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Andrew Bonwick
Vice President of Product Development at Relm Insurance
Madhav Sheth
CEO of Ai+ Smartphone
Stephen Rose
CEO Render Networks
In a new turn of events, Calcutta High Court has said that it will be pondering over the allegations made by the cable operators regarding the new Trai tariff order. The allegations state that the new tariff order passes the ownership of the customers from cable operators to the feed providers. The court will also decide whether it will lift the stay on the implementation of Trai’s new TV channel regulations after it has made sure that the cable operators genuinely have a right along with the means and resources to negotiate with the feed providers. After cable operators made these allegations, the Calcutta High Court came to this conclusion.
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Cable Operators Argue Against the Just Nature of Trai Tariff Model
As Ultra News has highlighted, the feed providers were a much later evolution in India, thus meaning that the customers conventionally belonged to the cable operators and not to the feed providers. Feed providers came into the cable distribution scene much later, when thousands of cable operators strung cables from one location to other. The cable operators concluded that instead of each cable operator having a separate ‘head-end’ it would be a much more pragmatic decision to have a centralised facility that collects the TV signal from several dish antennas. The cable operators then decided to borrow the signal from one such player who was solely dedicated to providing signals to these cable operators. Following this, the COs started dismantling their head-ends and began sourcing their signals from “Multi System Operators” (MSOs).
As per the association’s words, the new rule mandates that now the bill will be made in the name of MSOs instead of the cable operators thus indicating that the customers will now be under these MSOs, not the cable operator. Currently, the cable operators have the right to go ahead and sign an agreement with a different MSO or even set up their own head-end. In response to this, Calcutta High Court in its order said, “Referring to Schedule VI [the advocate for the cable operators] points out, the agreement will provide for billing of subscribers to be in the name of Multi System Operators (MSO). MSO will receive payment of subscriptions paid by subscribers. Revenue share per clause 12.1 of the agreement shall be paid by MSO to local cable operator (LCO) on receipt of an invoice from LCO.”
