← All questionsGS2 · 2014 · Governance ·FDI in News Media
MAINS 2014
GS2
12.5 marks

Though 100 percent FDI is already allowed in non-news media like trade publication and general entertainment channel, the Government is mulling over increased FDI in news media. What difference would an increase in FDI make? Critically evaluate the pros and cons.

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What the examiner wants

Critically evaluate what higher FDI in news media would change and its pros and cons.

Critically evaluateJudge the merits and the limits with evidence, and give a clear verdict.

Demand-wise check

  1. 1Present caps: news print and TV news limited (raised from 26% to 49% for TV news in 2015; digital news 26%), unlike 100% in non-news≈35 words
  2. 2Pros: capital for loss-making outlets, technology, global journalistic standards, less dependence on political or corporate owners≈35 words
  3. 3Cons: foreign influence on public opinion and elections, national security, editorial control, cultural concerns≈35 words
  4. 4Safeguards: Indian editorial control, security clearance, cross-media ownership rules, disclosure≈35 words

Open in about 30 words and close in about 30.

Answer plan

Current policyWhat changes with more FDIProsConsSafeguardsConclusion

Where marks usually go

  • Treating news media like any other sector
  • No safeguard suggestions

Draw this

  • Table: news vs non-news media FDI caps and concerns

Value addition

  • ReportTRAI recommendations on Issues relating to Media Ownership (2014) proposed cross-media ownership limits and disclosure norms.TRAI, 2014
  • PolicyFDI limit for news TV channels was raised from 26% to 49% (government route) in November 2015.DIPP, 2015

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