Wednesday, September 26, 2007

Govt Should Act On TRAI Proposals Within Time Frame, Else Pointless"

Even as the Telecom Regulatory Authority of India (TRAI) keeps dishing out recommendations, the Department of Telecommunications (DoT) seems to be sleeping on most of them. [via Mint] Apparently, of the 25 recommendations made in the last three years, the DoT has taken action on just 11.

“If the government has to take all the decisions, what is the point of (having) Trai,” asks Smita Jha, principal analyst for the media and broadcast industry with consultants PricewaterhouseCoopers in New Delhi. Vishal Malhotra, a New Delhi-based partner with consultant Ernst & Young, rightly points out for the need of a time frame. While the law spells out the amount of time—typically, two to three months—for Trai to make its recommendations, there is no such time frame for the government to spell out its stance on the regulator’s suggestions.

Here’s an example. Eighteen months after the recommendation was made, industry body Association of Unified Service Providers of India (Auspi) is still “following up to now what has happened to the number portability recommendations”, says its secretary general S.C. Khanna. Auspi represents CDMA (short for code division multiple access) and private landline operators. The recommendation, which sought to allow users to retain their numbers if they switched operators, was issued by Trai in March 2006 and has been “kept in abeyance”, according to a recent statement by information technology and communications minister Andimuthu Raja. No other response or reaction has so far been given to Trai on the fate of the suggestions.

Tata Broadband : In Thick Soup

Tata Broadband has been taking it’s customers for a ride. Their customer care is pathetic and it’s difficult to make them act on your complaints. I write in about a person’s story who has been fighting the company since Feb 2006, all for 17 months! So far, there has been no response to the person’s emails / couriers to the company’s CMD and from TRAI who is supposed to be the “caretaker” of the customer’s interests.


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New press release from TRAI

Press Release: Extension of Last Date to Receive Comments on Draft Recommendations on Growth of Broadband.

Monday, September 24, 2007

Sify Broadband to Pay for Unfair Trade Practises

Delhi’s North-West District Consumer Forum has by its order dated 08 Nov ‘06 directed India’s ISP SIFY Ltd (SIFY Broadband) to pay compensation of Rs 8,200/- including refund of Rs 1,200 paid for two months internet connection to a consumer, Ankur Raheja, an IT lawyer by profession for indulging Unfair Trade Practices and deficiency in service.

The case related to non disclosure of significant terms and conditions, which included hidden conditions that after downloading of 750 MB data in a month the speed would be reduced to 14 Kbps and also a new condition that if a customer downloaded more than 150 MB data in a day, then he was penalized in the form of reduction of package validity by one day, but still packages were advertised as unlimited.

It has been regarded as a landmark judgment as for the first time technical deficiency has been proved in the court of law in India against an Internet Company. And further Court interpreted the matter from the point of view of definition of Broadband as laid down by TRAI, which lays down criterion of minimum speed of 256 Kbps to be regarded as Broadband. Accordingly, Court has held providing of 14 Kbps speed instead of 256 Kbps is in itself a ‘deficiency in service’.

It has also been held that SIFY BroadBand has poor customer service that did not redress to Customer complaints and selling packages as ‘Unlimited Packages’ when there existed Hidden conditions, amounts to deficiency in service on the part of SIFY Limited and indulging into unfair trade practices.

The case was supported in the Cyber World by hundreds of SIFY customers from all over India, who all experienced similar problems and supported the case throughout, whose testimonials were also included in the original complaint as Annexure!

Sunday, September 23, 2007

MTNL to deploy Novatium's $100 PC

Public sector telco MTNL will deploy Novatium’s thin client solution netPC in Delhi and Mumbai, reports the Economic Times. The PC will be priced at Rs. 4500 (around $115), and comes bundled with an Internet connection. I think this tie-up works rather well for both companies - MTNL has been trying to push it’s broadband connection as a means of maintaining revenues when fixed line revenues are dropping, and a low cost solution works to their advantage. At the same they have a number of local exchanges across Delhi, which will allow Novatium to host centralized servers for its thing clients. The only missing piece of the puzzle - the consumer. Then of course there’s the problem of MTNL’s lackadaisical and incompetent technicians (I’m a customer, so I know how bad it is when the connection goes down)...I wonder if Novatium will station execs at each exchange. This announcement comes shortly after Novatium announced funding by New Era Ventures. More on that here.

Source:contentSutra.com

ISPs slam TRAI stand on broadband

Regulator Silent On Unrestricted Net Telephony And Allowing ISPs To Offer IPTV

INTERNET service providers (ISPs) have slammed telecom regulator Trai’s draft recommendations for enabling broadband in India. ISPs feel Trai, while recommending a series of measures to improve broadband penetration in India, has, however, remained silent on two killer applications which will get customers to opt for high-speed internet - unrestricted internet telephony and allowing all ISPs to offer IPTV. ISPs have also pointed out that Trai must intervene to further reduce the cost of bandwidth as this accounted for 65% of the cost of providing broadband services.
Trai on Monday had said that the country needed a new policy to ensure broadband growth as only 0.47 million broadband subscribers were added in the first six months of 2007 which was far below the growth trend required to achieve broadband policy targets. While the government had set a target of 9 million broadband users by 2007, the country so far had not even been able to fulfil the 3-million target for 2005. The regulator, in its draft recommendations, has also pointed out that broadband uptake in the country was poor as many of its recommendations, including those on pricing of spectrum of 3G services and WiMax, were yet to be implemented by the government.

“We have experienced from developed countries that internet telephony is the cheapest voice solution available. India being very price sensitive market and to achieve the broadband target, we have to provide this cheap solution to the citizens. Even though the department of telecom had allowed access service providers (cellular operators) to offer this service from January 2006, till date only MTNL provides this facility. This is all the more reason why ISPs should be allowed to offer unrestricted internet telephony,” Internet Service Providers Association of India president Rajesh Chharya told ET.

While DoT, in its recent policy for internet services, permitted ISPs to offer IPTV, Mr Chharya pointed out that allowing only companies with a net worth of Rs 100 crore to offer this facility would act as a bottleneck. “When there is no such restrictions for cable operators, how can this be applied to ISPs,” he said. Trai in its recommendations had said that ISPs cannot provide internet telephony.

Source: Economic Times

Thursday, September 20, 2007

Erricson Moves into Rural India with Broadband Project

Ericsson (NSDQ: ERIC) has launched a rural broadband project called Gramjyoti, which uses WCDMA/HSPA technology to connect rural communities to high-speed internet services for the first time. [via release] Launched in early September, the trial project will showcase the benefits of mobile broadband applications across 18 villages and 15 towns close to Chennai, in the state of Tamil Nadu.

The move will provide these communities with high- speed internet so they can access to services such as telemedicine; e-education; e-governance; online local information; voice and video call services; and live TV and entertainment. Othe supporters of this initiative include Apollo Hospitals, international adoption agency Hand In Hand, e-learning company Edurite, mobile value-added-services provider One97 Communications, CNN and Cartoon Network.

Tuesday, September 18, 2007

Global Broadband Cost Comparison

BSNL, MTNL may go to TDSAT on unblocking last mile network

NEW DELHI: State-owned telecom firms BSNL and MTNL on Sunday said regulator TRAI's direction on opening up Domestic Leased Circuit (DLC) would lead to hoarding of last mile connections by the private sector, rendering the two PSUs uncompetitive.

The two PSUs have also not ruled out the possibility of challenging TRAI's order in the telecom dispute settlement tribunal TDSAT.

Sources said TRAI's latest regulation on DLC is nothing but a reversal of government's stated principle and policy of not unbundling the local loop (last mile of copper wires that connect individual homes/offices with local exchanges) and thus questioned the regulator's jurisdiction on the same.
BSNL and MTNL are the only operators who have laid maximum cable between the exchange and the subscribers' premises and attempts have been made earlier to unbundle this for the use by the private operators.

TRAI had earlier, under the chairmanship of Pradip Baijal, recommended this and the same was rejected both by the then Telecom Minister Dayanidhi Maran and the two PSUs.

As per TRAI's regulation order, it mandates the service providers to confirm availability or otherwise to requesting service providers within 30 days.BSNL officials said unblocking of last mile network had been done through a commercial relationship so far, but now with this regulation this would become a mandate.

Asked what would be next step, they said there was no option but to challenge the order legally.Sources also said that the regulation would discourage rolling out wire line networks by the private service providers.When contacted S D Saxena, Director (Finance) and his MTNL counterpart Anita Soni said they would take an appropriate decision after examining the order.

TRAI had said that these regulations would benefit both the customers and the service providers as this is expected to enhance competition, allow consumers a wider choice of service providers and make DLCs available at a reasonable price.But the telecom PSUs are of the view that this would only help private operators to prevent BSNL and MTNL from growing and offer competition to private players.

Once BSNL and MTNL are prevented, the subscribers would be the main loser as only due to PSUs' aggressive strategies the tariffs of most of the telecom services have fallen over a period of time.

Monday, September 17, 2007

New Press Realeases from TRAI

Press Release : TRAI seeks stakeholders comments on draft recommendations on Growth of Broadband

Draft Recommendations On Growth of Broadband

TRAI: subsidise broadband services

NEW DELHI: Issuing draft recommendations on ‘Growth of broadband’ on Monday to solicit the comments of stakeholders, the Telecom Regulatory Authority of India (TRAI) has called for subsidising broadband services to increase its reach. It has also sought utilisation of the Universal Service Obligation (USO) fund to give subsidy for providing broadband services through satellite in remote and hilly areas.

TRAI has also recommended that the state-owned telecom companies — BSNL and MTNL — should be encouraged to appoint franchisees for providing broadband services to supplement their efforts, while the Government should ensure availability of more number of transponders to roll out broadband services through the Direct-to-Home (DTH) platform. To increase the competition to provide broadband in rural areas, at least two service providers seeking minimum subsidy should be identified, it added.

TRAI has also called for encouraging municipal committees to include a clause for making multiple dwelling units broadband-ready by adopting suitable internal wiring while giving clearance for the construction of all such buildings in future.

Besides encouraging Indian manufacturers to produce more customer premise equipment (CPE) to provide broadband using DSL technology, the Government should expedite decision on TRAI’s recommendations regarding mechanism and pricing of spectrum for 3G and broadband wireless access. Spectrum for 3G and WiMAX should be made available at the earliest to boost the deployment of broadband using these technologies, it added.

TRAI said the Government announced the Broadband Policy in 2004 and made certain projections for broadband subscribers’ growth. In order to facilitate growth of broadband, TRAI took certain regulatory initiatives from time to time. However, the authority observed that even after taking various initiatives, the growth is slow and below the expected level.

The Authority felt an urgent need to identify various impediments affecting the growth of broadband and adopted forward looking approach to address all such impediments in a time bound manner. While framing the draft recommendations, efforts have been made to identify all possible options to boost the broadband growth, TRAI added. Based on the feedback of stakeholders, the draft recommendations will be finalised and will be sent to the Government.

Tata Indicom Presents Mobile Internet 'Like Never Before'

Read more over here.

BSNL is going to launch Data Services on CDMA 2000 IX by using BSNL Internet Connect Card (ICC)

BSNL has decided to launch its Data Services on CDMA 2000 IX by using BSNL Internet Connect Card (ICC). The CDMA IX ICC will provide Internet Service @144kbps to computer users on their laptops as well as on desktops. This service will be available in all those locations wherever CDMA IX MSC based coverage is there. However, during roaming the said Internet connectivity will not work at present


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TRAI to make Bandwidth Cheaper

New Delhi, Sept 13: In a move that will make domestic bandwidth available at cheaper prices for internet service providers and other users such as BPOs and IT companies, TRAI today issued a regulation to boost competition and reduce price for end-customer.

These regulations would benefit both the customers and the service providers, is expected to enhance competition, allow consumers a wider choice of service providers and make domestic leased circuits (read bandwidth) available at a reasonable price.

For service providers, this regulation opens up the possibility of meeting customers' demand for end-to-end bandwidth from other service providers if such a need arises, TRAI said.

In 2005, TRAI had issued a ceiling for tariffs on domestic bandwidth prices. Some policy initiatives taken by the government have resulted in greater competition in domestic bandwidth market.

However, in markets where some service providers rely on essential facilities provided by others for delivery of their services, it is appropriate to establish a framework to ensure that the market functions effectively. This regulation is a step in this direction, TRAI said.

As per a conservative estimate, the aggregate DLC market (including VPN) would be Rs 3,000 crore by 2008 and grow to Rs 4,500 crore by 2010.

Bureau Report

Wat is this blog about?

Well, I'm Nipun Mohta. An Indian boy of about 15 years. I've started this blog to inform ppl abt the latest developments in the Indian Broadband sector. I will b posting news abt new developments over here. Hope u like this blog. Do give ur feedback.