Govt asks Trai to look afresh into cross-media ownership
NEW DELHI: In what can have major implications in the media industry with major companies following a vertically integrated model, the Information and Broadcasting Ministry has asked the Telecom Regulatory Authority of India (Trai) to examine afresh the issue of cross media ownership.
It is learnt that I&B Secretary Uday Kumar Varma sent the request to new Trai chairman Rahul Khullar on 16 May in this regard.
Ministry sources told indiantelevision.com that the need for review had been felt in the light of the recommendations of the Administrative Staff College of India, Hyderabad, which had been asked to study the issue by the Ministry. The three-member study headed by Dr Paramita Das Gupta with Dr Usha Ramachandran and Ashita Alamraju as members is understood to have pointed out some ramifications to national security and the possible results of concentration of the media in a few large companies.
In his letter, Varma pointed out that major players were looking for expanding their business interests in various segments of print and broadcasting sectors. "In this scenario, issue of media ownership and the need for cross media restrictions assumes great significance," he wrote.
Trai has been asked to look into both horizontal and vertical aspects of cross media ownership.
Varma has said companies have control and ownership across Print, TV and Radio leading to horizontal integration.
Though there is no restriction for a company to have ownership across Radio, TV and Print mediums at present, apprehension have been expressed in the past that control of media organisations in a few hands may prevent plurality of news and views, official sources said.
Varma has referred to other implications related to cross media ownership including ensuring quality services at reasonable prices.
The I&B secretary has also asked Trai to look into the issue of vertical cross ownership where companies owning TV channels were venturing into various distribution platforms like Cable TV distribution, Direct to Home (DTH) and Internet Protocol Television (IPTV).