4. When sensex was 21K, ad spend on radio was 5% , When sensex was at 8K, it was 25% Powerful pillar of media and a cost effective solution to advertisers
26. March 2000 : Govt invites Private sector into FM radio… Initial plan : 108 FM radio frequencies across 40 Tier I & Tier II cities… 101 bids received but only 21 stations operational. High license fee, yearly escalations of 15% hampers FM growth Phase 1
27. November 2005: Announcement of Phase II Part 1: Frequencies offered in Phase I and not operational Part 2: Frequencies in new towns already not covered Initial plan: 337 channels, under 5 categories, based on city population 245 channels issued; 136 channels operational Fee Structure better than phase I Only one channel per city No news or current affairs Phase 2
28. Expected to add 780 Radio Channels in 275 more cities TRAI recommends that FM stations be allowed to: Air News and current affairs Have multiple licenses in a city Change of broadcasting license unit from city to district. Licenses in Tier III and Tier IV cities Phase 3