Telecom Companies in India Want Tech Firms To Pay For Network Usage

Telecom operators in India, the second largest wireless market, would like internet companies to compensate for using their networks, a recommendation they've made to the local regulatory body, echoing a viewpoint that is gaining some momentum in other parts of the world but also stoking fears about violation of net neutrality. From a report: Jio, India's largest telecom operator with more than 450 million subscribers, recommended to the local regulator that internet companies should be made to "contribute" towards telecom network costs based on the traffic they consume, their turnover and number of users. "We suggest that TRAI [India's telecom regulator] should recommend for OTT providers contributing in the network development and building a backbone for the country. In this effort, the Other OTT service providers should also be required to pay their fair share," said the unit of Reliance, which is run by Asia's richest man Mukesh Ambani. Reliance, which carries 55% share of India's total data traffic, contends that requiring internet companies to compensate for network usage will ensure a level playing field. Jio said there is a "near consensus" among telecom operators across the globe on this subject.

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