OTTs VS Cable Operators: The Battle For Control Is One-Sided

The Telecom Regulatory Authority of India (TRAI) is facing demands from cable operators to regulate over-the-top (OTT) platforms and ensure a fair competitive landscape. Traditional cable operators are feeling the impact of OTT services and are seeking measures to protect their interests.

TRAI, however, is proceeding cautiously in making a decision. Chairman P.D. Vaghela has stressed the importance of pricing forbearance. The regulatory authority is currently conducting a study on licensing OTT content and is expected to publish a consultation paper on the subject.

There are experts who argue that TRAI’s jurisdiction is limited to regulating tariffs and not content. TRAI is examining the matter based on representations received from service providers, including local cable operators. Bhardwaj, an advisor at TRAI, has confirmed that a consultation paper addressing the implications of free channel availability on DD Free Dish will be released, and the issue of OTTs will be addressed based on input from stakeholders.

In January, the Ideal Cable Operators Association and the Fibernet Operators Federation sent letters urging TRAI to regulate OTTs and implement license fees for such services.

It’s worth noting that the regulation of content falls under the purview of the information and broadcasting ministry, rather than TRAI.

A senior executive from a streaming platform has argued that distribution platforms should not be concerned if broadcast networks choose to stream their content online. The primary concern lies with general entertainment channels, as news content primarily attracts viewers on platforms like YouTube and Facebook.

The potential solution to this situation seems to be the adoption of hybrid boxes that offer both linear television channels and streaming platforms, providing a comprehensive viewing experience for users. But amidst all these, the battle seems one sided, favouring streaming platforms. And it is true from both market and regulatory perspectives.