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TRAI excludes likes of Google, Telegram, WhatsApp from new licensing rules
The Telecom Regulatory Authority of India (TRAI) has recommended a streamlined licensing framework under the new Telecom Act. The proposal includes reducing entry fees and eliminating renewal fees and aims to replace the current licensing regime.
TRAI believes that the sandbox would allow telecom service providers, startups, and other stakeholders to experiment with new technologies and services within a controlled and flexible regulatory environment.
The Telecom Regulatory Authority of India (TRAI) has issued recommendations to streamline the licensing framework under the new Telecom Act. The rules promote "One Nation One Authorisation" approach.
The proposal doesn't mention OTT services, while satellite services and infrastructure sharing are encouraged.
The announcement holds significance because telecommunications companies have been urging for a "same service, same rules" approach that would subject OTT platforms to similar regulations as traditional telecom services.
Storyboard18 recently reported how the debate around regulating OTT communication apps like WhatsApp, Telegram, and Google Meet in India has heated up —with telecom companies, including Jio, Airtel, and Vodafone, arguing that OTT apps should be regulated under the Telecommunications Act, 2023, as they rely on telecom infrastructure.
TRAI released Consultation Paper on the framework for service authorisations to be granted under the Telecom Act, in July, and was actively discussing the regulation of OTT communication services and held an open house discussion on August 21, amid the ongoing debate.
The likes of Broadband India Forum (BIF), National Association of Software and Services Companies (NASSCOM) and the Internet and Mobile Association of India (IAMAI) have argued that OTTs are already governed by the Information Technology Act 2000. Last year, the then telecom Minister Ashwini Vaishnaw also clarified that OTT apps are governed by the IT Act and not the Telecom Act.
Despite that, telecos pushed for OTT services to be regulated on par with themselves to ensure a ‘level playing field’— subjecting OTTs to a similar licensing regime and taxation as telcos.
Read more: COAI asserts OTT apps like WhatsApp fall under Telecom Act citing 'national security' reasons
On September 18, TRAI released recommendations on the 'Framework for Service Authorisations to be Granted Under the Telecommunications Act, 2023’.
TRAI's recommendations suggest allowing satellite-based services to provide calling and messaging capabilities, expanding the scope of service offerings in the telecom sector. It further encourages the sharing of both active and passive infrastructure among service providers, which could lead to enhanced efficiency and reduced operational costs.
TRAI recommended significant reduction in entry fee while categorising services into three broad segments: main service authorisations, auxiliary service authorisations, and captive service authorisations.
The authority called for the central government to issue service authorisations, based on predefined criteria, instead of entering into any entity specific agreement.
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