TRAI Recommendations On ISP Licenses And Internet Telephony

The Telecom Regulatory Authority of India (TRAI) has submitted key recommendations on ISP and Internet Telephony to the Department of Telecommunications:

Internet Telephony: The TRAI has recommended the removal of restrictions on devices and protocol for Internet Telephony to be removed, and for promoting the use of authorized Internet Telephony services. It has, however, recommended that ISPs not be permitted to have PSTN/PLMN (Landline/Mobile) connectivity, which is a bit of a dampener. The TRAI has observed that of the 128 Internet Telephony Service Provider licenses issued by the DoT, only 32 are in use, and it attributes this to the lack of viability due to the existence of unregistered Internet telephony providers.

One stakeholder has commented in the report that “since Skype / Google type service providers are not licensed to provide such services in India without having facility for lawful interception, therefore, the vigilance and monitoring efforts are required to be beefed up, as these applications not only bypass the laws and regulations of the land, but also pose a threat to security. As such these services should be blocked.” Also disappointing is the recommendation that scope of ‘Internet Telephony’ be extended to include PC to PC communication within or outside India.

ISPs: The TRAI also recommends that all non-operational ISPs be identified and if they’re not interested in rolling out services, the should surrender their license, subject to certain charges. They’ve observed that out of 700 licenses issued within 3 years of opening ISP services to the private sector, only 389 licensees remain, and only 135 are active ISPs. They’ve also recommended an entry license fee of Rs. 20 lakhs for category A ISPs, and Rs. 10 lakhs for Category B ISPs. Meanwhile, I really wish they’d do something about the quality of service. My MTNL connection’s been iffy since yesterday, and after trying to get through to the call center for 45 minutes, I gave up. “The queue is full. Please try again later”.

Download/Read the TRAI recommendations here.

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