Videocon d2h says that over-the-top apps such as Hotstar and SonyLiv are eating into DTH service providers’ revenue.
Hotstar was launched earlier this year and recorded as many as 25 million views in India during the India-Pakistan match that was held on 15 February, 2015. Direct-to-Home service providers as well as cable operators say that availability of content on OTT platforms can negatively affect their business. Broadcaster, such as Star India, meanwhile, have extended support for OTT players.
“Last year, Star India reached 30 million IPL viewers through Starsports.com, thus cannibalising revenue for DTH/cable operators,” Videocon d2h said, according to Television Post.
Videocon d2h has written to Telecom Regulatory Authority of India about its concerns over OTT players providing live sporting content with five minute delay. “They do not charge anything to customers, whereas they charge premium amount to all DTH/cable platform for the same content,” the DTH operator’s submission to the telecom regulator read, according to Television Post.
“This is nothing short of revenue cannibalisation and we would urge the authority to take into consideration the commercial in-equilibrium meted out to one player like a DTH service provider and huge and unjustified benefits showered on their own OTT player,” Videocon added.
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