News: India loses over 5 lakh jobs in Cable TV sector amid OTT boom: AIDCF-EY Report

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India loses over 5 lakh jobs in Cable TV sector amid OTT boom: AIDCF-EY Report

A new report by the All India Digital Cable Federation (AIDCF) and EY India reveals that the sector has lost over 5.77 lakh jobs between 2018 and 2025, highlighting the urgent need for regulatory reform and digital parity.
India loses over 5 lakh jobs in Cable TV sector amid OTT boom: AIDCF-EY Report

Change is the only constant—and for India’s cable television industry, it has come at a steep cost. A new report by the All India Digital Cable Federation (AIDCF), in collaboration with EY India, paints a grim picture of job losses in the entertainment distribution sector. With the rapid rise of OTT platforms and a growing shift in viewer habits, India has lost an estimated 5.77 lakh jobs in the cable TV sector between 2018 and 2025.

The report, titled “State of Cable TV Distribution in India”, is based on responses from over 28,000 Local Cable Operators (LCOs). It reveals how a once-thriving industry is grappling with regulatory inconsistencies, rising operational costs, and increasing competition from unregulated digital platforms.

Key Findings:

The report paints a grim picture for India's pay TV industry, primarily affecting Local Cable Operators (LCOs) and Multiple System Operators (MSOs). LCOs have seen a significant 31% workforce reduction, equating to 37,835 job losses. Extrapolating nationally, job losses are estimated between 1.14 lakh and 1.95 lakh. The situation worsens when considering the closure of approximately 900 MSOs and 72,000 LCOs, pushing total job losses to over 5.77 lakh. This decline is mirrored in subscriber numbers, with pay TV households plummeting by 40 million (from 151 million in 2018 to 111 million in 2024). Consequently, 93% of LCOs report subscriber decline, 49% face income drops, and 35% have lost over 40% of their subscribers.

Recommendations for Revival:

To successfully revive India's pay TV industry, which was once a primary source of entertainment, several key strategic interventions are crucial. This includes fostering a level playing field across all content platforms to ensure fair competition. Implementing region-specific pay TV pricing could also make services more accessible and attractive to diverse demographics. Furthermore, actively reactivating the over 20 million inactive set-top boxes represents a significant opportunity to regain subscribers. It is also imperative to restrict the free streaming of pay TV content on digital platforms to protect revenue streams and combat content piracy through unified regulatory responses.

Sanjiv Shankar, Additional Secretary, Ministry of Consumer Affairs, called the report "comprehensive, data-driven, and grounded in reality,” while S.N. Sharma, CEO of DEN Networks & President of AIDCF, emphasized, “These are not just statistics—they are stories of lost livelihoods.”

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Topics: Business, #Layoffs, #HRCommunity

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