India is likely to be home to a billion digital users by 2028 compared to our earlier projection of 2030, with a faster upward progression of users in each of the cohorts:
Age, income and location will become even less of a barrier to digital adoption and India as a nation is likely see an accelerated transition from passive, video viewers to legitimate digital mainstream consumers. To acquire and retain the value conscious Indian consumer, it is likely that digital ecosystems, which offer multiple use cases under one umbrella, and seek to provide a seamless experience, would emerge as the frontrunners to capitalise on our digital billion.
Following consumer push back due to increased complexity in channel selection and increased prices post NTO 1.0, TRAI issued a set of amendments promoting a la carte selection while capping prices of channels and restricting the number of bouquets available. Given, the potential adverse impact on economics of broadcasters and distributors, there has been resistance from the TV segment stakeholders.
Expected impact of NTO 2.0 on key stakeholders:
This has been legally challenged by the broadcasters and distributors. We assume that NTO 2.0 will likely be implemented during FY21 and will accordingly reflect in the TV segment projections.
COVID-19 and the resultant nation-wide lockdown has disrupted the video content supply chain necessitating innovation.
While technology adoption is going to present some challenges in terms of investments during the time of a pandemic like skill development and the shift to a digital-first mindset; change in terms of incorporating technology is inevitable.