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The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has ruled out Telecom Regulatory Authority of India's (TRAI) ban on placement fee and disagreed with TRAI requirement that multi-system operators (MSOs) report the basis of carriage fee charged by them to broadcasters.
The basic premise of TDSAT chairman S B Sinha and member P K Rastogi was that the TRAI provision on placement fees was 'bad in law as the same restriction is not applicable for the DTH operator'.
The Tribunal said placement charges, if any, will depend upon the mutual agreement between individual broadcasters and individual MSOs.
TDSAT has also set aside the requirement prescribed by TRAI that MSOs must carry 500 channels after digitization. It said, "If the market forces play an important and significant role in the matter of carrying capacity of the MSO, the same may not be required to be regulated."
The basic premise of TDSAT chairman S B Sinha and member P K Rastogi was that the TRAI provision on placement fees was 'bad in law as the same restriction is not applicable for the DTH operator'.
The Tribunal said placement charges, if any, will depend upon the mutual agreement between individual broadcasters and individual MSOs.
TDSAT has also set aside the requirement prescribed by TRAI that MSOs must carry 500 channels after digitization. It said, "If the market forces play an important and significant role in the matter of carrying capacity of the MSO, the same may not be required to be regulated."