New Delhi, Nov 28 (KNN)  To curb dominance of a single player in the cable sector, the Telecom Regulatory Authority of India (TRAI) has recommended restrictions on the market share that a single Multi System Operator (MSO) can hold.

As per recommendations made by the broadcasting regulator, rules should be amended to ensure that market share of MSOs is restricted up to 50 per cent.

In its recommendation, TRAI approved the Herfindahl-Hirschman Index (HHI) for measuring the level of competition or market concentration in a state.

HHI has to be used for measuring the level of competition or market concentration in a relevant market, it said.

It made the recommendations after the Information and Broadcasting Ministry sought its advice saying that the cable TV distribution had been virtually monopolised by a single entity in some states.

“A time of 12 months is given to group(s), contributing more than 2,500 to market HHI of a relevant market, to limit its ‘control’ in various MSOs or LCOs in such a way that the contribution of market HHI of that ‘group’ reduces to less than or equal to 2500,” said the recommendation. (KNN/ST)