Selective ban of messaging apps may be looked at: TRAI

Source: The post is based on the article “Selective ban of messaging apps may be looked at: TRAI” published in The Hindu on 8th July 2023

What is the News?

The Telecom Regulatory Authority of India (TRAI) has opened discussions on regulating over-the-top (OTT) communication service providers such as WhatsApp, Facebook, Telegram and Signal.

TRAI would also discuss the possibility of selectively banning OTT services in places where an Internet shutdown would otherwise have been imposed.

Why does TRAI want regulation for OTT communication services?

Firstly, telecom operators and OTT platforms such as WhatsApp offer similar services. But they are not bound by the same requirements – as a result, there is a need for regulatory parity.

Secondly, Telecom service providers (TSPs) need a service license for offering voice and SMS services. On the other hand OTT communication service providers offer voice call, and messaging and video call services similar to the services provided by TSPs, without any such licence.

Thirdly, Telecom service providers in India are regulated by several laws including Indian Telegraph Act, 1885, the Wireless Telegraphy Act, 1933 and Telecom Regulatory Authority of India Act, 1997 and have to adhere to requirements such as lawful interception. Such requirements are not applicable on OTT services currently.

Fourthly, OTT services do not financially contribute towards increasing telecom services penetration in the country unlike the operators who have to pay towards the Universal Service Obligation Fund (USOF).

Why is TRAI exploring selective banning of OTT apps?

TRAI has said that shutdown of telecommunications or the Internet can have significant ramifications for a country’s economy. 

It also disrupts critical services such as education and healthcare. Consequently, such a shutdown affects the life and livelihood of the citizens of the country.

This has been cited as a reason to explore selectively banning OTT apps as opposed to the whole Internet.

What does the draft telecom Bill prescribe for OTT services?

Draft Telecom Bill provides for the inclusion of new-age over-the-top communication services like WhatsApp, Signal and Telegram in the definition of telecommunication services.

As per the draft bill, providers of telecommunication services will be covered under the licensing regime, and will be subjected to similar rules as other telecom operators.

This issue has been under contention for several years now with telecom service providers seeking a level-playing field with OTT apps over communication services such as voice calls, messages, etc where operators had to incur high costs of licenses and spectrum while OTT players rode on their infrastructure to offer free services.