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Time of India
30-05-2025
- Business
- Time of India
DTH cos asked to pay ₹16,000 crore licence fee dues
MUMBAI: The ministry of Information and Broadcasting has issued demand notices totalling ₹16,000 crore to the country's four private direct to home (DTH) operators over outstanding licence fees, industry sources told ET, potentially compounding problems for an industry battling dwindling revenues and subscriber losses to OTT platforms and DD Free demands cover both the principal amount and accrued interest on the dues, said the officials cited above. They said that the operators have communicated to the government that the notices cannot be enforced, as the matter is sub judice in various High Courts, the Telecom Disputes Settlement and Appellate Tribunal (TDSAT), and the Supreme Court. Dish TV CEO Manoj Dobhal acknowledged the pressures facing the sector. "The DTH industry is navigating a difficult phase, with factors such as subscriber churn driven by competition from OTT platforms and DD Free Dish, along with taxation and regulatory issues,' Dobhal said. 'Given these challenges, we would have hoped for a more supportive approach from the authorities." To be sure, the licence fee demand is more than the combined revenue of the four private DTH operators, which stood at ₹10,230 crore in FY24, down 5% from ₹10,837 crore the previous year, as per regulatory filings. In its correspondence, the ministry said the figures are subject to reconciliation based on the outcome of audits by the Comptroller and Auditor General (CAG), as well as pending court decisions. In its Q4 FY25 regulatory filing, Dish TV disclosed that it had received a communication from the ministry dated 22 April 2025, directing the company to pay ₹6,735 crore toward licence fees, including interest, covering the period from the grant of its DTH licence up to FY24. The company added that it has disputed the demand in its response. As of FY24, Tata Play has received a consolidated demand of ₹3,628 crore, including ₹1,401.66 crore in interest. Sun Direct has received a demand of ₹1,051.84 crore (excluding interest) as of March 2024. As of March 2025, Dish TV had made a provision of ₹4,612 crore towards licence fee dues. Tata Play had provisioned approximately ₹2,002 crore and recognised a further ₹2,280 crore as a contingent liability. Bharti Airtel had made provisions of about ₹3,426 crore as of 31 March 2024. Bharti Telemedia, Tata Play and Sun Direct declined to comment on the matter. A senior DTH executive added that the ministry has raised similar demands in the past even when legal disputes remain unresolved. 'DTH operators have repeatedly urged the ministry to exclude pass-through costs, such as content expenses, from the licence fee calculations and to address the issue of double taxation. However, these concerns are yet to be addressed,' the executive said. The DTH industry lost 8 million subscribers between FY21 and FY24. The active pay DTH subscriber base stood at 58.22 million, as of December 2024. The Telecom Regulatory Authority of India (TRAI) has, on two occasions, recommended phasing out the DTH licence fee by the end of FY27. Since 2020, TRAI has issued 17 recommendations aimed at reforming the broadcasting sector. The ministry of information and broadcasting has historically calculated the licence fee as 10% of gross revenue, without deductions. However, in 2020, it amended the DTH guidelines to set the licence fee at 8% of adjusted gross revenue (AGR).
Time of India
30-04-2025
- Business
- Time of India
Indian entertainment sector could unlock $6 billion in unrealised value by 2030: Report
A new report suggests India's entertainment industry has potential for growth. It could unlock $6 billion by 2030. This growth depends on global collaboration and technology. The report highlights the need for strategic changes. It emphasizes content creation and audience alignment. The Content India 2026 event will further explore these findings. The industry aims to become a global entertainment hub. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The Indian entertainment sector could unlock $6 billion in unrealised value by 2030 through international collaboration, technology adoption, and strategic changes in content creation, according to a new industry already one of the world's largest entertainment markets, remains under-leveraged in terms of global revenues, the report said. Despite having 551 million OTT users, India generates just $2.1 billion in revenue—well below its contrast, countries such as South Korea, with smaller or comparable audiences, achieve significantly higher international revenues through content its current trajectory, India's OTT market may reach $5 billion by 2030. Local optimisation could raise this to $9 billion. However, a more ambitious shift in strategy could push the figure beyond $15 billion, the report added. The document is titled 'The Future of the Indian Entertainment Business in Partnership with the World'.The report was released following the Content India Summit, a joint initiative by DishTV and C21Media. The one-day event, held in Mumbai on 1 April, brought together industry leaders to explore avenues for growth, using data supplied by Allied Global Marketing. The findings will also inform the agenda for the three-day Content India 2026 event, scheduled for March next report highlights the need for global partnerships rooted in Indian storytelling, international support for locally produced pilot projects, alignment of production with audience demand, and growth of the creator economy. It also recommends adopting emerging technologies, including artificial intelligence, while producing content that is locally grounded and internationally Dobhal, CEO and Executive Director of DishTV, said the report highlights a pivotal moment for the Indian entertainment industry . 'It is clear that the Indian entertainment business is a force to be reckoned with on the global stage. But it has the opportunity to make an even bigger impact globally by partnering with international players on its own terms. It is also ideally positioned to become a central hub for global production, with unrivalled resources, skills and locations.'David Jenkinson, C21Media founder and report editor, said: 'The world is changing fast. The emerging creator economy, the rise of AI tech, and the opportunity to work together across borders is set to reshape the global entertainment business. As this report shows, India can be at the heart of that. Of course, there are many challenges. But they are all addressable and the upside is significant for all.'The report identifies structural challenges facing the industry. Chief among them is a mismatch between audience preferences and content output. Comedy is the most preferred genre, yet it represents only a small proportion of premium content. Drama, crime, and thrillers dominate production, despite being less aligned with viewer demand. Audiences continue to favour culturally rooted, authentic storytelling, which remains report also notes a misreading of consumption patterns. Although India is often considered a mobile-first market, connected TV usage has risen sharply. Between 2022 and 2024, YouTube 's connected TV viewing quadrupled. Family co-viewing, particularly during mealtimes, is common. Nonetheless, content remains heavily targeted at urban, individual users. YouTube accounts for 92% of online video consumption, driven by short-form, creator-led content that emphasises immediacy and Indian titles such as RRR, Pathaan and Kantara have achieved success both domestically and abroad, the report describes these as exceptions rather than the norm. It calls for a more consistent international strategy, especially as global streamers shift focus from subscriber growth to cost advantage in content production offers another opportunity. A premium Indian series costs between $1 million and $2 million per episode, compared to $5 million to $15 million in the US or UK. With global studios seeking cost-effective production hubs, India can position itself as a viable partner. Wider use of AI and virtual production could further reduce Indian diaspora, estimated at 35 million globally, remains an underutilised audience. To date, content targeting this group has largely relied on nostalgia. Expanding genres to include action, thrillers and science fiction could broaden the appeal and help establish a stronger global its creative and technical capabilities, only a small proportion of Indian studios currently use AI tools, compared with around 75% in the US. Greater adoption could significantly improve efficiency in areas such as post-production and report concludes that India has the scale, talent and cost advantages to become one of the top three global entertainment economies. Realising this potential, however, will depend on timely and strategic execution. The report's findings will serve as a foundation for planning discussions at Content India 2026.
