The Indian broadcasting landscape is undergoing a profound transformation, marked by a significant recalibration of strategies among major media conglomerates as consumer preferences decisively pivot towards digital consumption platforms. Over the past three years, nearly 50 television channels have reportedly surrendered their operating licenses, a clear indicator of the mounting pressures faced by traditional linear television in an increasingly digital-first media environment. This strategic divestment reflects a broader industry response to evolving market dynamics, where digital streaming services and connected devices are rapidly eclipsing conventional broadcast models.
Prominent players such as JioStar, Zee Entertainment, Eenadu Television, TV Today Network, and ABP Network are among those that have relinquished licenses for various channels. This trend is not merely a consequence of isolated business decisions but points to systemic challenges, including financial unviability for niche channels and the prohibitive operating costs associated with maintaining traditional broadcast infrastructure in a fragmented market. For instance, Sony Pictures Networks India’s parent entity, Culver Max Entertainment, consolidated its operations by surrendering 26 downlinking permissions after obtaining approval to manage the same set of channels more efficiently, showcasing an effort to streamline and optimize resources in a competitive ecosystem.
The core driver behind this industry-wide shift is the rapid ascent of Over-The-Top (OTT) platforms. Affluent Indian households, once the bedrock of pay-television subscriptions, are increasingly migrating to on-demand digital content, drawn by greater flexibility, personalized experiences, and often, a broader array of international and exclusive content. Concurrently, a significant segment of price-sensitive consumers is transitioning to government-owned free-to-air services like DD Free Dish, further eroding the subscriber base and revenue streams of private direct-to-home (DTH) and cable television operators. This dual pressure—from premium digital services at the top end and free-to-air alternatives at the lower end—is squeezing the traditional pay-TV segment from both sides.
Crisil, a leading credit ratings agency, highlighted this erosion in a December 2025 report, projecting continued declines for private DTH providers. The agency noted that the subscriber base for private DTH services plummeted from 7.2 crore in fiscal 2019 to 6.19 crore by fiscal 2024. This downward trajectory accelerated, with a further 9% reduction in fiscal 2025, and is anticipated to dip below 5.1 crore by the end of the current fiscal year. While Crisil anticipates a moderation in the rate of revenue degrowth for DTH operators—from an earlier 5% to a projected 3-4%—the underlying trend of subscriber attrition remains a critical concern. Despite these challenges, the report suggested that overall sector margins could remain stable at 44-45% in the financial year ending 2025-26, primarily due to cost-cutting measures and a milder pace of revenue contraction rather than organic growth.
The strategic motivations behind specific channel closures reveal the granular impact of these macro trends. JioStar, for instance, cited internal business decisions for surrendering licenses for channels like Colours Odia, MTV Beats, VH1, and Comedy Central. These channels, often catering to niche segments or urban youth, likely faced intense competition from digital alternatives that offer similar content with greater accessibility and personalization. Zee Entertainment similarly closed Zee Sea, signaling a rationalization of its portfolio. Enter10 Media, a broadcaster with significant regional presence, notably rolled back plans for additional channels, including Dangal HD and Dangal Oriya, and halted its regional expansion strategy, attributing these decisions to evolving business objectives and resource planning constraints. The high operating costs and weak monetization potential were explicitly cited by ABP Network for the closure of ABP News HD, while NDTV surrendered its license for NDTV Gujarati, underscoring the difficulties in sustaining regional news channels in a digitally saturated environment.
This shift in the Indian media landscape mirrors global trends where traditional broadcasters in mature markets have grappled with similar disruptions over the past decade. In North America and Europe, the phenomenon of "cord-cutting" has led to significant declines in linear TV viewership and advertising revenue, forcing media giants to invest heavily in their own streaming platforms. India, with its massive population, burgeoning internet penetration, and rapidly expanding smartphone user base (estimated to exceed 900 million by 2027), presents a unique, accelerated version of this global shift. The affordability of mobile data and the widespread availability of connected TVs have significantly lowered the barrier to entry for digital content consumption, fundamentally altering how content is created, distributed, and monetized.
The economic implications extend beyond just DTH operators and broadcasters. The advertising ecosystem is profoundly affected, with a discernible migration of ad spending from traditional television to digital platforms. While linear TV still commands a substantial share of the advertising pie, its growth has stagnated, while digital advertising continues its robust double-digit expansion. This reallocation of budgets forces broadcasters to rethink their monetization strategies, exploring hybrid models that combine subscription video-on-demand (SVOD) with advertising-video-on-demand (AVOD) and innovative content partnerships. Content production houses are also adapting, with increasing demand for digital-first content, shorter formats, and interactive experiences tailored for mobile and streaming platforms. This necessitates new skill sets in content creation, digital marketing, and data analytics, driving a broader talent transformation across the media industry.
Looking ahead, the Indian broadcasting sector is poised for further evolution, not decline. The strategic moves by major players like JioStar and Zee Entertainment to consolidate their digital offerings and invest in robust OTT platforms like JioCinema and ZEE5 demonstrate a clear understanding that future growth lies in a diversified, digitally-centric approach. Traditional broadcasters are increasingly transforming into comprehensive media companies, leveraging their existing content libraries and production capabilities to feed their digital ecosystems. This involves not just launching streaming services but also forging alliances, acquiring digital-native content creators, and experimenting with new distribution models. The challenge remains in balancing the legacy revenue streams from traditional broadcasting with the significant investments required to compete effectively in the fiercely competitive digital arena. Regulatory frameworks will also need to evolve to support this dynamic environment, addressing issues such as content moderation, data privacy, and intellectual property rights in the digital space. Ultimately, the current wave of license surrenders is less an end and more a strategic pivot, signaling the media industry’s determined march towards a digitally integrated future.
