This study deals with the regulatory policy of government on the convergence of broadcasting and telecommunication by applying rent seeking theory to Internet Protocal TV (IPTV). Existing literature has mainly focused on the negative implications of rent seeking since Tullock [1967], Krueger [1974] and Buchanan [1980]. We have investigated the regulatory policy along with the progress of the convergence of broadcasting and telecommunication. Regulatory policy on broadcasting, despite its impartial intent. has created the entry barrier in the industry, resulting in high rents. Meanwhile, regulatory policy in telecommunication is more geared by the encouragement of more competitive environments, resulting in reasonably low rents in the market. Regulatory policy in the age of convergence needs to improve the efficacy of the industry and welfare, while maintaining the rent at a reasonably low level. This research has contributed to emphasizing the positive aspect of rent seeking in policy concerned with the convergence of broadcasting and telecommunication, notably IPTV.