{"id":26838,"date":"2024-02-12T13:28:36","date_gmt":"2024-02-12T13:28:36","guid":{"rendered":"https:\/\/edukemy.com\/blog\/?p=26838"},"modified":"2024-02-12T13:28:38","modified_gmt":"2024-02-12T13:28:38","slug":"though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for","status":"publish","type":"post","link":"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/","title":{"rendered":"Though 100 percent FDI is already allowed in non-news media like a trade publication and general entertainment channel, the government is mulling over the proposal for increased FDI in news media for quite some time. What difference would an increase in FDI make? Critically evaluate the pros and cons. (12.5 marks, 200 words)"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><a href=\"https:\/\/edukemy.com\/upsc\/upsc-gs-advance-and-mentorship-program-ampcsat?utm_source=Blog&amp;utm_medium=Link&amp;utm_campaign=GS+Advanced\" target=\"_blank\" rel=\"noreferrer noopener\"><img fetchpriority=\"high\" decoding=\"async\" width=\"1280\" height=\"300\" src=\"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/07\/Attempt-our-Daily-Weekly-Current-Affairs-Quiz-now-8.png\" alt=\"\" class=\"wp-image-43397\" srcset=\"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/07\/Attempt-our-Daily-Weekly-Current-Affairs-Quiz-now-8.png 1280w, https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/07\/Attempt-our-Daily-Weekly-Current-Affairs-Quiz-now-8-1170x274.png 1170w, https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/07\/Attempt-our-Daily-Weekly-Current-Affairs-Quiz-now-8-585x137.png 585w\" sizes=\"(max-width: 1280px) 100vw, 1280px\" \/><\/a><\/figure><\/div>\n\n\n<p>The ongoing deliberation regarding the augmentation of Foreign Direct Investment (FDI) in news media has sparked significant discourse within governmental circles and the media industry alike. While the current policy permits 100 percent FDI in non-news media such as trade publications and general entertainment channels, the potential extension of this allowance to news media is under careful consideration by the government. Advocates of heightened FDI contend that it could inject fresh capital, foster technological advancements, and enhance global competitiveness within the news sector. Moreover, proponents argue that increased FDI could diversify ownership, potentially mitigating monopolistic tendencies and promoting editorial independence. However, critics express apprehension, cautioning against the risk of foreign influence compromising journalistic integrity and national sovereignty. They argue that heightened FDI could lead to sensationalism, biased reporting, and the erosion of cultural identity. Additionally, concerns about market dominance by multinational corporations and the marginalization of local players underscore the complexity of the issue. Therefore, any decision to augment FDI in news media demands a nuanced evaluation of its potential benefits and pitfalls to ensure the preservation of journalistic ethics and national interests.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p><strong>Tag: <\/strong>Government policies and interventions for development in various sectors and issues arising out of their design and implementation.\u00a0\u00a0<\/p><\/blockquote>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_73 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<label for=\"ez-toc-cssicon-toggle-item-6a1f631b64d63\" class=\"ez-toc-cssicon-toggle-label\"><p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-cssicon\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a1f631b64d63\"  \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#Decoding_the_Question\" title=\"Decoding the Question:&nbsp;&nbsp;\">Decoding the Question:&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#Answer\" title=\"Answer:&nbsp;&nbsp;\">Answer:&nbsp;&nbsp;<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#Pros_of_Increased_FDI_in_News_Media\" title=\"Pros of Increased FDI in News Media:&nbsp;&nbsp;\">Pros of Increased FDI in News Media:&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#Cons_of_Increased_FDI_in_news_media\" title=\"Cons of Increased FDI in news media:&nbsp;&nbsp;\">Cons of Increased FDI in news media:&nbsp;&nbsp;<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#In_case_you_still_have_your_doubts_contact_us_on_9811333901\" title=\"In case you still have your doubts, contact us on 9811333901.&nbsp;\">In case you still have your doubts, contact us on 9811333901.&nbsp;<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/edukemy.com\/blog\/though-100-percent-fdi-is-already-allowed-in-non-news-media-like-a-trade-publication-and-general-entertainment-channel-the-government-is-mulling-over-the-proposal-for-increased-fdi-in-news-media-for\/#Visit_our_YouTube_Channel_%E2%80%93_here\" title=\"Visit our YouTube Channel &#8211;&nbsp;here\">Visit our YouTube Channel &#8211;&nbsp;here<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Decoding_the_Question\"><\/span><strong>Decoding the Question:<\/strong>&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>In the Introduction, try to write about the importance of FDI.<\/strong>\u00a0\u00a0<\/li><li><strong>In Body, assesses both, the Pros and Cons of increased FDI in news media.<\/strong>\u00a0\u00a0<\/li><li><strong>In Conclusion, write about the benefits of FDI.\u00a0<\/strong>\u00a0\u00a0<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Answer\"><\/span><strong>Answer:<\/strong>&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Currently, 26% FDI is allowed in news media, and the government has tabled a proposal to increase it to 100%. Increase of FDI to 49% would ensure that ownership of the media company would still be Indian hands, but 100% FDI would allow wholly foreign-owned companies to function in India. Considering the fact that news is a sensitive issue, it will hold various implications and repercussions for the news media industry.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Pros_of_Increased_FDI_in_News_Media\"><\/span><strong>Pros of Increased FDI in News Media:<\/strong>&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\"><li>This is one step closer to <strong>liberalizing the FDI regime<\/strong> for entities engaged in the News Digital Media Sector.&nbsp;&nbsp;<\/li><li>&nbsp;It will mitigate the effect of Yellow Journalism (sensationalism) and broaden the scope for investigative journalism.&nbsp;&nbsp;<\/li><li>This step will bring <strong>financial resources to the Media House<\/strong> and bring <strong>new state-of-the-art technology<\/strong> in media and digital platforms.&nbsp;&nbsp;<\/li><li>It will bring internal democracy to the working of the media and bring transparency, responsibility, accountability in media sections which reduce the unscrupulous practice of domestic media houses.&nbsp;&nbsp;<\/li><li>It also helps in diversifying media coverage.&nbsp;&nbsp;&nbsp;<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Cons_of_Increased_FDI_in_news_media\"><\/span><strong>Cons of Increased FDI in news media:<\/strong>&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul class=\"wp-block-list\"><li>Ambiguity in <strong>language and in interpretation<\/strong> of who qualifies as a news aggregator or a news agency.&nbsp;&nbsp;<\/li><li>The practicality of regulating <strong>digital media \u201cin a global internet environment<\/strong>\u201d is against freedom of speech.&nbsp;&nbsp;<\/li><li>This will invite more <strong>Government interference in the media<\/strong>. Media can be used for their own benefit.&nbsp;&nbsp;&nbsp;<\/li><li>FDI in media is seen as the government is trying to restrict digital media companies in India and find levers to exercise control.&nbsp;&nbsp;<\/li><li>It will affect <strong>domestic players<\/strong> in media and digital platforms.&nbsp;&nbsp;<\/li><li>It can also harm the stakeholder of a large spectrum, i.e., Bureaucrat, politicians, commercial firms, and people.&nbsp;&nbsp;<\/li><li>It may increase lobby, grouping, partisanship, malafide collaboration, etc., by the external player for policy norms regarding media might and will make the condition of chaos and confusion.&nbsp;&nbsp;<\/li><\/ul>\n\n\n\n<p>The requirement for building and owning large-scale last-mile networks is much more capital intensive than pure digitization of the networks. Hence, <strong>enhanced FDI Limits will help the industry as more and more players start building last-mile networks on a larger scale.<\/strong>\u00a0\u00a0<\/p>\n\n\n\n<figure class=\"wp-block-image size-full is-resized\"><a href=\"https:\/\/edukemy.com\/upsc\/upsc-essay?utm_source=Blog&amp;utm_medium=Banner&amp;utm_campaign=Essay\" target=\"_blank\" rel=\"noreferrer noopener\"><img decoding=\"async\" data-src=\"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/06\/UPSC-Essay-Course-1280\u00d7300-1-3.svg\" alt=\"\" class=\"wp-image-42688 lazyload\" width=\"781\" height=\"182\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 781px; --smush-placeholder-aspect-ratio: 781\/182;\" \/><\/a><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"In_case_you_still_have_your_doubts_contact_us_on_9811333901\"><\/span><strong>In case you still have your doubts, contact us on 9811333901.<\/strong>&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>For UPSC Prelims Resources,&nbsp;<a href=\"https:\/\/edukemy.com\/upsc-cse-prelims-resource-centre\" target=\"_blank\" rel=\"noreferrer noopener\">Click here<\/a><\/p>\n\n\n\n<p>For Daily Updates and Study Material:<\/p>\n\n\n\n<p>Join our Telegram Channel &#8211;&nbsp;<a href=\"https:\/\/t.me\/WithEdukemy4IAS\" target=\"_blank\" rel=\"noreferrer noopener\">Edukemy for IAS<\/a><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>1. Learn through Videos &#8211;&nbsp;<a href=\"https:\/\/bit.ly\/3vOD8sU\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/li><li>2. Be Exam Ready by Practicing Daily MCQs &#8211;&nbsp;<a href=\"https:\/\/bit.ly\/3Q9z2nF\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/li><li>3. Daily Newsletter &#8211; Get all your Current Affairs Covered &#8211;&nbsp;<a href=\"https:\/\/bit.ly\/3bE2y5J\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/li><li>4. Mains Answer Writing Practice &#8211;&nbsp;<a href=\"https:\/\/bit.ly\/3mZuVxl\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Visit_our_YouTube_Channel_%E2%80%93_here\"><\/span>Visit our YouTube Channel &#8211;&nbsp;<a href=\"https:\/\/www.youtube.com\/@ShabbirsEduKemyforIAS\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><span class=\"ez-toc-section-end\"><\/span><\/h4>\n","protected":false},"excerpt":{"rendered":"<p>The ongoing deliberation regarding the augmentation of Foreign Direct Investment (FDI) in news media has sparked significant discourse within governmental circles and the media industry alike.<\/p>\n","protected":false},"author":17,"featured_media":26839,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[1500],"tags":[1629,176,142,232,145,140],"class_list":["post-26838","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-upsc-mains-solved-paper-gs-2","tag-fdi","tag-general-studies-2","tag-previous_year_questions","tag-upsc","tag-upsc-mains-question-paper","tag-upsc_preparation_strategy"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/posts\/26838","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/comments?post=26838"}],"version-history":[{"count":1,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/posts\/26838\/revisions"}],"predecessor-version":[{"id":26840,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/posts\/26838\/revisions\/26840"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/media\/26839"}],"wp:attachment":[{"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/media?parent=26838"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/categories?post=26838"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/edukemy.com\/blog\/wp-json\/wp\/v2\/tags?post=26838"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}