The go-ahead given by the Cabinet for the Phase III auction of FM radio channels will provide the much-needed boost to the sector and help in its resurgence, according to industry players.
Welcoming the decision, they said the phase III expansion of FM radio channels will not only provide entertainment to the listeners in tier II and III cities but would also generate employment.
"We are happy. Despite long delay, it is now happening," Radio City CEO Apurva Purohit told PTI.
Stating that the FM radio sector was needing steps for "resurgence", she said it has been provided by the government.
According to Tarun Katiyal, CEO Reliance Broadcast Network, which operates 92.7 Big FM, it is an "excellent step in the right direction" and would take media and entertainment industry to a new level.
"It would not only provide entertainment but also provide employment. It would also help the entrepreneurs and small and big organisation to reach to their customers in hinterland," he added.
RED FM COO Nisha Narayanan welcomed the government's decision to allow migration to phase III from phase II based on the migration fee formula recommended by the Telecom Regulatorty Authority of India.
"This approval is critical for the industry since some of the licences were getting over on March 31, 2015. We are extremely happy and excited with this development and we look forward to the early culmination of the e-auction process," she said.
