DTH operators get TRAI nod to pick and choose channels

Regulator wants broadcasters to speed up interconnection
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New rules
Broadcasters interconnect offer in 3 months
There are only 3.2 m subscribers of pay DTH
Broadcasters to offer all channels on a la carte basis

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Our Bureau
New Delhi, Sept.3 In a bid to boost the uptake of direct-to-home (DTH) services in the country, the TRAI has made it mandatory for broadcasters to offer interconnection to DTH operators within a stipulated period of time.
The TRAI has also allowed DTH operators to pick and choose channels they want to offer from the bouquet offered by the broadcasters.
The TRAI has asked all broadcasters to publish a reference interconnect offer within three months.
If a DTH operator makes a request to a broadcaster to enter into an interconnection agreement based on the reference offer, then the broadcaster will have to comply within 45 days.
In case of any DTH operator and broadcaster not agreeing on the terms of the interconnection, the TRAI will intervene and facilitate an agreement.
This is similar to the interconnection agreement in the telecom sector.
The reference interconnect offer will contain rates of channels, payment terms, discount rates, tenure of agreement and security and anti-piracy requirements.
“One of the reasons for the delay in rolling out DTH services was the difficulty faced by the broadcasters and the DTH operators in concluding their interconnection agreements on time, and the issue in two such cases had to be resolved by the Telecom Disputes Settlement and Appellate Tribunal,” said the TRAI, justifying its regulation.
“This not only affected the growth of the sector, it also hampered competition because DTH at present is the only effective alternative to cable TV.”
There are only about 3.2 million subscribers of pay DTH services compared to nearly 70 million subscribers for cable TV.
The regulation will come into effect from December 1.
The TRAI has also instructed all broadcasters to compulsorily offer all their channels on a la carte basis to DTH operators.
“Additionally, they may also offer bouquets, but they will not compel any DTH operator to include the entire bouquet in any package being offered by DTH operators to their subscribers,” the regulator said.
DTH operators had been protesting against broadcasters who were forcing them to take less popular channels along with the popular ones in a bouquet.

http://www.thehindubusinessline.com/2007/09/04/stories/2007090452060100.htm

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