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Trai seeks industry opinion to regulate apps like WhatsApp, Skype, Facebook
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Trai seeks industry opinion to regulate apps like WhatsApp, Skype, Facebook
Nov 13, 2018 5:15 AM

The Telecom Authority of India (Trai) has issued a consultation paper to debate if over-the-top (OTT) players such as WhatsApp, Facebook, Skype, among others should be brought under the same regulatory regime as the telecom service providers (TSPs).

Over the top applications are accessible on the internet and ride on operators' network.

The paper titled, “Regulatory Framework for Over-The-Top (OTT) communication Services,” released on November 12 aims to discuss and analyse the changes that could be brought in the current regulatory framework for the OTT players in a manner, “in which such changes should be effected.”

“OTTs offering services such as voice calls and messaging overlap with the services being offered by TSPs. However, the OTT ecosystem is large and consists of OTTs offering all kinds of services, which may also include services other than voice calls or messages,” the report said, adding that better data connectivity at lower prices has in turn accelerated the use of OTT services in the country and increased the demand for more data.

According to the report, the Trai has sought consultation from the industry with the said consultation paper to “analyse and discuss the implications of the growth of OTT services as can be regarded the same or similar to the services provided by TSPs, the relationship between TSPs and OTT players, whether any change is required in the current regulatory framework and the manner in which such changes should be effected, if any.”

“Would inter-operability among OTT services and also inter-operatbilty of their services with TSPs services promote competition and benefit the users,” the report argued.

It suggested that India’s internet traffic will grow fourfold from 2016 to 2021, at a compound annual rate of 32 percent. A growth in OTT services will consequently affect the growth of the business for TSPs, which may require to invest in telecom infrastructure to enhance traffic handling capabilities.

Telecom operators have been pushing for a regulatory framework for OTT players as they claim that applications such as Skype, WhatsApp, Facebook and Viber, are eating into their revenue in the voice call and messaging segment.

In March 2015, Trai had floated a consultation paper on whether OTT players offering voice, messaging and video call services through applications should be brought under the licensing regime.

In November 2017, the telecom regulator, while issuing recommendations on net neutrality, had said it will issue a separate consultation process on OTT players and issues around their regulation.

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