As traditional broadcasting services gradually decline with the rise of OTT platforms and interactive digital media, the Indian government has taken a step that aims to cushion the blow for providers. The Centre has officially removed the long-standing 12-minute-per-hour advertisement duration cap for television channels. However, the move may risk losing consumer subscriptions, raising questions about whether the step is substantial.
The Ministry of Information and Broadcasting notified the Cable Television Networks (Amendment) Rules, 2026, in the Gazette on August 21. The official notification read, “In the Cable Television Networks Rules, 1994, in rule 7, sub-rule(11) shall be omitted.” The clause had previously restricted ad time to 12 minutes per clock hour.
The advertisement cap was introduced in 2006, when there were only 62 TV channels. Currently, platforms including DTH, Cable TV, HITS and IPTV carry 300 to 900 channels. They hold a greater variety of channels and meet diverse consumer needs.
The ministry had earlier mentioned that there is a need to adapt rules according to the changes that have occurred in the TV broadcasting sector. It highlighted that the sector is heavily dependent on advertising revenue, irrespective of whether a channel is ‘pay’ or ‘free to air.’
While digital platforms like YouTube, Instagram and OTT streaming apps have no legal ad caps, traditional TV channels compete for the same advertising revenue. The ministry aimed to level this gap.
According to a report by TAM AdEX, television advertising volumes in India declined by 7 per cent during January to July 2026.
While the 12-minute ad-cap removal might initially seem to increase advertising revenue, the move might have the opposite effect. OTT platforms like Prime Video and JioHotsar have ad durations of around 2 to 4 minutes per hour. YouTube has 6-second to 30-second advertisement breaks and also offers the option to skip through them.
This indicates that if TV channels flood the screen with long ad breaks, consumers can hesitate to extend or take up new subscriptions. A reduction in the number of consumers result in low visibility, which will in turn lead to lesser advertising revenue.
Traditional broadcasting revenue has already been declining over the years, caused by a lack of subscribers. An All India Digital Cable Federation report highlighted a decline in pay-TV households to 111 million in 2024 from 151 million in 2018. The report also predicted it could further shrink by 71 million and 81 million homes by 2030.
