Inflation is affecting TV subscriptions, meaning you will soon need to spend more to watch TV. Major broadcasters like Disney Star, Viacom18, Zee Entertainment, and Sony Pictures Networks have increased their rates. As a result, TV subscription costs may go up by 5 to 8 percent.
The Telecom Regulatory Authority of India (TRAI) had previously requested a delay in rate hikes until after the Lok Sabha elections. With the elections now complete, these rate increases could happen at any time.
TRAI’s Role in Delaying Rate Increases
TRAI had instructed broadcasting companies to wait until the Lok Sabha elections were over before implementing new rates.
All broadcasting companies asked Distribution Platform Operators (DPOs) to sign new agreements.
TRAI then directed broadcasters not to cut off signals for those who hadn’t signed until after the elections. Now, with the elections finished, TRAI can give the go-ahead for the rate increases.
Previous Rate Hikes and Future Pressure
In January, major broadcasters increased their channel bouquet rates by up to 10 percent, with Viacom18 leading with a 25 percent hike.
This increase was mainly due to the growing market share of cricket rights and entertainment channels, and the new rates were implemented in February.
With the Lok Sabha elections concluding on June 1 and the results announced on June 4, broadcasters are expected to pressure DPOs to raise rates.
Airtel Digital TV has already increased its rates, and other DPOs are likely to follow suit, passing the increased costs onto consumers.