The Associated Chambers of Commerce and Industry of India (Assocham) has dis-favoured cross media ownership on companies to manage print, broadcasting and electronic media, arguing that it will create monopolistic tendencies.
In a representation to Telecom Regulatory Authority of India (Trai), Assocham cited the case of United States of America which in December 2007, de-regulated its media and broadcasting stations allowing 100 per cent ownership to industrial houses and individuals.
The US Senate subsequently had to adopt a resolution, disapproving of its earlier decision on cross media ownership, later on realizing the after effects of its sensitivities.
Not only US but other vibrant democracies like the UK, Canada, Australia, France etc. have placed restrictions on cross media ownership and the Assocham holds that similar restrictions and regulations should now be placed on Indian media so that cross media ownership is denied to one corporate and a company.
The chamber has said that the Trai – India’s statutory regulator for the telecom and broadcasting sector - in its new guidelines should take necessary precautions so that media is regulated objectively because of its sensitivities and of evolving nature.
The Assocham has also pointed out that there are no existing restrictions as regards to horitozental and vertical integrations between print, media and television. There are also no existing restrictions as regards to regulate media especially print and radio so far. The Assocham, therefore, believes that after due deliberations with industry, the details on restriction in various verticals platforms should be worked out for competition and benefit of choice to the consumers.
The chamber has also mooted a 3-pronged strategy for entertainment industry, aiming optimum utilisation of their resources, enter successfully regional markets for growth and secure relaxed financing for production to counter slowdown.