Stating that the government's decision to not allow news broadcasts on private FM radio has "no logic", Star India on Sunday said the move has killed the business potential of the sector.
"There is absolutely no logic for not allowing news on radio. You have just left Bollywood music for radio (private FM channels), which has completely killed the creative and business potential of the sector," Star India CEO Uday Shankar told PTI.
He said the government should allow news to be carried by private operators, who are otherwise "dying" for the lack of creative and business opportunities.
Radio is a small business and power comes from localisation and innovation and a very important part of the content is news, he added.
Shankar asserted that if the government was concerned about the quality of news going on air, it could specify the source of news collection.
"If the government is concerned, a simple solution could be to ensure that they can only take news from accredited news agencies... I'm sure there are ways in which these concerns could be addressed," Shankar said.
He said because of the existing business environment, Star exited from the radio business, as it would not like to get into any business where it could not improve the quality of content.
"We exited primarily because the way radio is at the moment. We don't see a huge content possibility and the economics doesn't support any serious creative initiative," Shankar said.
Star India had stake in a radio channel, Radio City, but had exited the business in 2005.