue from operations declined 5.15 per cent to Rs 4,082.5 crore in FY25. Reasons for the company's widening loss could not be immediately known. Total income, which includes other income, was also down 5.03 per cent to Rs 4,109.3 crore in last financial year, according to financial data accessed by business intelligence platform Tofler. Tata Play's advertising promotional expenses were down 29.2 per cent to Rs 124.28 crore in FY25, as against Rs 175.54 crore a year before. Total expenses were 3 per cent lower at Rs 4,619.22 crore. However, the company reduced its net debt to Rs 3,445.60 crore in FY25 from Rs 4,010.21 crore a year ago. As of March 31, 2025, Tata Sons is the largest shareholder in the company with 60 per cent shares. A year ago, it had acquired 10 per cent stake in Tata Play from Baytree Investments (Mauritius) Pte Ltd, an affiliate of Singapore's Temasek Holdings, in a USD 100 million deal. After Tata Sons, Network Digital Distribution Services FZ - LLC (NDDS) and TS Investments Ltd are the company's second biggest shareholders, owning 20 per cent shares each. Currently, Tata Sons and TS Investments are the two promoters of Tata Play. The direct-to-home service provider competes with DishTV, Airtel Digital TV, and DD Free Dish, owned by public broadcaster Prasar Bharati. Earlier, telecom services provider Bharti Airtel and the Tata group were in discussions for the merger of their loss-making Direct DTH business. However, on May 3, Bharti Airtel informed that discussions for a merger have been terminated because the two sides were not able to find a satisfactory resolution. Tata Play had also tried to get listed. It had received the nod from capital market regulator Sebi to raise funds through initial public offering (IPOs). However, it was delayed due to "certain observations" from Ministry of Information & Broadcasting (MIB). MIB had asked for a change in the equity structure of the company in a letter to Tata Play on October 7, 2022.
Mint
25-06-2025
- Business
- Mint
Tata Play FY25 loss widens to ₹529 cr; revenue slides to ₹4,082 cr
New Delhi, Jun 25 (PTI) Tata Play, formerly known as Tata Sky, has reported widening of consolidated loss to ₹ 529.43 crore for FY25, as it competes with other DTH operators including DishTV, Airtel Digital TV, and DD Free Dish. The company had incurred a net loss of ₹ 353.88 crore in FY24. Revenue from operations declined 5.15 per cent to ₹ 4,082.5 crore in FY25. Reasons for the company's widening loss could not be immediately known. Total income, which includes other income, was also down 5.03 per cent to ₹ 4,109.3 crore in last financial year, according to financial data accessed by business intelligence platform Tofler. Tata Play's advertising promotional expenses were down 29.2 per cent to ₹ 124.28 crore in FY25, as against ₹ 175.54 crore a year before. Total expenses were 3 per cent lower at ₹ 4,619.22 crore. However, the company reduced its net debt to ₹ 3,445.60 crore in FY25 from ₹ 4,010.21 crore a year ago. As of March 31, 2025, Tata Sons is the largest shareholder in the company with 60 per cent shares. A year ago, it had acquired 10 per cent stake in Tata Play from Baytree Investments (Mauritius) Pte Ltd, an affiliate of Singapore's Temasek Holdings, in a USD 100 million deal. After Tata Sons, Network Digital Distribution Services FZ – LLC (NDDS) and TS Investments Ltd are the company's second biggest shareholders, owning 20 per cent shares each. Currently, Tata Sons and TS Investments are the two promoters of Tata Play. The direct-to-home service provider competes with DishTV, Airtel Digital TV, and DD Free Dish, owned by public broadcaster Prasar Bharati. Earlier, telecom services provider Bharti Airtel and the Tata group were in discussions for the merger of their loss-making Direct DTH business. However, on May 3, Bharti Airtel informed that discussions for a merger have been terminated because the two sides were not able to find a satisfactory resolution. Tata Play had also tried to get listed. It had received the nod from capital market regulator Sebi to raise funds through initial public offering (IPOs).
