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NTO 2.0 will not have much impact at consumer level: Shaji Mathews

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MUMBAI: Even as stakeholders have moved courts against Telecom Regulatory Authority of India’s (TRAI) amendment of the New Tariff Order (NTO), analyst and consultant Shaji Mathews feels that it will not have any significant effect on the existing system. “I don’t think NTO 2.0 will have much effect on the consumer either, because whatever changes and choices consumers were to make, happened during the NTO 1.0 implementation. Once the legal battle on NTO 2.0 is over, the MSOs will implement it at the consumer level with cautiousness. They won’t disrupt the system,” says Mathews, who previously held positions as the VP of Star TV, COO of GTPL and CEO of KCCL.   

According to him, NTO 1.0 was expected to remove discriminatory agreements which were imposed by broadcasters and create a level-playing field for small MSOs as well. “For that TRAI brought in the MRP regime, which was uniform pricing across the country for the consumers and transparent margins for the distribution platforms, whether they are small or big,” he says. It was expected that the MRP system will push broadcasters to bring consumer-friendly pricing, enabling consumers to avail a multitude of channels of their liking within the rates they were paying.

“In the process, what happened was that consumers who were expecting to go a-la-carte found themselves at the receiving end because broadcasters basically priced the channels in such a way that they can defeat the whole purpose of the NTO itself,” he points out. 

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Now, by bringing in MRP regime, TRAI is expected to make it easy for consumers to choose channels based on prices.

It also brought in certain regulations, on bouquet pricing, that the discount in pricing should not be more than 15 per cent. But while implementing, that was removed from the regulation and was kept in abeyance because of the remark of the Madras High Court. However, in the legal battle at Supreme Court, the remark made by the SC prompted the regulator to go approach the Supreme Court for a decision on the 15 per cent. But the apex court threw it back to TRAI and asked it to take steps which were within TRAI’s powers.

In that scenario, he says that TRAI had to come out with NTO 2.0 wherein some regulations related to a-la-carte rate and bouquet rate had to have interlinked logics. And TRAI stepped in to clear the anomalies which were there in NTO 1.0.

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According to him, the consumers are not bothered about all these things. They want convenience. “I don’t share the views of TRAI and many other stakeholders that the consumer is so bothered about his freedom to choose on an a-la-carte basis. There are 800 channels in this country. In the NTO 1.0 regime, when broadcasters brought out the bouquets, there was no limit on the number of bouquets you could make. There were about 500 packages to choose from, and the consumers were frustrated. There is no point in forcing a-la-carte on consumers; they don’t really bother about whether it is a-la-carte or bouquet. They are bothered only about convenience, getting to watch their favourite channels, and they don’t want to pay too much. All these three were disrupted by the NTO. The consumer was not in a position to choose from too many packages and too many a-la-carte options.”

Broadcasters, on their part, jacked up the prices, he said. All these went against the consumer requirements, resulting in a lot of them reducing their stickiness to watching TV. According to him, the cable industry lost around 10 to 15 per cent subscribers because of NTO.

“It is not necessary that these consumers migrated to DTH. They did not go to OTT or YouTube, either. In fact, a lot of consumers did not go anywhere. They may come back to the system over a period of time. They have other priorities in life. They were like, let it be. That was the effect of NTO,” says Mathews. 

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He is certain that there won’t be much of a change in the case of NTO 2.0.

“What I expect is that broadcasters will come out with revised prices. Having learned lessons from the implementation of the NTO, MSOs will not disrupt the system this time. If broadcasters reduce the prices, I think MSOs will give more channels to the consumers for the same price.  I don’t see the possibility of broadcasters increasing the prices, except in one or two cases. Some of the broadcasters are very aggressive in their stand. As regulator has come up with the Rs 12 pricing cap, some aggressive broadcasters might remove their channels from the bouquet,” he explains.

Asked about the broadcasters’ complaint that their freedom to price has been curtailed by the NTO, he said: “Their freedom to price is there; only their freedom to bundle has been restricted. Their charges with regard to the loss of control over the pricing won’t stand. Broadcasters are making a fuss on this because it is their strategy of ensuring that the outcomes are advantageous for them.”

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On the question of TRAI’s authority to fix price cap, Mathews answers that the cap is only on the bundled channels, not on any other channels.

He is also sure that none of the distribution platforms will create any disruptions under the NTO 2.0 regime. According to him, during NTO 1.0 the platforms went a little overboard in implementation. “So this time they will definitely not do anything disruptive. They will proceed cautiously. There will not have the same kind of disruption as we witnessed during NTO 1.0,” he states.

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Awards

Hamdard honours changemakers at Abdul Hameed awards

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NEW DELHI: Hamdard Laboratories gathered a cross-section of India’s achievers in New Delhi on Friday, handing out the Hakeem Abdul Hameed Excellence Awards to figures who have left their mark across healthcare, education, sport, public service and the arts.

The ceremony, attended by minister of state for defence Sanjay Seth and senior officials from the ministry of Ayush, celebrated individuals whose work blends professional success with a sense of public purpose. It was as much a roll call of achievement as it was a reminder that influence is not measured only in profits or podiums, but in people reached and lives improved.

Among the headline awardees was Alakh Pandey, founder and chief executive of PhysicsWallah, recognised for turning affordable digital learning into a mass movement. On the sporting front, Arjuna Awardee and kabaddi player Sakshi Puniya was honoured for her contribution to the game and for pushing women’s participation onto bigger stages.

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The cultural spotlight fell on veteran lyricist and poet Santosh Anand, whose songs have echoed across generations of Hindi cinema. At 97, Anand accepted the honour with characteristic humility, reflecting on a life shaped by perseverance and hope.

Healthcare honours spanned both modern and traditional systems. Manoj N. Nesari was recognised for strengthening Ayurveda’s place in national and global health frameworks. Padma shri Mohammed Abdul Waheed was honoured for his research-backed work in Unani medicine, while padma shri Mohsin Wali received recognition for his long-standing contribution to patient-centred care.

Education and social development also featured prominently. Padma shri Zahir Ishaq Kazi was honoured for decades of work in education, while former Meghalaya superintendent of Police T. C. Chacko was recognised for public service. Goonj founder Anshu Gupta received an award for his dignity-centred rural development initiatives, and the Hunar Shakti Foundation was honoured for empowering women and young girls through skill development.

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The Lifetime Achievement Award went to former IAS officer Shailaja Chandra for her long career in public healthcare and governance, particularly in the traditional systems under Ayush.

Speaking at the event, Hamdard chairman Abdul Majeed said the awards were a tribute to those who combine excellence with empathy. “These awardees reflect Hakeem Sahib’s belief that healthcare, education and public service must ultimately serve humanity,” he said.

Minister Seth struck a forward-looking note, saying India’s young population gives the country a unique opportunity to become a global destination for learning, health and wellness by 2047.

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The ceremony also featured the trailer launch of Unani Ki Kahaani, an upcoming documentary starring actor Jim Sarbh, set to premiere on Discovery on 11 February.

Instituted in memory of Unani scholar and educationist Hakeem Abdul Hameed, the awards have grown into a national platform that celebrates those building a more inclusive and resilient India. For one evening at least, the spotlight was not just on success, but on service with substance.

 

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