Tdsat asks Trai to reconsider Neo's pricing in 2 months

NEW DELHI: The Telecom Disputes Settlement Appellate Tribunal (Tdsat) on 3 July finally asked the Telecom Regulatory Authority of India (Trai) to reconsider its order of fixing the bouquet price for the two Neo channels at Rs 37.50, while asking Neo to justify its rates, the highest for any sports channel countrywide.

Neo has been told to supply its justifications to Trai within the next two weeks, and the sector regulator has been asked to consider these justifications, as also the other data available pertaining to other channels before issuing a fresh direction on the price for the channels and the bouquet.


Trai has been asked thereafter to issue a fresh direction fixing the price of these two channels and bouquet of Neo Sports.

While fixing such prices, Trai must give basis on which it has done so, the tribunal said, and the process has to be completed in 60 days.

At the end of the highly attritious case, hearing both parties, the tribunal held that "the manner in which both parties have conducted themselves leaves something to be desired".

The tribunal said that while Neo did not submit its details as to how it fixed the prices of its channels, Trai failed to fix prices of individual channels and also failed to give the basis as to how it arrived at the price of Rs.37.25 for the bouquet.

However, till the fresh direction is issued, the present price fixed by Trai will hold, and Neo will not be able to change this over the next two months.

From the legal point of view, there have been a few important observations that will affect future directions by Trai.

One crucial issue was the Neo challenge that Trai had issued the order under a wrong section of the Cable Television Network Act, that is Section 13.

However, the court observed that Trai had issued the order under its powers to ‘intervene‘ which is derived from Section 11(B), and thus the sector regulator had not functioned under a wrong legal provision.

The court also observed that Trai had issued a Tariff Order u/s 11(1)(b)(ii), (iii), (iv) and 11(2) on 10 October 2004.

This exercise was basically tariff fixation which as per the Act was correctly done in exercise of powers vested in Trai under Section 11(2) of the Act. This is known as the Principal Tariff Order.

Subsequently, Trai issued notification dated 31 July 2006 exercising its powers under the same Sections as in the main tariff order whereby it amended its original tariff order by incorporating additional clause 3B as under :-

The court said: "The principal Tariff Order dated 01.10.2004 was the source for the impugned order and, therefore, the impugned order could not be said to be a fresh exercise of fixation of tariff.

"Moreover, for individual channel the Trai could not be expected to go into the gamut of entire procedure before tariff fixation every time," it added.

Lastly, on the Neo argument that its channels were different even within the genre of sports channels because they were cricket centric, Tdsat said that Neo had destroyed its own argument.

"According to the appellant its channel NEO Sports is totally for cricket while its other channel NEO Sports Plus is a general Sports Channel. The appellant has priced both the channels equally.

"This in our view destroys the argument of the appellant about its channel having a distinct identity.

"The appellant has itself equated the two channels when one of them is totally cricket-centric and the other is not so."

Latest Reads
Livestreaming App SWOO sees momentum in India; Launches Trivia Format in India

SWOO, a leading global livestreaming platform established in Middle East, today announced the launch of its SWOO TRIVIA SHOW ? a celebrity hosted live video streaming game show for Indians. SWOO is a user friendly, engaging and feature-rich live broadcasting app available across Android/ iOS/ Web...

Technology Software Applications
TiVo exits STB business

MUMBAI: TiVo is exiting the manufacturing, sales and distribution of set-top boxes to a yet-undisclosed third party, the company has said.

Technology Hardware Set-top Boxes
IET India IoT Panel joins hands with exhibitions india group for the 3rd edition of IoT india congress

IoT India Congress is India?s Platform of Platforms for the Internet of Things conceptualized by IET India IoT Panel, a think tank constituted by the Institution of Engineering and Technology (IET) India. The 3rd edition of IoT India Congress will be hosted in collaboration with India?s leading...

Technology Software Firmware
Tata Elxsi's Automation suite adopted by pan-European Media and Telecommunications Company

Tata Elxsi, a global design and technology services company, announced the licensing of its integrated test automation and monitoring suite ?FalconEye? to a pan-European media and telecommunications company for OTT automation and improving streaming performance.

Technology Software Firmware
Verimatrix recognized for contributions to latin american Pay-TV market with PRODU award win at NAB Show

LAS VEGAS: Verimatrix, a specialist in securing and enhancing revenue for network-connected devices and services, has received the PRODU Award for Best Pay-TV Technology Contribution on behalf of its MultiRights? OTT solution. MultiRights helps service providers effectively navigate the modern OTT...

Technology Software Firmware
Amagi debuts machine-learning powered content-preparation suite

Amagi, a cloud-based technology provider for media processing, has launched Tornado, a machine learning-based content preparation service that enables TV networks and content owners to scale their operations and accelerate broadcast workflows.

Technology Hardware Components
Sharp and TiVo extend interactive program guide deal to power content Discovery across entertainment devices

MUMBAI: TiVo Corporation (NASDAQ: TIVO), a global leader in entertainment technology and audience insights, today announced that Sharp Corporation will further utilize TiVo?s G-Guide HTML across Sharp 4K smart TVs and Ultra HD Blu-ray recorders in Japan, TiVo?s G-Guide xD app and remote schedule...

Technology Hardware Components
HARMAN announces Priyanka Chopra as global brand ambassador

HARMAN International, a wholly-owned subsidiary of Samsung Electronics Co., Ltd. focused on connected technologies for automotive, consumer and enterprise markets, today announced that actress, singer, producer and philanthropist Priyanka Chopra has been named a global brand ambassador for the...

Technology Hardware Components
Etere HSM expands interoperability with Grass Valley

Etere HSM features an integration with Grass Valley that improves interoperability, streamlines connectivity, enables faster content processing and includes deep archive capabilities. Etere introduces a new integration layer between Etere Hierarchical Storage Management (HSM) and Grass Valley...

Technology Hardware Components

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories