Bangladesh holds the potential to develop a thriving Media & Entertainment sector valued at over Tk 10,000 crore. With a population exceeding 170 million and over 40 million households, coupled with the expanding reach of broadband services and increasing consumption of television, sports, and streaming content, the market opportunity could grow significantly as the industry matures, monetization improves, and advertising avenues broaden.
Realizing this potential necessitates a regulatory framework that acknowledges the roles of the Ministry of Information and Broadcasting (MoIB) and the Bangladesh Telecommunication Regulatory Commission (BTRC). MoIB oversees television and broadcast content regulations, while BTRC governs telecommunications networks, connectivity, and Internet Service Providers (ISPs). As broadband and television services merge, maintaining this differentiation becomes crucial.
In light of this, BTRC is reportedly contemplating permitting ISPs to bundle domestic and international Over-The-Top (OTT) and streaming services with broadband packages. However, if not carefully structured, this move could lead to regulatory loopholes and unfair competition, ultimately hindering the formalization and monetization of the Media & Entertainment industry. International regulatory norms typically distinguish between providing connectivity and distributing television and broadcast content. Simply holding an internet connectivity license should not automatically grant the authority to aggregate and commercially distribute such content.
Licensed MoIB television platforms invest in content rights, technology, subscriber management, content security, and infrastructure, adhering to copyright laws, regulatory obligations, and tax requirements. If ISPs can bundle television, streaming, and sports content without similar obligations, they could compete for the same audience and consumer spending under different regulatory conditions. This disparity could disadvantage compliant, licensed operators against those taking a less regulated route to reach the market.
There exists a growing disparity between the current regulatory framework and industry practices. Some domestic OTT platforms stream linear television channels without the required licenses, while certain ISPs engage in unauthorized retransmission and distribution of television channels and premium content. Introducing ISP-OTT bundling without addressing these compliance issues risks legitimizing non-compliant activities. This principle should also extend to digital platforms targeting Bangladeshi consumers from outside the country. Without proper authorization, such activities constitute unauthorized distribution and should face enforcement from MoIB and BTRC.
Failure to address informal or lightly regulated distribution channels may erode the potential value of the Media & Entertainment industry. Licensed broadcasters lose monetization opportunities, and the government misses out on significant revenues from taxes and licensing fees when content rights and consumer spending occur outside the regulated framework.
Moreover, attracting substantial foreign direct investment into the Media & Entertainment sector requires regulatory predictability, fair competition, and robust enforcement mechanisms. Investors seek assurance that regulations will be consistently enforced, ensuring licensed operators are not disadvantaged by unlicensed competitors. Intellectual property rights must also be safeguarded to maintain investor confidence and industry sustainability.
The solution lies in separating the network providing services from the platform aggregating and delivering content. BTRC-licensed ISPs should collaborate with MoIB-licensed broadcasting platforms, with ISPs handling connectivity, marketing, customer acquisition, billing, and revenue sharing, while MoIB-licensed operators manage content aggregation, rights, compliance, subscriber entitlement, and service delivery.
This regulatory division aims to benefit all stakeholders, with ISPs gaining revenue streams, broadcast operators expanding distribution, content owners securing accountable partners, consumers enjoying more choices, and the government boosting tax revenues. Upholding this principle ensures that regulatory oversight aligns with content distribution activities, irrespective of the delivery technology.
Regulatory decisions concerning television and content distribution should be part of a comprehensive Broadcasting Act that establishes a consistent licensing, aggregation, and enforcement framework across different technologies. Addressing ISP-OTT matters within this comprehensive framework will establish a level playing field, protect content rights, and facilitate new distribution models.
Enforcement against piracy, unauthorized content distribution, and platforms operating outside licensing guidelines is crucial to safeguard compliant operators and enhance market value. Effective enforcement aims to attract more viewers, content, and revenues, encourage foreign investments, and unlock the full potential of the Media & Entertainment sector.
By ensuring regulatory clarity, fair competition, and robust enforcement, Bangladesh can nurture a vibrant Media & Entertainment industry poised for sustainable growth and innovation.
