Andrew Bonwick
Vice President of Product Development at Relm Insurance
Madhav Sheth
CEO of Ai+ Smartphone
Stephen Rose
CEO Render Networks

The Telecom Regulatory Authority of India (Trai) made DTH and Cable TV operators implement the key National Tariff Order 2.0 changes earlier this week. However, the biggest and major change is yet to happen. As you already know, Trai wants to bring transparency with the new amendments as broadcasters were offering heavy discounts on bouquets in the past. In NTO 2.0, a broadcaster or service provider will not be able to include a-la-carte channels priced over Rs 12 in bouquets. This is a major move and the reason behind why the Indian Broadcasting Foundation (IBF) which represents top broadcasters in the country is going against the regulator. Trai wanted the NTO 2.0 to fully become effective by March 1, however, that did not happen due to this ongoing battle.

Some Major GECs Priced at Rs 19 Per Month
The thing that we are referring to is the upper cap on the pricing of the major channels. As per the new rules charted by Trai, if the broadcasters have to package a channel into a channel pack, then that particular channel cannot be priced more than Rs 12. Previously, this limit was set at Rs 19. Inclusive of taxes, the subscribers were paying Rs 23 for the major channels included in the packs. Since Rs 19 was the upper cap allowed for the broadcasters, these channels could not have been priced more than this price limit. As such, all the major channels by the broadcasters had the same Rs 19 price tag.
If we were to pick up major channels from some of the most popular channel packs, for example, in the Star English pack, channels like Star Sports 1, Star Sports Select 1 are priced at Rs 19 and still they are part of the channel packs. Similarly, other popular channels from Viacom18 like Colors and Colors Kannada are priced at Rs 19. But, if the new rules are to be considered, then this cannot be the case going forward.