Breaking NTO 2.0 partially upheld by Bombay HC

[satyajeet]

DPOs cannot give more than 15% of alacarte total price as discount in their DPO packs

The pricing of such bouquets (DPO Bouquets) is also regulated by TRAI, which imposes on them the following two conditions [see proviso to clause 4(4) of the principal 2017 Tariff Order] a) The bouquet will not consist of a channel whose MRP is more than Rs.12/-. (This is a same condition which is applicable to broadcaster bouquets under the 2020 Tariff Order Amendment); and(b) The DRP of the DPO bouquet cannot be less than 85% of the total of DRPs of its constituents. In other words, the DPO cannot offer discount of more than 15%. This is far more stringent requirement than 33.33% (as in the case of broadcasters). The 15% cap on the discount comes into play only after the trickle down effect of the conditions imposed on the broadcasters.

Can you post image of that rule. You are discussing two things here.
1. DPO bouquets- No discount was allowed earlier.
2. DPO curated packs- No cap on discount earlier except bouquet rule.
@Siva can you clarify the quoted rules.

 

[Lingesh92]

DPOs cannot give more than 15% of alacarte total price as discount in their DPO packs

The pricing of such bouquets (DPO Bouquets) is also regulated by TRAI, which imposes on them the following two conditions [see proviso to clause 4(4) of the principal 2017 Tariff Order] a) The bouquet will not consist of a channel whose MRP is more than Rs.12/-. (This is a same condition which is applicable to broadcaster bouquets under the 2020 Tariff Order Amendment); and(b) The DRP of the DPO bouquet cannot be less than 85% of the total of DRPs of its constituents. In other words, the DPO cannot offer discount of more than 15%. This is far more stringent requirement than 33.33% (as in the case of broadcasters). The 15% cap on the discount comes into play only after the trickle down effect of the conditions imposed on the broadcasters.

Is it going to be implemented by providers ? if yes when?

 

[Oppili_k]

It is stated by TRAI to High Court and is copied from HC Order posted earlier.

Can dpo's give differential NCF now ? Giving NCF differential to different packs to avoid above TRAI rule allowed ?

 

[satyajeet]

DPOs cannot give more than 15% of alacarte total price as discount in their DPO packs

The pricing of such bouquets (DPO Bouquets) is also regulated by TRAI, which imposes on them the following two conditions [see proviso to clause 4(4) of the principal 2017 Tariff Order] a) The bouquet will not consist of a channel whose MRP is more than Rs.12/-. (This is a same condition which is applicable to broadcaster bouquets under the 2020 Tariff Order Amendment); and(b) The DRP of the DPO bouquet cannot be less than 85% of the total of DRPs of its constituents. In other words, the DPO cannot offer discount of more than 15%. This is far more stringent requirement than 33.33% (as in the case of broadcasters). The 15% cap on the discount comes into play only after the trickle down effect of the conditions imposed on the broadcasters.

Thanks for highlighting bro. It is real good new.
Just one correction that in bold it will be bouquets, not packs

Can you post image of that rule. You are discussing two things here.
1. DPO bouquets- No discount was allowed earlier.
2. DPO curated packs- No cap on discount earlier except bouquet rule.
@Siva can you clarify the quoted rules.

I went through order.
Acc to which, there was 15% discount on DPO bouquets in NTO 1.0 too(in practice no DPO bouquets discounts were allowed). NTO 1.0 discount rrule cap was not implemented.
But this time discount rule on bouquets will be there for broadcasters (33.33% cap) & DPO (15% cap).

Still question is
will DPO give discount on DPO bouquets?
Eg in My imaginary DPO pack two channels zeetv(12) & color(12) is there. Then DPO can offer discounts upto 15%(3.6). DPO bouquet price can be 20.4
Will DPO offers such packs? If they do, it will be real breakthrough. But i am doubtful

Is it going to be implemented by providers ? if yes when?

Court gave 6 weeks time to broadcasters. Discount may/may not be given in DPO bouquets

 

[Oppili_k]

DPO pack/bouquet discounts are already existing, now a 15% cap and Rs.12 channel price limit.

 

[Slu]

DPO pack/bouquet discounts are already existing, now a 15% cap and Rs.12 channel price limit.

Absolutely

 

[Siva]

Can you post image of that rule. You are discussing two things here.
1. DPO bouquets- No discount was allowed earlier.
2. DPO curated packs- No cap on discount earlier except bouquet rule.
@Siva can you clarify the quoted rules.

The DPO discount cap of 15 percent was mentioned by the High court as a counter to the argument that the broadcasters put forth, saying that there's no cap on discount offered by the DPOs on their bouquets. They argued that TRAI is discriminating between broadcasters and DPOs by capping the discount percentage only for one party i.e broadcasters. But the truth is, the DPO bouquets also have a 15 percent discount cap and hence the broadcasters' argument failed.

 

[dino29]

The DPO discount cap of 15 percent was mentioned by the High court as a counter to the argument that the broadcasters put forth, saying that there's no cap on discount offered by the DPOs on their bouquets. They argued that TRAI is discriminating between broadcasters and DPOs by capping the discount percentage only for one party i.e broadcasters. But the truth is, the DPO bouquets also have a 15 percent discount cap and hence the broadcasters' argument failed.

I think this applies if operators decide to make bouquet by combining standalone channels, regular broadcaster bouquet would b available at set price by all. NCF discount is separate thing and operators can give as much discount on it. Most people will take usual broadcasters bouquet or DPO curated combined broadcasters bouquet

 

[Hero hari]

Can anyone guess new rates of channels after nto 2.0

 

[Slu]

Can anyone guess new rates of channels after nto 2.0

No guess .......As we are just viewers...It depends on broadcasters consumer welfare plans