English Entertainment
‘For strong ROI in India’s TV biz, price controls must go’ : Fox International Channels president & CEO Hernan Lopez
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Price controls are limiting the revenue growth for broadcasters in India as they earn net income of $700 million from subscription after paying out carriage fees of $400 million. Investments in programming are muted and, as a result, India is not able to export television formats and finished content while software, music and animation is travelling overseas.
In an interview with Indiantelevision.com‘s Ashwin Pinto, Fox International channels president, CEO Hernan Lopex says price controls have to go if the industry is to see strong ROI. He also talks about the company‘s growth plans worldwide. 
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Q. Do you see India‘s television broadcasting industry growing at the right pace? |
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Q. What you are suggesting is that pay-revenues should scale up. What is the ideal revenue mix between subscription and advertising revenues?
Relative to the size of the Indian economy as measured by GDP, this is only 0.04 per cent, and this ratio keeps declining. By contrast, in Colombia, a country with 1/25th of the population, broadcasters get over $200 million in subscriber fees. That is equivalent to 0.07 per cent of the GDP in Colombia, and that ratio keeps rising – partially due to the efforts that Colombia is doing to fight content theft and subscriber under-declaration. |
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Q. So India should learn from Colombia and allow its content industry to flourish?
In Colombia a TV episode costs $150,000 compared to India where an episode costs around $20,000. The turnaround there was the emphasis on creating a dual revenue stream. New channels were launched for underserved audiences. Consumers also wanted content in Spanish and Portugese.
That is because Colombia has a strong system of TV production, has great writers, animators, actors and the country also fights strongly against piracy. In India under declaration, along with controls, means that the broadcasters are getting squeezed.
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Q. But ARPUs (average revenue per subscriber) are low in India. How do you make consumers pay more for quality content? |
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Q. So you are not happy with FIC‘s growth in India? |
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Q. As a market how is India different from the rest of Asia in terms of challenges and opportunities? |
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Q. With digitisation set to take off in India, do you see the carriage fee structure being rationalised based on the experience in other markets or will disputes happen with big operators like what happened in the US with Comcast?
There will be teething issues like in any new technology, but market forces will aid the stakeholders in arriving at an understanding. |
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Q. News Corp restructured the Fox Networks Group last year. What was the aim and how did this impact Fox International Channels? |
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Q. Aren‘t you looking at doubling operating profit and reaching $1 billion by 2015?
This is what we call “brands with fans” – and get a fair share of wallet for it. In order to do that, we are investing more in content (both global and local), marketing and our teams. |
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Q. How much revenue does Fox International Channels contribute to News Corp’s TV business and what growth has been experienced year on year? |
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Q. How do you split up the global market into regions and which are your three biggest markets globally? |
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Q. Globally what is the split between subscription and ad sales and which area do you see growing faster? |
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Q. Pay TV you have said is turning from a “nice to have” to “must have” service. How is this changing the dynamics of your business? |
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Q. What challenges is the current economic slowdown posing? |
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Q. Has Fox International Channels done recent research to find out what consumers globally want and how they view your brands? |
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Q. Digitisation globally is allowing FIC to have more specialised offerings in genres like Crime. How has their offtake been? |
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Q. Are there any genres that are currently underserved globally? If so, how do you plan to service them? |
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Q. What role does sports play in your portfolio as it is a challenge to control costs given the intense competition for rights?
We simply must be disciplined in our approach, but we have the benefit of a wide portfolio of channels – includingentertainment channels – that can both contribute to and benefit from having sports in the portfolio. |
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Q. Globally, how has FIC expanded?
We have added Fox Sports to our portfolio in Latin America, and continue to increase ratings at the National Geographic Channels. And yet there is still so much more to be done. |
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Q. How difficult is China due to government regulation? |
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Q. New media is growing globally. Are you launching channels for the mobile and Internet? |
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Q. How is Fox International Channels leveraging high definition? |
English Entertainment
ZEE5 UK partners Narrative Entertainment to add UK channels
Six FAST channels added as platform sharpens hybrid play in Britain
LONDON: ZEE5 UK struck a first-of-its-kind deal with Narrative Entertainment, bringing mainstream UK television channels onto an Indian streaming platform as it pushes to deepen its footprint in a crowded, mature market.
The partnership adds six of Narrative’s FAST channels to the service, including Great! Movies, Great! Romance, Great! Mystery and kids brands POP, Tiny Pop and POP UP, widening ZEE5 UK’s appeal across genres and age groups.
The move reflects a clear shift in strategy. ZEE5 UK is betting on a hybrid model that blends on-demand content with curated, always-on channels to drive discovery and increase time spent on the platform.
“This partnership represents a meaningful evolution in how we serve audiences in mature markets like the UK, where viewers are defined by habits, convenience and choice rather than geography or language alone,” said Parul Goel, territory head, Europe, Zee Entertainment. “By bringing trusted mainstream UK channels together with our premium originals, movies and kids’ content, we are building a more consumer-centric platform that simplifies viewing while increasing depth and relevance.”
Fateha Begum, commercial director, Narrative Entertainment, said the tie-up would fuel growth for both sides. “Our portfolio of quality programming, with such wide and enduring appeal, is a perfect complement to ZEE5 UK. This is a strong partnership that will support growth for both parties, and we share Zee Entertainment’s vision of an increasingly partnership-led future for the industry.”
ZEE5’s global library spans over 4,000 films and more than 500 originals, with over 130 new titles added annually. The addition of Narrative’s channels strengthens its kids offering and introduces genre-led linear experiences alongside its on-demand catalogue.
The deal also gives Narrative access to ZEE5 UK’s fast-growing user base, extending reach without diluting brand identity, while reinforcing ZEE5 UK’s network of more than 40 live channels.
As streaming wars intensify, ZEE5 UK is widening its playbook, blending content, convenience and partnerships in a bid to win screen time in one of the world’s toughest markets.
