TRAI lobs an ad-cap googly just as TV broadcasters struggle with falling ads

The Telecom Regulatory Authority of India (TRAI) has issued show cause notices to major television broadcasters for violating the 12-minute advertising cap per clock hour, sharpening a dispute that has been in litigation for more than a decade.

Broadcasters have 15 days to explain why action should not be taken under the Ad Cap Regulations of 2012. The matter remains sub judice, with the Delhi High Court having granted interim relief in 2013.

Industry executives said TRAI has also sought vacation of the interim stay granted to broadcasters by the Delhi High Court. The next hearing is scheduled for January 27, 2026.


Notices have been sent to leading entertainment networks JioStar, Zee Entertainment, Culver Max Entertainment, and Sun TV Network, and to news broadcasters TV Today Network, Network18, and Zee Media.

The move comes amid a 10% year-on-year drop in television advertising volume in the first nine months of 2025, according to TAM AdEx. Executives attribute the decline to weaker consumer demand and tighter budgets among FMCG companies, the sector's largest advertisers.

Broadcasters' revenues have remained under pressure. Zee Entertainment's ad income fell 11% to Rs 3,591 crore in FY25. Sony Pictures Networks India reported a 9% decline to Rs 2,606 crore, while Sun TV Network saw a 4% drop to Rs 1,440 crore.

TRAI has cited its powers under the TRAI Act and the Standards of Quality of Service (Duration of Advertisements in Television Channels) Regulations, 2012, which limit ads to 12 minutes in any clock hour. The regulator also referenced its 2013 order requiring broadcasters to submit weekly ad duration data for all channels.

The notices come as the Ministry of Information and Broadcasting proposes new rules for TV audience measurement, including mandatory CTV viewership reporting and the exclusion of landing page viewership.

Industry executives say the parallel regulatory actions could materially affect ratings and monetisation models.