industry

Telcos likely to urge Trai to frame similar rules for all players


Telecom companies plan to urge the sector regulator to take steps such that communication apps like WhatsApp and Skype and telcos come under similar regulations which include a reduced licence fee and identical auditing methods.

“We will ask the regulator to wield a ‘light-touch regulation’ for all telecom service providers including Over-The-Top (OTT) players. We will request for reduced licence fees, spectrum usage charge and one point of audit and overall ease of doing business that should apply to all similar service providers,” said a person aware of the development.

This will be part of the views that will make up telcos’ submissions in response to the Telecom Regulatory Authority of India’s (Trai) recent paper on whether some (OTT) players need to be brought under a regulatory regime.

OTT services refer to applications and services that are accessible over Internet and ride on an operator’s network. Skype, Viber, WhatsApp and Hike are some examples of popular OTT services.

The three non-state telcos — Bharti Airtel, Vodafone Idea and Reliance Jio Infocomm — attended an industry meeting held on Friday to discuss what stance they should take on the issue.

According to people present at the meeting, the initial round of discussions would be followed up by a few more meetings and the final report will be submitted in next 15-20 days. The three companies did not respond to ET’s queries on the matter.

Last week, Trai invited the industry’s views to identify which of these communication apps should be regarded as providing the same services as mobile phone operators. It also wanted to look into the costs and benefits of bringing these communication apps, or OTT services, under the regulatory regime.

It asked if communication apps needed to be regulated like telcos for issues around lawful interception in the interests of national security. Such apps are sometimes used to spread harmful rumours and their origins are hard to trace, rendering security agencies helpless.

The regulator wanted to know if OTT players that provide communications services be treated differently from licensed telcos which need to ensure privacy and security of data.

Trai had also asked if there was an issue of “non-level playing field” between OTT providers and telecom service providers giving same or similar services and sought suggestions on whether regulatory or licensing rules be imposed on OTT service providers to fix such regulatory imbalance.

Telecom companies in India have long been demanding that OTT players be brought in the ambit of the regulatory framework, as they offer similar services without attached licencing obligations, conditions and levies (such as licence fee). In addition, telecom operators also have to abide by stringent service quality benchmarks and invest in networks and infrastructure. OTTs argue that a regulatory regime for them would stifle innovation.





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