The Telecom Regulatory Authority of India (TRAI) has released a comprehensive Consultation Paper to establish a regulatory framework for Application-based Linear Television Distribution (ALTD) services. This move follows concerns raised by the Ministry of Information and Broadcasting (MIB) regarding the unregulated growth of Free Ad-Supported Streaming TV (FAST) services.
India has emerged as the world's fourth-largest revenue generator for FAST, with a projected growth to $104.10 million by 2027, yet these platforms currently operate without the strict authorisations required for traditional satellite or cable TV.
Key Regulatory Concerns and Proposed Fixes
Ending Regulatory Arbitrage: Traditional broadcasters (DTH/Cable) follow strict uplinking and downlinking guidelines. TRAI aims to ensure "parity" so that ALTD apps don't bypass these rules while providing identical services.
Content Accountability: Currently, many FAST apps distribute "unpermitted" channels. The framework proposes that all ALTD content must strictly adhere to the Programme and Advertising Codes under the Cable Television Networks (Regulation) Act, 1995.
Pricing and Pay TV: There are significant concerns that "Pay TV" channels are being offered for free on ALTD platforms, violating tariff regulations. TRAI is seeking a pricing methodology to ensure a level playing field.
Defining the "Primary Entity": With manufacturers, OS providers (like Android/Tizen), and app developers involved, TRAI suggests that Application Providers be the primary body responsible for obtaining legal authorizations.
Consumer Protection: The paper emphasises the need for mandatory grievance redressal mechanisms and standardised customer care for all authorised ALTD providers.
What are "ALTD Services"?
ALTD (Application-based Linear Television Distribution) services are digital platforms that use the internet to deliver scheduled, "linear" television channels to viewers via apps on Smart TVs or mobile devices.
It acts as a catalyst for Digital Transformation because it allows users to watch traditional TV content without a satellite dish or cable wire. This mechanism manifests as a transition from "hardware-dependent broadcasting" to "software-driven streaming," where the app itself acts as the distributor.
For TRAI, defining ALTD is a primary lever to benchmark a trajectory where digital innovation is brought under the same safety and quality standards as traditional TV.
Policy Relevance:
Extends content and consumer safeguards to digital TV platforms: Applying Programme and Advertising Codes to app-based TV services can reduce regulatory gaps while improving content standards and viewer protection across devices.
Introduces formal consumer grievance mechanisms: Bringing ALTD platforms under regulation may require structured complaint redressal systems, strengthening user rights in cases of service failure, billing issues, or content concerns.
Addresses competitive asymmetry across platforms: Regulatory oversight can help align licensing, pricing, and compliance conditions across DTH, cable, and app-based TV services, reducing market distortions.
Formalises the connected TV (CTV) ecosystem: With rapid growth in digital TV consumption, a structured framework can support market stability, broadcaster participation, and investor confidence.
Improves pricing transparency and consumer clarity: Greater regulatory alignment may reduce inconsistencies between free and paid content offerings, making pricing structures more predictable for users.
Strengthens data governance and user accountability: Bringing platforms under oversight can improve transparency in data collection and usage practices, particularly for smart TV and app-based viewing.
Enhances audience measurement systems: Integrating ALTD viewership into official rating frameworks (e.g., BARC) can improve data visibility for advertisers and broadcasters, supporting more accurate media planning.
Follow the Full Paper Here: TRAI Consultation Paper on ALTD and FAST Services