Streaming enjoys flexibility, TV battles regulation-innovation balance, says Trai chief

Broadcasting- a balancing act.

Television broadcasting is walking a tightrope, balancing regulatory oversight with and innovation, a bigger challenge than in the streaming space, Telecom Regulatory Authority of India (TRAI) chairman Anil Kumar Lahoti has said.

Unlike over the top (OTT) platforms where content is directly delivered to consumers, linear broadcasting involves multiple players across the distribution chain, Lahoti said at FICCI Frames on October 7. The two-day event, which is celebrating its silver jubilee, is one of the biggest in the media and entertainment calendar.

"This multi-layered ecosystem presents challenges in ensuring fair and non-discriminatory access for all players, irrespective of size or geography," he said. The challenge is to strike the right balance between innovation and regulation, ensuring the ecosystem remains competitive, inclusive and responsive to emerging technologies and audience needs.

Talking about the growth in the broadcast sector, Lahoti said the media and entertainment sector is estimated to have contributed around Rs 2.5 lakh crore to the economy in 2024. It is projected to grow at a compound annual growth rate (CAGR) of 7 percent to cross Rs 3 lakh crore by 2027. Within this, the television and broadcasting segment generated nearly Rs 68,000 crore in revenue in 2024.

Over the last 25 year, the broadcasting sector has undergone phenomenal evolution from analogue to digital transmission, from standard definition to high definition, and now towards digital broadcasting that enhances audio and video quality for customized viewing.

The advent of smart TVs has opened up opportunities for internet-based transmission, multiplying consumer choices manifold, the Trai chief said. “While the size of TV screens in homes has grown to 45–50 inches and beyond, developments in smartphone technology along with 4G and 5G broadband have opened new frontiers for the media and entertainment industry," he said.

Mobile OTT users have crossed the 600 million mark, accounting for around 41 percent of the country’s population. "Despite this, linear TV continues to remain an important medium for home entertainment, with around 190 million TV households of which 160 million total households have linear TV subscription," Lahoti said.

More than 100 million households still do not own a television set and when they do enter the ecosystem, they are likely to begin with linear viewing.

To meet demands and promote flexibility, Trai carried out extensive amendments to the Cable TV and Broadcasting Regulatory Framework in 2024. These amendments eliminated several restrictive requirements, provided flexibility to adopt market-driven approaches, and simplified compliance to promote ease of doing business, he said.

The regulator also initiated consultations with service providers to address challenges in the sector’s orderly operation.

"Recent Trai recommendations aimed at propelling broadcasting sector growth include an overhaul of the framework for service authorisation under the new Telecommunications Act to simplify and harmonize multiple licensing regimes," the chairman added.

Trai has also proposed a regulatory framework for ground-based broadcasting, allowing transmission mediums other than satellites for sending content from broadcasters to distributors.