[icernet] Broadcasters' worry: It's ad revenue, not pay channels

[Arul Selvan]

The question that looms over the transition scenario is: Will the 
broadcasters ignore their massive ad earnings for a negligible income 
from pay channels? According to a study on the Indian television scene, 
the total ad revenue from the small screen works out to a staggering Rs 
4,000 crore. And the earning by all the pay channels put together is 
estimated at Rs 500-600 crore.

It is, therefore, unlikely that the leading broadcasters would risk 
allowing any dent in their ad income by taking their popular channels 
off the free bouquet meant for the larger audience.The government has 
rejected a suggestion from the major broadcasters that CAS be introduced 
only in one metro and not in all the four to prevent a scramble for 
boxes. There was a proposal to try out the CAS in Chennai first.

Source:
http://timesofindia.indiatimes.com/cms.dll/html/uncomp/articleshow?msid=45998725

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Channels Can Be Pay And Free Simultaneously!
http://www.financialexpress.com/fe_full_story.php?content_id=33756
Although the government had earlier turned down the broadcasters 
proposal for a phased introduction of the conditional access system 
(CAS), the same is being allowed now, with a variation. In what looks 
like a rollback of CAS, the government has decided to allow channels to 
opt for variable pricing.

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TV Production Houses Face Rate Cuts Post CAS
http://www.financialexpress.com/fe_full_story.php?content_id=33998
Broadcasters have indicated that they may have to renegotiate rates with 
production houses if there is a fall in viewership and revenues because 
of the short term chaos that may spring from the implementation of 
conditional access systems (CAS).