ESPN submits revised RIO to comply with Trai's pricing for DTH

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ESPN submits revised RIO to comply with Trai's pricing for DTH
16 January 2009

NEW DELHI: The Delhi High Court has dropped the criminal proceedings against ESPN Star Sports in a contempt case, after the sports broadcaster submitted its revised Reference Interconnect Offer (RIO).

In its new RIO, ESS has complied with Telecom Regulatory Authority of India’s (Trai) direction on pricing of channels for direct-to-home (DTH) operators.


Speaking to Indiantelevision.com, Trai chairman Nripendra Misra said, “ESPN has submitted it’s revised RIO, which is in line with Trai’s pricing direction. Therefore, the contempt case that was filed against the broadcaster has been withdrawn.”

In its tariff order, Trai had directed broadcasters to fix the rates of their channels at 50 per cent of analogue cable for DTH operators.

“We have submitted the revised RIO which is in accordance with Trai’s pricing direction,” said ESPN Software India managing director RC Venkateish.


Earlier this week, the Delhi High Court had warned ESPN of criminal prosecution, in case it failed to follow Trai's directions on channel pricing for DTH operators.

Meanwhile, ESPN will continue with its petition filed in Telecom Disputes Settlement and Appellate Tribunal (Tdsat), wherein, the sports broadcaster has challenged Trai’s pricing direction in the DTH services.

The case will be heard on 11 February, 2009.

Indiantelevision.com's > Digital Edge > ESPN submits revised RIO to comply with Trai's pricing for DTH



espnstar.com - powered by ESPN STAR Sports: Coporate Info: DTH Reference Interconnect Offer T&C

DTH Reference Interconnect Offer Terms and Conditions

This Reference Interconnect Offer (\"RIO\"), inter alia, provides broad technical and commercial terms and conditions offered by the Company for interconnection for direct to home platform. Party applying for interconnection shall be hereinafter referred to as \"DTH Operator\".

The terms and conditions are as under:

A. A-la-carte and Bouquet Rates for DTH Platform

Channel Price (INR) Per Subscriber Home Per Month

ESPN
33.13

Star Sports
33.13

Star Cricket
28

ESPN & Star Sports Bouquet
44.18

*Company reserves its right, subject to applicable regulations of Telecom Regulatory Authority of India’s (“TRAI”), to revise the Price per Subscriber home per month mentioned above. Upon such revision, DTH Operator agrees and unconditionally undertakes to pay the revised Subscription Fee pro rata from the effective date of such revision.

B. Details of Discounts*

Subscriber Base** Volume Linked Discount on Subscription fees based on Current (above mentioned) Price (Per Subscriber Home per month)
Net Price after Discount (INR) Per Subscriber Home Per Month
(on subscribing to ESPN STAR Sports Bouquet & STAR Cricket)

Up to 25 lacs Subscribers
43.31

25 Lacs + Subscribers
36.09

*This offer does not apply for sale to commercial subscribers

* *Each set top box deployed in a home will be counted as a subscriber

C. Payment Terms

1. 1. DTH Operator agrees to keep the all the channels/ services i.e. ESPN, STAR Sports and STAR Cricket (hereinafter referred to as the “Channels” or as “Services”) in the entry-level pay tier.

2. 2. DTH Operator shall pay to the Company the Subscription Fee at the rates mentioned herein based on number of the ESS Subscribers to whom the Services are distributed by DTH Operator under the agreement.

3. 3. The Subscription Fee shall be payable in full by DTH Operator to the Company irrespective of the basis of payment by the Subscribers to DTH Operator.

4. 4. For the purpose of calculating subscription fees payable to the Company, subscriber number of a channel for the month would be considered as the subscriber number of the subscribers subscribing to the Channel(s) on the last date of the previous month.

5. 5. The following however would not be included while assessing the subscriber numbers::

i) The sales/ service points or outlets where Services are authorized for sales purposes and/or demonstration purposes, subject to prior written approval of the company.

ii) The place where Services are provided without charging any subscription charges for promotional purposes. It is understood that number of such installations will not be more than 2% of the subscriber base.

1. 6. DTH Operator shall furnish to the Company a list of ESS Subscribers at the time of execution of the Agreement and every calendar month thereafter on or before 7th day of beginning of each calendar month. DTH Operator shall be liable to pay to the Company the entire amount of Subscription Fee based on the Subscription Fee Plan opted for by each ESS Subscriber.

2. 7. All amounts due and payable by DTH Operator shall be paid by DTH Operator to the Company on or before the seventh (7th) day of the succeeding English Calendar Month. DTH Operator shall be liable to pay to the Company all amounts due and payable irrespective of whether the ESS Subscribers have actually paid such amounts to him or whether any such ESS Subscribers are active or have been deactivated by DTH Operator.

3. 8. All payments from DTH Operator to the Company under the agreement shall be:

* (i) Net of all taxes, levies and other charges and net of any bank charges or transfer or similar fees; and

* (ii) Paid by Demand Draft or banker's cheque in favour of 'ESPN Software India Private Limited', payable at its head office or any other place that may be specified by the Company from time to time.

4. 9. Any discounts or similar offerings made by DTH Operator to its Subscribers in respect of the Services shall be at the sole cost and expense of DTH Operator. It is clarified that DTH Operator's obligations to pay the Subscription Fee to the Company shall be in accordance with the Subscription Fee Plan specified by the Company.

5. 10. In the event that the Company is of the opinion, based upon its information, that the numbers of ESS Subscribers who are receiving the Services are more than the ESS Subscribers declared by DTH Operator under the Subscriber Report, the Company may call upon DTH Operator to pay the increased Subscription Fee (based on higher number of ESS Subscribers). DTH Operator undertakes to pay the increased Subscription Fee immediately thereupon without any delay or demur.

6. 11. DTH Operator shall be responsible for payment of all taxes, levies and charges imposed by or under the Statute, law regulation, or administrative procedure relating to the Services or in respect of them.

7. 12. DTH Operator shall remit to the Company the entire amount of the Subscription Fee (subject to deduction of applicable taxes) payable by DTH Operator to the Company without any deductions or set-off of any nature whatsoever, on the due dates without any delay or demur.

8. 13. The Company shall ensure that the commercial terms and conditions offered to DTH Operator shall not be less favourable then the terms and conditions offered to any other DTH Platform.

9. 14. DTH Operators shall pay the following promptly to the Company on the due dates, on the basis of invoices raised by the Company on the basis of subscriber report provided by ASC to the Company, without any deduction or set-off:

* (i) The Subscription Fees and, or, all revisions or modifications thereof agreed between the parties in writing, due and payable to the Company within the time stipulated under the terms of the agreement;

* (ii) Any other sum payable by DTH Operators to the Company under the agreement;

* (iii) Any other payments statutorily required to be made by DTH Operators to the Company; and

* (iv) Interest @ 1.5% per month on all delayed payments (this payment shall be without prejudice to any other rights of the Company under the agreement and in law including, without limitation recovery of the IRD, deactivation of the Services, termination of the agreement and the like).


D. Security and Anti-piracy Requirements

1. 1. DTH Operator undertakes that the Services shall be distributed through an Addressable System only and shall ensure that:

* (i) The Finger Printings visible & invisible and on screen display messages ('OSD') of the Company should be displayed by DTH Operator without any tampering with regard to time, location, duration and frequency;

* (ii) Finger Printings (both covert and overt) and OSD (minimum of 105 characters message) shall be provided by DTH Operator at the scheduled time, location, duration and on demand specified by the Company and with a notice (either verbal or in writing) of thirty (30) minutes from the Company to DTH Operator;

* (iii) Covert FP would be made available every 30 seconds;

* (iv) FPs are displayed at least 5 times every hour between 9.00 AM – 9.00 PM or during the period of major events on the ESPN Channels;

* (v) All CPEs/ VCs should support FPs, both visible and covert types as well as the OSD feature. Continuous OSD should be possible, should not be removable by Subscribers;

* (vi) Different FP locations for group of CPEs should be possible. FPs and OSDsto be on global, group, and individual CPE basis. FPs should have highest priority with respect to OSDs;

* (vii) All CPEs shall support both visible & invisible Finger Printing as well as OSD messaging;

* (viii) No Common Interface ('CI') CPE shall be used by the Subscribers;

* (ix) Remote access (e.g. through dial up or otherwise) to Addressable System of the DTH Operator shall be provided to the Company in order to permit the Company to verify the Subscriber numbers and, or, perform CPE/card actions and, or, FP/OSDs whenever necessary;

* (x) No change in the Channel Plan is made without Company's prior written approval;

* (xi) It shall provide the Company with multiple test CPEs authorised for every channel/ bouquet / package distributed by or through DTH Operator (at that point in time);

* (xii) On request of the Company, it shall make available to the Company, channel wise history of all the authorizations/ de-authorizations of all the CPEs/ VCs/ Smart Cards for the last two years;

* (xiii) That Finger Printing shall have highest 'priority' amongst any other on screen displays from and, or, through DTH Operator or CPE; and

* (xiv) It shall not resort to and, or, use any method technology, software now known or hereinafter devised to subvert the Addressable System to the detriment of the interests of the Company.

* (xv) If security of CA is breached, or if the Services are viewed through an STB without FP or OSD, the Company reserves the right to discontinue its Services to DTH Operator, subject to applicable TRAI regulations.

2. 2. DTH Operator undertakes to take all appropriate and necessary steps and measures to prevent piracy or any other violation of intellectual property rights in the Service, directly or indirectly. DTH Operator further undertakes that:

* (a) It shall ensure that no duplicate feed of the Services are provided; and

* (b) It shall not indulge into Channel Disguise (as an example showing the Services under the name or heading of any other channel distributed by the DTH Operator with the view to under declare the total number of ESS Subscribers under the agreement).

3. 3. DTH Operator undertakes to de-authorize or disconnect any CPE, usually within fifteen (15) minutes of receiving of information from the Company, in the event such CPE is involved or used in piracy of the Services in any manner whatsoever.

4. 4. In the event DTH Operator is unable to disconnect a STB involved in piracy/ signal theft of the Service within 12 hours of receiving the information from the Company, as mention in the above clause, Company shall be entitled to discontinue the Service(s) in accordance with TRAI’s applicable regulation.

5. 5. The Company and its representatives shall be entitled to visit all offices, head ends, control room and other locations (of DTH Operator and, or, any of its sub operator) for any inspection, verification or other purposes mentioned hereinabove.

6. 6. DTH Operator shall, subject to the provisions hereof, ensure that the Services is provided to and received only through Addressable System:

* (a) By such ESS Subscribers who have paid the full applicable Subscription Fees in respect thereof and no ESS Subscriber who is in default of payment of Subscription Fees is permitted to or is capable of viewing the Services; and

* (b) To such ESS Subscriber's whose name, complete address, CPE and, or, smart card number (other details of CPE) have been disclosed to the Company.

7. 7. DTH Operator shall ensure that:

* (a) Its operating system should be able to handle individual Channels, packages, tiers, discounts, free offers, promotional offers etc. and

* (b) The CAS and SMS must have the capability or recording activation/deactivation history in the system.

* (c) DTH Operator will ensure permanent presence of its logo on all the Channels that are being received and redistributed through its platform for timely detection of the source of piracy in cable networks i.e. cable operator that are unauthorisedly downloading and redistributing the Channels in their network, using DTH Operator’s platform.

8. 8. The DTH Operator shall not:

* (i) Transfer, alienate or part with possession of the IRD and or viewing card to and in favour of any third party without prior written permission of the Company; and

* (ii) Change, remove or shift the IRD and or viewing card from its existing location mentioned at paragraph I.A. above without prior written approval of the Company.
* (iii) In the event the IRD and or viewing card is/are transferred to any other location in contravention to the terms of the agreement, the agreement will be deemed to be terminated without prejudice to any other rights of the Company.

9. 9. DTH Operator shall keep and maintain up-to-date proper, true, fair and correct conditional access log, subscriber management system data, duly executed agreements, forms & contracts with the Subscribers, receipt books regarding payments from the Subscribers, books of accounts and records reflecting all transactions relating to the Services and authorizations of CPE, in particular:

* (a) Name, complete address, billing and payment details of all Subscribers; and

10. 10. DTH Operator shall have such subscriber management system / billing system software & facilities in its system to ensure flexible in adapting and implementing any new schemes/ billing options/ payments modes/ plans etc. of the Company.

11. 11. DTH Operator shall make available all the above data, records, systems information and details for inspection and audit by the Company or representatives, auditors designated by the Company on reasonable notice to DTH Operator, during normal business hours during the term of the Agreement and for one year after its termination. Provided further that neither the Company's acceptance of any such information or payment, nor the Company's inspection or audit of Affiliate's records or accounts shall prevent the Company from later disputing the accuracy or completeness of any payment made or information supplied. The Company and its representatives shall be entitled to visit all offices, head ends, control room and other locations (of DTH Operator and, or, any of its sub operator) for any such inspection and audit. DTH Operator undertakes to provide and cause to provide access all offices, head ends, control room and other locations (of DTH Operator and, or, any of its sub operator) for any such inspection and audit by the Company or its representatives.

12. 12. DTH Operator shall, at the request of the Company, send a report in respect of systems, measures and compliances with above clauses, in accordance with the format and medium, electronic and hard copy, as may be specified by the Company from time to time. Such report shall be authenticated by the agencies / vendors providing conditional access software and Subscriber Management / Billing system software. DTH Operator shall make available all the systems and measures referred to hereinabove for verification, inspection and audit by the Company or representatives, auditors designated by the Company on reasonable notice to DTH Operator, during normal business hours during the term of the Agreement. Provided further that neither the Company's acceptance of any such information or payment, nor the Company's inspection or audit of Affiliate's records or accounts shall prevent the Company from later disputing the accuracy or completeness of the same.


E. Subscriber Reports

1. DTH Operator shall provide, in writing, a complete and true list of the number of the ESS Subscribers, unique Subscriber ID, Set Top Box number. and the Viewing Card number, city and state.(the \"Subscriber Report\"). The Subscriber Report shall be provided in accordance with the format and medium, electronic and hard copy, or as may be specified by the Company from time to time. The Subscriber Report shall be authenticated by the agencies / vendors providing conditional access software and Subscriber Management / Billing system software. The Subscriber Report shall be provided by DTH Operator to the Company within seven (7) days from end of every calendar month


F. Tenure of Agreement

* 2 years


G. Termination of Agreement

1. 1. Without prejudice to the rights of termination set forth elsewhere in the Agreement, a party aggrieved (aggrieved party) of any default / breach by the other party of any term of the agreement, shall give a notice in writing to the other party to cure the breach / remedy. On receipt of the notice, the defaulting party shall take immediate steps to remedy the breach / defect with 45 days of receipt of notice. In case of the defaulting party failing to remedy the breach within the said period of 45 days, the top management of both the parties shall meet and resolve the issue amicably. In case the issue is not resolved, the aggrieved party shall have the right to terminate the agreement by giving 21 days notice in writing, subject to applicable TRAI regulations.


In terms of and subject to regulation 13.2A.5 of the Telecommunication (Broadcasting and Cable Services) Interconnection Regulation, 2004, as amended from time to time, the above terms and conditions may be modified, at any time, by the Company.

Source: espnstar.com - powered by ESPN STAR Sports: Coporate Info: DTH Reference Interconnect Offer T&C
 
So i hope Tata Sky will reduce the price of sports platinum pack . :huh:
 
So i hope Tata Sky will reduce the price of sports platinum pack . :huh:

If you read carefully the RIO the first clause of payment terms makes it compulsory for DTH operators to include the ESS channels in the basic bouqet ...thus removing the Sports Platinum pack altogether...other wise al carte rates will apply...no discounts...which will be 44 and 28 + add Service tax and profit of TS...so platinum pack will become costlier
 
If you read carefully the RIO the first clause of payment terms makes it compulsory for DTH operators to include the ESS channels in the basic bouqet ...thus removing the Sports Platinum pack altogether...other wise al carte rates will apply...no discounts...which will be 44 and 28 + add Service tax and profit of TS...so platinum pack will become costlier

If that is the case then i think TS should add those channels in Basic Pack itself which will cheaper but again some might argue that those who dont want to watch those channels why should they pay........:huh:
 
If that is the case then i think TS should add those channels in Basic Pack itself which will cheaper but again some might argue that those who dont want to watch those channels why should they pay........:huh:

This is a old update man see the latest pricing in ESPN Website. It does not mention to include for basic package.

ESPN
17.72

Star Sports
17.72

Star Cricket
14.98

ESPN & Star Sports Bouquet
23.64
 
You are correct techcool. They don't know what they are reading. I know it was old pricing and was laughing like anything.
 


This is a old update man see the latest pricing in ESPN Website. It does not mention to include for basic package.

ESPN
17.72

Star Sports
17.72

Star Cricket
14.98

ESPN & Star Sports Bouquet
23.64
Thanks for the clarification my friend..........

Hope to see the price change in TS and other DTH service soon......:thumb:
 
Thanks for the clarification my friend..........

Hope to see the price change in TS and other DTH service soon......:thumb:
The terms and conditions are as under:



A. A-la-carte and Bouquet Rates for DTH PlatformChannel Price (INR) Per Subscriber Home Per Month


ESPN
17.72
Star Sports
17.72
Star Cricket
14.98
ESPN & Star Sports Bouquet
23.64
*Company reserves its right, subject to applicable regulations of Telecom Regulatory Authority of India (“TRAI”), to revise the Price per Set Top Box per month mentioned herein above. Upon such revision, the DTH Operator (s) agrees and unconditionally undertakes to pay the revised Subscription Fee pro rata from the effective date of such revision.

*The rates are without prejudice to the Company’s rights, contentions and submissions and are subject to the outcome of the pending appeal filed by the Company before the Hon’ble TDSAT against the Directions dated June 24, 2008 issued by the TRAI.

#Company reserves its right, subject to applicable regulations of Telecom Regulatory Authority of India’s (“TRAI”), to revise the Price per Set Top Box per month mentioned herein above. Upon such revision, DTH Operator agrees and unconditionally undertakes to pay the revised Subscription Fee pro rata from the effective date of such revision.


B. Details of Discount(s)

1.(a) The channels and bouquet(s) set out in A above are the same as are being offered by the Company for non CAS cable distribution.

(b) The rates as set out in A above are 50% of the rates being offered by the Company for non CAS cable distribution, i.e., non-addressable platform.

2. Company may, at its discretion, offer further discount(s) provided the DTH Operator carries/shows all three channels of the Company to its entire universe/ subscribers, on such terms and conditions as may be mutually agreed between the Company and the DTH Operator.


C. Payment and Other Terms


1. This offer does not apply for sale to commercial subscribers like Hotels, Offices & Other Commercial Establishments, Bars, Restaurants, Pubs, Guest Houses, Hospitals, Cinema Halls, Theatres, Public Viewing Areas, Stadium, Clubs and the like for which a separate agreement shall be required.

2. DTH Operator shall pay to the Company the Subscription Fee at the rates mentioned herein above based on the number of Set Top Boxes where the Service are distributed by DTH Operator under the agreement.

3. The Subscription Fee shall be payable in full by DTH Operator to the Company irrespective of the basis of payment by the Subscribers to DTH Operator.

4. The company reserves the right to determine and specify the Subscription Fee plan, on the basis of which the DTH Operator shall sell the Service to its subscribers, from time to time. The current Subscription Fee Plan is as under:
‘DTH operators shall sell the Service to its subscribers on an annualized basis only’.

5. For the purpose of calculating subscription fees payable to the Company, subscriber number of a channel for the month would be considered as the subscriber number of the subscribers subscribing to the Channel(s) on the last date of the previous month.

6. DTH Operator shall furnish to the Company a list of ESS Subscribers at the time of execution of the Agreement and every calendar month thereafter on or before 7th day of beginning of each calendar month. DTH Operator shall be liable to pay to the Company the entire amount of Subscription Fee based on the Subscription Fee Plan opted for by each ESS Subscriber.

7. All amounts due and payable by DTH Operator shall be paid by DTH Operator to the Company on or before the seventh (7th) day of the succeeding English Calendar Month. DTH Operator shall be liable to pay to the Company all amounts due and payable irrespective of whether the ESS Subscribers have actually paid such amounts to him or whether any such ESS Subscribers are active or have been deactivated by DTH Operator.

8. All payments from DTH Operator to the Company under the agreement shall be:

(i) Net of all taxes, levies and other charges and net of any bank charges or transfer or similar fees; and

(ii) Paid by Demand Draft or banker's cheque in favour of 'ESPN Software India Private Limited', payable at its head office or any other place that may be specified by the Company from time to time.

9. Any discounts or similar offerings made by DTH Operator to its Subscribers in respect of the Services shall be at the sole cost and expense of DTH Operator. It is clarified that DTH Operator's obligations to pay the Subscription Fee to the Company shall be in accordance with the Subscription Fee Plan specified by the Company.

10. In the event of any dispute regarding the number of ESS Subscribers declared by the DTH Operator, the Company shall notify the DTH Operator vide a written notice and furnish all relevant details in this regard. In such an event the DTH Operator shall not later than 7(seven) days provide to the Company a detailed report containing correct conditional access log, SMS data and payment details of all subscribers reflecting transaction relating to the Services (ESS Channels), in particular. Such a report shall be authenticated by the agencies/ vendors providing conditional access Software and Subscriber Management/ Billing System Software. The Company may also at its option, require a joint audit with the DTH Operator, in such an event the DTH Operator shall make available all relevant material, the systems and measures referred to hereinabove for verification, inspection and audit by the Company or its representatives, auditors designated by the Company on reasonable notice to the DTH Operator, during normal business hours. If it is established that the numbers of ESS Subscribers who are receiving the Services are more than the ESS Subscribers declared by DTH Operator under the Subscriber Report, the DTH Operator undertakes to pay such increased Subscription Fee immediately thereupon without any delay or demur. Provided further that neither the Company's acceptance of any such information or payment, nor the Company's inspection or audit of the DTH Operator's records or accounts shall prevent the Company from later disputing the accuracy or completeness of the same based on material coming into its possession after such inspection or audit.

11. DTH Operator shall be responsible for payment of all taxes, levies and charges imposed by or under the Statute, law regulation, or administrative procedure relating to the Services or in respect of them.

Now this clarifies the rates but you should also note that further discounts can be offered if all 3 channels are put in the basic package.

Also please remember that these rates do not include service tax/VAT/or entertainment tax and all these taxes will be levied on top of these rates. Also the profit of TS is to be included.



Source: http://www01.espnstar.com/corporate/legal-info/rio-tc/
 
Thanks for the information........i think even if we pay for those 3 channels i think we might end up in paying at the max for Rs. 45............
 

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