Do not abolish DTH license fee, says Jio

Reliance Jio with an aim to keep a level ground for all the services, Mukesh Ambani owned Reliance Jio has reportedly suggested to not abolish the licence fee levy on direct-to-home (DTH) operators. The company believes that it will be a loss to national exchequer and give DTH an unfair advantage over cable TV. Reliance Jio shared its suggestions in submission to the Telecom Regulatory Authority of India’s (TRAI’s) pre-consultation paper for the formulation of National Broadcasting Policy (NBP).

For those who don’t know, TRAI has recommended the Ministry of Information and Broadcasting (MIB) to abolish licence fee for DTH operators till end of FY2027. TRAI believes that it will help in long-term sustainability of the sector. Disagreeing with TRAI’s recommendation, Reliance Jio said that DTH has a competitive edge as it uses spectrum to broadcast, while cable TV needs investment in ground-based networks.

It is worth noting that Mukesh Ambani owns a significant stake in popular cable TV companies such as Hathway Cable and Datacom, DEN Networks, and GTPL Hathway. As per Economic Times, Mukesh Ambani’s Jio has reiterated that spectrum for DTH services should be offered through auction process as it ensures transparency and fair allocation. It also safeguards national exchequer revenues and promotes diverse tech. It also stated that policymakers should allow the deployment of spectrum bands used for TV channel broadcasting services for communication services. DNA India