FDI in Broadcasting Sector

FDI in Broadcasting Sector

In order to liberalize the Broadcasting sector of India to foreign direct investment, the Indian Cabinet Committee on Economic Affairs (CCEA) raised the FDI cap from 49% to 74% in many fields of the Broadcasting sector in September 2012. However, CCEA opted to retain the existing cap of 26% in the fields of TV News Channels and the FM Radio. The recent governmental decision will be applied to the following Broadcast Carriage Service Providers (BCSPs):

  • Teleports (Up-linking HUBs/Teleports)
  • Direct-to Home (DTH)
  • Head-end in the Sky (HITS)
  • Cable Networks (Multi-Service Operators who undertake up-gradation of networks for digitalization and addressability)
  • Mobile TVs

In these all cases, up to 49% of FDI will be made under the Automatic Route, and after this limit further investment up to 74% will be performed under the Governmental Route (FIPB Approval). More information regarding foreign direct investment in these fields of the broadcasting sector, and ideas about ours swift and impeccable services for the same, are given in the lower section of this article separately.

FDI in DTH, FDI in Cable

Till now, foreign direct investment in the DTH and Cable TV was limited to 49% in India. And, in the field of Head-end in the Sky (HITS) it was up to 74%. Now on, after the recent decision of the Government of India, the maximum permission limit of FDI in these all fields of the broadcasting sector has been set to 74%. The Head-end in the Sky (HITS) is nothing but a satellite multiplex service which offers TV Channels for cable operations. In India at present, about 26 million households use DTH, and over 80 million houses are connected through the cable network. Thus, foreign companies and investors are given welcome and great opportunities for making direct investment in the ever-expanding and highly profitable broadcasting sector of India. But, in the fields of TV News Channels, Current Affairs, and the FM Radio, the upper limit of FDI is kept at the existing level of 26%, which is to be made strictly under the proper FIPB approval (approval of the Foreign Investment Promotion Board).

Ours worldwide famous and reputed law firm has been providing perfect, impeccable, swift, and economical legal services for foreign direct investment in the desired economic sector of India or other countries worldwide, for about a decade. Apart from legal and advisory services for FDI, ours mellow and expert attorneys have been offering almost all legal services to people and entities in various sectors of economy in nations worldwide, for a better and securer world of businesses, professions, and services. All major and significant areas of the legal practice have been adeptly covered by ours refined and innovative legal professionals.

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