Competition may drive broadcasters and distributors to resort to legal action

As traditional TV faces competition from digital platforms and the pay-TV business stagnates, the overall subscription revenue pool is shrinking, and broadcasters and distributors are becoming aggressive.

The latest is that Tata Play has begun removing Sony Pictures Network India channels from its packages. It has started de-packaging SPNI channels from its curated packs, removing less-watched channels and reducing monthly charges accordingly.

SPNI has refuted declining viewership, alleging that this is a retaliatory action in response to its request to audit Tata Play’s subscriber management system, where discrepancies have been identified.

Sony is exploring legal options, arguing that the two companies renewed their contract in the first quarter of this year and Tata Play did not inform SPNI of shedding its channels in this ad hoc manner.
BCS Bureau