The Direct-to-Home (DTH) sector's growth has been on a declining trend for several years now. This is because it isn't the only form of entertainment available to customers anymore. If you want to watch something, it's better to have a subscription to an OTT (over-the-top) platform so that you can watch movies or TV shows on-demand rather than a TV where everything is scheduled, not for your taste, but for the interests of the service provider to make most revenues from ads. Since data is so cheap, it is a no-brainer that people don't want to spend most of their time sitting in front of a TV screen.
Read More - d2h Android Box Coming for Rs 2199, Check Features
The decline in the subscriber base has definitely affected the revenues of all the DTH service providers. Thus, they might be looking to sell more add-on services to existing clients to make more revenue. But one more way that they can make money is to make the services slightly more expensive. The Telecom Regulatory Authority of India (TRAI) will have a key decision to make in the coming days and months.
Read More - Airtel DTH Connections are Super Cheap Right Now
The decision will be around the NCF (network capacity fee) cost. You have to pay an NCF fee to keep your subscription active. If you are purchasing a channel pack with up to 200 SD (standard definition) channels, then the NCF cost for you will be Rs 130 + taxes. But if the channel count goes above 200, then you will have to pay Rs 160 + taxes. The DTH companies have asked the regulatory body to increase the NCF charges given the inflation in the Indian economy.
But will the TRAI do that is the question. The DTH operators are likely not worried about losing a few more customers because of rising costs. But they will be happy to earn more and improve returns from the customers they have under their portfolio.
