Vodafone India has stated that the over the top (OTT) operators like WhatsApp, Viber, Hike and Facebook should be taxed to maintain a level playing field with telecom operators. Growing speed of data and rapidly-rising internet user base have lead to the rapid increase in the number of subscribers for services like WhatsApp and Facebook. However, these companies are not required to pay for spectrum, which is one of the biggest costs for mobile operators.
The company is of the view that the growing business of OTT players is impacting the business of mobile operators. For instance, services like WhatsApp have led to a decline in revenues from SMS, while free calling on Skype and Viber (especially from international markets) is impacting the voice revenues of telecom operators.
The Telecom regulatory Authority of India (TRAI) is already looking into the issue after operators expressed concern over the matter. Meanwhile, the Association of Unified Telecom Service Providers of India (AUSPI) has raised concerns over lack of regulations to ensure service quality provided to users by OTT players.
