The Indian cable TV industry, once a dominant force in household entertainment, is now facing its most turbulent phase, with declining subscriber numbers, mounting financial pressure on operators, and alarming job losses across the sector. A new employment-focused study released by the All India Digital Cable Federation (AIDCF) in June 2025 brings into sharp focus the challenges confronting the linear television distribution ecosystem as it struggles to stay relevant in the era of digital disruption.

For over three decades, cable television in India has remained the most affordable and accessible source of entertainment and information for millions of families. Thriving on the motto “kam daam, zyada samaan”, the sector built a vast and competitive distribution framework. However, as consumers pivot to on-demand and internet-based streaming platforms, and regulatory gaps allow digital-first platforms to flourish unchecked, the traditional cable TV model finds itself grappling with unprecedented headwinds. According to the report by AIDCF, prepared in collaboration with Ernst & Young (E&Y), the pay TV home base in India has witnessed a drastic drop — falling from 151 million in 2018 to 111 million in 2024, a loss of 40 million households.

The E&Y-backed study surveyed 28,181 Local Cable Operators (LCOs) across India in November and December 2024 and uncovered distressing trends. About 93 percent of LCOs reported a reduction in subscriber base since 2018, with nearly half claiming over 40percent decline. As a direct consequence, employment generated by these operators dropped by a staggering 31 percent. The LCOs surveyed said they had collectively cut 37,835 jobs. When extrapolated to the national scale, this translates to an estimated 1.14 to 1.95 lakh jobs lost across the sector.

Among the key factors driving this erosion are the inability of operators to raise subscription rates despite increasing channel costs, the widespread shift of viewers to OTT and Free Dish platforms, and a notable decline in secondary TV connections within households. Additionally, concerns were raised over the perceived decline in the quality of content on linear television compared to OTT offerings.

S.N. Sharma, President of AIDCF, in a statement accompanying the report, termed it “a call to action” for the industry and policymakers. He underlined that while innovation must be encouraged, it is equally important to ensure that traditional cable operators are not left behind. “We urge regulators and government authorities to enable a fair playing field, protect jobs, and restore balance to this vital ecosystem,” he said.

The report also stressed that this issue goes beyond the industry’s internal challenges. As Ashish Pherwani, Partner and Media & Entertainment Leader at EY India, noted, “This is not merely an industry concern; it is an economic and social issue that needs immediate attention.” He highlighted the cascading impact of the pay TV decline, particularly on employment, and called for urgent policy interventions to sustain the cable TV model as a viable and competitive content distribution platform.

To prevent further attrition in the cable space, the report recommends several possible measures — including differential pricing based on region-specific affordability, reactivating over 20 million inactive STBs, curbing the free streaming of premium TV content on digital platforms, and enabling better parity in regulatory oversight across Free TV, FAST channels, pay TV, and OTT platforms.

The Ministry of Information & Broadcasting, in its response to the report, has acknowledged the difficult phase the cable industry is experiencing. Sanjiv Shankar, Joint Secretary, reiterated the Government’s commitment to ensuring a fair, inclusive, and competitive broadcasting environment. “A fine balance must be struck between fostering innovation and safeguarding the sustainability of traditional distribution mechanisms,” he said, applauding AIDCF for producing a report that would serve as a key reference point in future policymaking.

With projections suggesting pay TV homes could drop to as low as 71–81 million by 2030 if current trends continue, the need for a collaborative, forward-looking strategy is more urgent than ever. The AIDCF, through this report, has made a compelling case for intervention—before India’s cable backbone buckles under the weight of disruption.