Over-the-top (OTT) communication providers have refused the telcos’ demand to bring OTTs under a licensing or authorisation regime. They stated that apps are already regulated under the Information Technology Act (2000).
Industry bodies representing the OTT players, in response to the Telecom Regulatory Authority of India (TRAI)’s consultation paper seeking inputs on service authorisations under the newly passed Telecommunications Act, have cautioned against bringing the apps under regulation.
According to the Broadband India Forum (BIF), different services require different terms and conditions, and a single authorisation will be arbitrary and greatly damage the regulatory framework. This move would consolidate power within the hands of a few, undermining the intended benefits of liberalisation and market expansion.
Meanwhile, as per Asia Internet Coalition (AIC), the telcos’ arguments around ‘level playing field’ and ‘same service, same rules’ are unfounded and cannot apply to fundamentally different services. The demand from subscribers for content drives the demand for broadband access, and the availability of broadband access drives demand for content.
Further, Internet and Mobile Association of India (IAMAI) clarified that OTT services do not free ride on telecommunications service providers (TSP) networks, as they contribute highly to driving revenue for the telcos.
In addition, TRAI will host an open discussion on the paper on August 21, 2024.
