SC Clears CCI Investigation into JioStar over Alleged Abuse in Kerala TV Market

SC Clears CCI Investigation into JioStar over Alleged Abuse in Kerala TV Market
SC clears CCI investigation into JioStar over alleged abuse in Kerala TV market

On January 27, JioStar's request to prevent the Competition Commission of India (CCI) from looking into claims of monopolistic practices in the television distribution industry in Kerala was denied by the Supreme Court.  The court decided that the issue merits further inquiry and permitted CCI to carry out its investigation. The Kerala High Court's decision on December 3, 2025, which also denied JioStar's appeal, was challenged in court by the entertainment unit company controlled by Reliance Industries.

What Triggered JioStar Controversy?

Asianet Digital Network Ltd. filed a complaint accusing JioStar of unfair and preferential pricing practices, which sparked the dispute. JioStar is specifically supporting Kerala Communicators Cable Ltd. through marketing and promotional incentives, according to Asianet Digital Network Ltd. The complaint claimed that these actions disadvantaged other distributors and went against the rules of fair competition in the industry.

However, JioStar argued that the Telecom Regulatory Authority of India (TRAI), which controls licensing and pricing, is the only body that can regulate broadcasters' operations. The corporation requested judicial intervention to stop the investigation, claiming that CCI lacked the authority to look into its business activities. Asianet referred to the separate marketing or promotional agreements that JioStar used to effectively give KCCL discounts of more than 50% as sham agreements. While Asianet had to pay higher rates for the same programming, Asianet said that these agreements allowed KCCL to acquire channels at significantly reduced effective prices, allowing it to provide more affordable bundles, draw in subscribers and local cable operators, and increase its market share.

What Kerala High Court Ruling State?

A single-judge bench decided in May 2025 that even in a controlled industry, CCI can investigate any abuse of dominance. In December 2025, a second Division Bench reaffirmed the same stance and gave CCI eight weeks to finish its inquiry.

The High Court highlighted that CCI's ability to evaluate anti-competitive activity or dominant market position is not limited by TRAI's regulatory authority. JioStar may be subject to fines or corrective action under the Competition Act if CCI's inquiry concludes that the firm has abused its dominant position.

Quick Shots

•Supreme Court rejects JioStar’s plea to halt CCI investigation into Kerala TV market.

•SC says allegations require detailed probe; allows CCI to continue inquiry.

•JioStar had challenged Kerala High Court orders of Dec 2025 before the SC.

•Complaint filed by Asianet Digital Network Ltd alleging unfair pricing practices.

•Asianet claims JioStar gave preferential discounts to Kerala Communicators Cable Ltd (KCCL).

•Alleged use of marketing and promotional agreements to offer over 50% effective discounts.

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