Television

Budget belies expectations

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/smartcrop_800x800/public/images/tv-images/2016/06/23/indiantelevision_3.jpg?itok=fO9EYOz1

Budget 2000 was as insipid as they come for the television industry. Finance minister Yashwant Sinha did not fulfill the expectations of industry professionals by putting entertainment (read broadcasting) on a par with the infotech business. He cold-shouldered their proposal to allow them to divest just 10% equity like infotech stocks apart from giving them the benefits provided to the infotech sector. The industry will now have to look for succor from the Broadcasting Bill draft which information and broadcasting minister Arun Jaitley is supposed to present to Parliament in March. What Sinha however handed out were sops of a different kind: lowering of customs duties on cinematographic equipment from 40 per cent to 25 per cent and on basic film and jumbo rolls from 50 per cent to 5 per cent. This is expected to buoy both the film and studio businesses.

The increase in the foreign institutional investor limit from 30 per cent to 40 per cent is expected to benefit mostly the infotech and media and entertainment industries as these have emerged as darling stocks of the FIIs in the past six-seven months.

Sinha attempted to give a boost to the infotech business by reducing customs duties on finished computers and even components. He reduced customs duty on microprocessors, memory devices CD Roms, ICs and Display tubes from 15 per cent to 10 per cent. He additonally cut customs duty for computers from 20 to 15 per cent, motherboards 20 to 15 per cent, floppies 20 to 15 per cent.

A negative impost announced that was expected to hurt software companies may not end up hurting them so much after all. The tax burden on them will end up at around 3% thanks to the announcement that 20 per cent export income of all companies would be taxed.

Some attractive dollops were dished out to the Venture capital firms too to encourage them to crop up. Among the measures announced were:

* SEBI to be the nodal agency for venture capital funds to encourage entrepreneurs.
*One time tax of 20% on venture fund investor and undistributed income.
* No approval of venture capital fund by tax authorities.
* Venture Capital Fund income tax free if distributed within the period set by SEBI.

This is expected to give a boost to the Dot com sector as VCs may be encourage to set up operations in India as against the overseas subsidiaries they have set up so far. There were some initiatives on the telecom front: Customs duty on fibre optic cable has been slashed from15 per cent to 5 per cent. This will benefit cable TV companies too and it may encourage them to go in for fibre optics for their trunk lines. Customs duties on cellular phones has been reduced from 25 per cent to 5 per cent. This is expected to encourage the spread of handphones to even lower income classes.

An impost that will likely hurt is the increase in excise on fast moving consumer goods from 8 per cent to 16 per cent. This will lead to a hike in prices of products by the FMCG majors which in turn could affect their performance in an already competitive market. The stock market expects growth to slow down further and their revenues to reduce. This in turn could affect their ad expenditures as advertising is what companies first cut down. This could lead to more cautious spending on television advertising which in turn could affect the performance of certain television companies.

An announcement which could work in the favour of some infotech and media firms is the increase in the ceiling on automatic approval for overseas investment by Indian companies from $15 million to $50 million. One may see them go on an acquisition spree

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/20/bhole.jpg?itok=zJdtYiUV
Sony Yay to launch English audio feeds

MUMBAI: After building a robust content portfolio for their young viewers and becoming the only home-grown kids’ channel in India with five languages – Hindi, Tamil, Telugu, Bengali and Malayalam, Sony Yay is set to add another feather to its cap by soon launching English audio feeds....

Television TV Channels Viewership
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/19/f1.jpg?itok=KyNNqCdg
Formula 1 launches OTT platform with two subscription models

Formula 1 (F1), one of the world's most prized sporting properties, launched its over the top (OTT) service F1 TV last month. The platform comes with two service models - F1 TV Pro (Live) and F1 TV Access (non-live) - at different price points.

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/19/dsport.jpg?itok=3gyfqV4Y
LIVE Coverage of Tour De France on DSPORT this year

LIVE Coverage of Tour De France on DSPORT this year

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/19/top.jpg?itok=GTUQCUJG
Business news most benefited genre in Chrome DM week 24

With a growth of 1.24 per cent as compared to last week (23), the business news genre marked the highest opportunity to see (OTS) among all categories in week 24. Zee Business gained the highest OTS with 84.3 per cent in six metros, according to the data compiled by Chrome Data Analytics and Media...

Television TV Channels Viewership
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/19/Deepak-Rajadhyaksha.jpg?itok=64BctKo6
Zee TV to launch the third season of 'India's Best Dramebaaz'

MUMBAI: Locked in a see-saw battle with Colors for top billing in the Hindi GEC space, Zee TV has made its latest move. The Puneet Goenka-led channel's latest offering to the Indian audiences is season three of 'India's Best Dramebaaz'. Having enjoyed a successful run during the first two seasons...

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/18/india.jpg?itok=v7SMB1PQ
Sony to soon launch Indian Idol season 10

MUMBAI: Indian Idol, one of Sony’s most acclaimed reality shows, is all set to come back on small screen with its tenth installment. Considering that all its previous seasons have done exceedingly well, there are great expectations this year as well. Sony has released its first promo, captioned #...

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/18/ipl.jpg?itok=G15HVAwJ
VIVO IPL: VIVO IPL on Star Sports register highest ever engagement

Revolutionizing the way, the world experiences VIVO IPL, Star India reimagined VIVO IPL in to a six-month fiesta instead of just a two-month tournament. Keeping fans at the heart of the experience, Star India used the confluence of technology, consumer insight, and experience in cricket coverage,...

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/18/abhishek.jpg?itok=KDMML6C5
Abhishek Upadhyay joins &TV as marketing head

Abhishek Upadhyay, who headed marketing for OLX, has been appointed marketing head of &TV, the Hindi language GEC channel of Zee Entertainment Enterprise Limited (ZEEL).

Television TV Channels People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2018/06/18/saral.jpg?itok=k0DYsipd
Saral Jeevan adds three new programs to its prime time offering

Saral Jeevan, a Kannada infotainment channel, is launching three shows today. While one of them is season two of Jnanapada (based on folk songs), the other two programs are based on factual content. With a focus on non- fiction programming like history, mythology, travel and insights from Indian...

Television TV Channels News Broadcasting

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories