Over 500k cable TV jobs lost in India as OTT eats into market: Report

Business Standard

10-06-2025

The cable television industry in India experienced a sharp contraction over the past seven years, with an estimated 577,000 jobs lost between 2018 and 2025. The downturn coincides with a steady decline in subscriber numbers, driven by changing consumer habits and intensified digital disruption. These insights were released by the State of Cable TV Distribution in India report on Monday, published jointly by the All India Digital Cable Federation (AIDCF) and EY India.
According to the report, pay-TV households fell from 151 million in 2018 to 111 million in 2024, with projections suggesting this number could decline to between 71 million and 81 million by 2030. This 40 million drop in subscriptions was attributed to rising channel prices, increased competition from OTT platforms, and the growing popularity of free-to-air options such as the government-backed DD Free Dish.
Revenue, Ebitda fall as cable TV operators shut shop
Financially, the sector has also struggled. The combined revenue of four major direct-to-home (DTH) operators and ten leading multi-system operators (MSOs) fell to ₹21,500 crore in FY24 from ₹25,700 crore in FY19, a decline of more than 16 per cent. Over the same period, earnings before interest, taxes, depreciation, and amortisation (Ebitda) dropped 29 per cent to ₹3,100 crore from ₹4,400 crore.
The job losses have hit local cable operators (LCOs) especially hard. Based on responses from over 28,000 LCOs across 34 states and Union Territories, the State of Cable TV Distribution in India report found that their workforce has shrunk by 31 per cent, resulting in nearly 38,000 job losses. On a national level, the number of LCO-related jobs lost is estimated to be between 114,000 and 195,000. Combined with the closure of approximately 900 MSOs and 72,000 LCOs since 2018, the cumulative job loss exceeds 577,000.
Decline in pay-TV households in India
Sector is resilient but need policy support
Despite these challenges, industry leaders are cautiously optimistic. Executives such as Uday Shankar (JioStar), Punit Goenka (Zee Entertainment), and Gaurav Banerjee (Sony Pictures Networks India) argue that linear television continues to be resilient. They cite the 85 to 90 million households still paying for TV services as a sign of untapped potential, especially among DD Free Dish users and homes in media-dark regions.
Ashish Pherwani, partner at EY India, said nearly 100 million homes in India still do not have cable or satellite TV, a gap that could be bridged with low-cost plans and affordable set-top boxes. But in many regions, especially near borders, affordability remains a hurdle. 'This is the first report to truly reflect the realities on the ground,' he said, urging policymakers to treat it as a basis for targeted intervention.
Reforming the industry: Pricing, set-top boxes and more
To address the crisis, the report recommends reforms, including:
Enabling a level playing field across all content distribution platforms — cable TV, DTH, HITS, and IPTV.
Allowing regional pay-TV pricing based on local affordability.
Reactivating over 20 million dormant set-top boxes.
Restricting free or delayed broadcast of pay-TV content on alternative platforms.
Forming a unified front to curb piracy, which costs the media sector over ₹20,000 crore annually.
Cable TV sector: Shrinking base, rising costs
At the ground level, the picture remains stark. Some 93 per cent of LCOs reported a decline in subscribers since 2018, with nearly half noting a drop in monthly income. Over a third said they had lost more than 40 per cent of their subscriber base.
LCOs highlighted several operational hurdles, including their inability to raise customer fees amid rising input costs. The growing migration of viewers to OTT services, DD Free Dish, and smart TVs, along with concerns over the declining quality of television content, has further strained their viability. Additionally, fewer households are now subscribing to multiple TV connections.
As SN Sharma, CEO of DEN Networks and AIDCF President, said, the collapse of small cable operations isn't just a business issue; it has wiped out incomes for thousands of families who depended on them. 'It's not just statistics — these are stories of lost livelihoods and disrupted entrepreneurship,' he said, urging regulators and broadcasters to act before the ecosystem erodes further.