Internet telephony is likely to be opened up further in India, thereby triggering a reduction in national long distance phone tariffs.
Move will cut national long distance tariffs
NEW DELHI: Internet telephony is likely to be opened up further in India, thereby triggering a reduction in national long distance phone tariffs. The Telecom Regulatory Authority of India (Trai) on Monday issued a consultation paper seeking industry views on whether internet service providers (ISPs) should be permitted internet telephony services to fixed line and mobile phone connections within India. The paper has, however, raised questions like how lawful interception could be possible and whether it is desirable to mandate emergency dialing facility while providing internet telephony.
Currently, internet telephony is permitted between ISPs (irrespective of their location), and between ISPs in India and phone connections abroad. The Trai consultation paper is a signal that internet telephony may be made legal soon between ISPs in India and domestic phone connections.
Trai chairman Nripendra Misra said in a preface to the paper that use of internet telephony for calling public switched telephone networks/public land-mobile networks abroad has already spawned competition in international long distance. “It has enabled reduction in tariff for the benefit of subscribers. A similar impact of the opening up of internet telephony is expected in national long distance sector also,” he said.
Once the rules are relaxed, more players including mobile phone companies are expected to offer internet telephony, a trend that may increase competition, it is believed. At present, average national long distance call rates are in the price band of Rs 2.40 to Rs 2.75 per minute.
According to Trai statistics, international internet telephony market in India grew by 15% in the quarter ended September 2007. This was after internet telephony was allowed between ISPs in India and phone connections abroad. Internet telephony minutes account for 10-15% of the total outgoing international long distance voice call minutes in 2006-07, and this ratio is expected to further increase in the coming years.
The Trai paper, while seeking industry view on whether internet telephony should be legalised between ISPs and phones in India, has also asked some other questions. For instance, is there any concern and limitation to facilitate lawful interception and monitoring while providing internet telephony within the country? Is it desirable to mandate emergency number dialing facilities to access emergency numbers using internet telephony if ISPs are permitted to provide internet telephony to phones within the country? Also, what should be the numbering scheme for the internet telephony provider?
m_nivedita@dnaindia.net
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