Digital news media policy leaves several questions unanswered
Live MintLast month, the government issued clarifications regarding its earlier press note on 26% foreign direct investment in digital news sites, a move that has left several questions unanswered. To be sure, experts in internet law feel that although there may be a need to introduce regulatory frameworks that can govern digital news media in a manner that ensures accountability, best practices for fact-checking and reporting, “the introduction of an FDI cap of 26% in a growing segment of the industry will only lead to over-regulation without actually addressing the aspects that may require some regulation”, said Amber Sinha, executive director at the Bengaluru-based think tank Centre for Internet and Society. “It is not clear if this only includes news agencies which distribute content exclusively to digital news media entity and digital news aggregators,” Sinha added. For now, foreign media companies, which may have set up 100%-owned digital news sites here, will scramble to rejig their business models and shareholdings within a year to comply with the guidelines.