The Telecom Regulatory Authority of India has published a consultation paper for a “Regulatory Framework for Over-The-Top (OTT) Communication Services”.
Background: it is not the first time that the TRAI looks at this issue. The regulator carried out an extensive consultation during 2015, when this topic was linked to that of net neutrality. Eventually, Indian authorities passed a Net Neutrality framework, whereas the regulation of OTTs was never finalised.
What’s new? The new consultation paper has similar starting points as that of 2015, noting imbalances between telcos (TSPs) and OTT players, with the former unable to compete with the latter due to much more burdensome regulation. The TRAI sets out three possible options (place more regulation on OTTs; reduce the regulatory burden on TSPs; or “leave the issue to be resolved through market forces” i.e. not passing any extra regulation); however, it does not show preference for any of them at this stage.
What’s next? The consultation closes in December 2018. Off the back of that, the TRAI might issue a set of recommendations to the Department of Telecom (DoT) within the government, which will decide whether (and how) to regulate. The whole process is likely to take at least six months, if not longer.
