Distribution Platform Operators (DPOs), such as Tata Sky and Dish TV, are reportedly planning to approach the Ministry of Information and Broadcasting (MIB) to seek intervention against over-the-top (OTT) platforms streaming live TV channels. This move is seen as a protective measure amid growing concerns that the rise of OTT platforms threatens traditional pay-TV services.
Digitisation has already been a significant challenge for traditional DPOs, with further concerns that allowing OTT platforms to stream live TV could diminish the relevance of Direct-to-Home (DTH) services. This issue comes into focus as the DTH sector has witnessed a sharp decline in subscriber numbers, with 7.6 million subscribers lost in the last three years, according to a report from Storyboard18.
The latest data from TRAI highlights the industry’s struggle. As of March 31, 2024, the net active subscriber base for Pay DTH had dropped to 61.97 million, down from 65.25 million the previous year. The market is dominated by four key players: Tata Play, with a 32.53 percent market share; Airtel, controlling 28.45 percent; Dish TV India, with 20.46 percent; and Sun Direct, at 18.57 percent.
Despite major events like the ICC Men’s Cricket World Cup 2023, which garnered 518 million TV viewers, pay DTH operators lost 0.66 million subscribers during the October–November festive quarter of 2023. By the end of December 31, 2023, the combined subscriber base of the four private DTH operators further declined to 63.52 million, compared to 64.18 million in the previous quarter.
The ongoing shift to digital and OTT platforms poses a long-term challenge for traditional DTH services. If the MIB does not step in, the ability of OTTs to stream live channels could hasten the decline of DTH subscriptions, raising concerns over the future of these platforms in an increasingly digital media landscape.