Centre for Internet and Society

Institute for Internet & Society 2014, Pune

samantha — 2014-04-07T11:31:23Z

Last month, activists, journalists, researchers, and members of civil society came together at the 2014 Institute for Internet & Society in Pune, which was hosted by CIS and funded by the Ford Foundation. The Institute was a week long, in which participants heard from speakers from various backgrounds on issues arising out of the intersection of internet and society, such as intellectual property, freedom of expression, and accessibility, to name a few. Below is an official reporting summarizing sessions that took place.

Day One

February 11, 2014

Time	Detail
9.30 a.m. – 9.40 a.m.	Introduction: Sunil Abraham, Executive Director Centre for Internet and Society
10.00 a.m. – 10.15 a.m.	Introduction of Participants
10.15 a.m. – 12.00 p.m.	Internet Governance and Privacy: Sunil Abraham
12.00 p.m. – 12.30 p.m.	Tea-break
12.30 p.m. – 1.00 p.m.	Keynote: Bishakha Datta, Filmmaker and Activist, and Board Member, Wikimedia Foundation
1.00 p.m. – 2.00 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Participant Presentations
3.00 p.m. – 3.15 p.m.	Tea Break
3.15 p.m. – 4.45 p.m.	Histories, Bodies and Debates around the Internet: Nishant Shah, Director-Research, CIS

This year’s Internet Institute, hosted by the Centre for Internet & Society (CIS), kicked off in Pune to put a start to a week of learnings and discussions surrounding internet usage and its implications on individuals of society. Twenty two attendees from all over India attended this year, from backgrounds of activism, journalism, research and advocacy work.

Attendees were welcomed by Dr. Ravina Aggarwal, Program Officer for Media Rights & Access at the Ford Foundation, the event’s sponsor, who started off the day by introducing the Foundation’s initiatives in pursuit of bridging the digital divide by addressing issues of internet connectivity.

Internet Governance & Privacy, Sunil Abraham
The Institute’s first session was led by Sunil Abraham, Executive Director of CIS, and engaged with issues of internet governance and privacy with reference to four stories: 1) a dispute between tweeters from the US and those in South Africa over the use of hashtag #thingsdarkiesays, which is said not to be as racially derogatory as it is in the US; 2) Facebook’s contested policies on photos featuring users breastfeeding, 3) a lawsuit between Tata and Greenpeace over the organization’s use of Tata’s logo in a video game created for public criticism of their environmentally-degrading practices, and lastly, 4) the case of Savita Bhabhi, an Indian pornographic cartoon character which had been banned by India’s High Court and which had served as a landmark case in expanding the statutory laws for what is considered to be pornographic.

Each of these stories has one major thing in common: due to their nature of taking place over the internet, they are not confined to one geographic location and in turn, are addressed at the international level. The way by which an issue as such is to be addressed cuts across State policies and internet intermediary bodies to create quite a messy case in trying to determine who is at fault. Such complexity illustrates how challenging internet governance can be within today’s society that is no longer restricted to national or geographic boundaries.

Sunil also goes on in explaining the relationship between privacy, transparency, and power, summing it up in a simple formula; privacy protection should have a reverse relationship to power—the more the power, the less the privacy one should be entitled to. On the contrary, a direct correlation goes for power and transparency—the more the power, the more transparent a body should be. Instead of thinking about these concepts as a dichotomy, Sunil suggests to see them as absolute rights in themselves—instrumental in policies and necessary to address power imbalances.

The Web We Want, Bishakha Datta
The Institute’s kickoff was also joined by Indian filmmaker and activist, Bishakha Datta, who had delivered the keynote address. Bishakha bridged together notions of freedom of speech, surveillance, and accessibility, while introducing campaigns that work to create an open and universally accessible web, such as the Web We Want and Sexuality and Disability. Bishakha stresses how the internet as a space has altered how we experience societal constructs, which can be easily exhibited in how individuals experience Facebook in the occurrence of a death, for example. Bishakha initiated discussion among participants by posing questions such as, “what is our expectation of privacy in this brave new world?” and “what is the society we want?” to encompass the need to think of privacy in a new way with the coming of the endless possibilities the internet brings with it.

Histories, Bodies and Debates around the Internet, Nishant Shah
CIS Research Director, Nishant Shah, led a session examining internet as a technology more broadly, and our understandings of it in relation to the human body. Nishant proposes the idea that history is a form of technology, as well as time, itself, for which our understanding only comes into being with the aid of technologies of measurement. Although we are inclined to separate technology from the self, Nishant challenges this notion while suggesting that technology is very integral to being human, and defines a “cyborg” as someone who is very intimate with technology. In this way, we are all cyborgs. While making reference to several literary pieces, including Haraway’s Cyborg: Human, Animus, Technology; Kevin Warwick’s Living Cyborg; and Watt’s small world theory, Nishant challenges participants’ previous notions of how one is to understand technology in relation to oneself, as well as the networks we find ourselves implicated within.

Also brought forth by Nishant, was the fact that the internet as a technology has become integral to our identities, making us accessible (rather than us solely making the technology accessible) through online forms of documentation. This digital phenomenon in which we tend to document what we know and experience as a means of legitimizing it can be summed in the modern version of an old fable: “If a tree falls in a lonely forest, and nobody tweets it, has it fallen?”

Nishant refers to several case studies in which the use of online technologies has created a sense of an extension of the self and one’s personal space; which can then be subject to violation as one can be in the physical form, and to the same emotional and psychological effect—as illustrated within the 1993 occurrence referred to as “A Rape in Cyberspace.”

Attendee Participation
Participants remained engaged and enthusiastic for the duration of the day, bringing forth their personal expertise and experiences. Several participants presented their own research initiatives, which looked at issues women face as journalists and as portrayed by the media; amateur pornography without the consent of the woman; study findings on the understandings of symptoms of internet addiction; as well as studies looking at how students engage with college confession pages on Facebook.

Day Two

February 12, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	Wireless Technology: Ravikiran Annaswamy, CEO and Co-founder at Teritree Technologies
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Wired Technology: Ravikiran Annaswamy
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Network, Threats and Securing Yourself: Kingsley John, Independent Consultant
3.00 p.m. – 3.15 p.m.	Tea Break
3.15 p.m. – 4.45 p.m.	Practical Lab: Kingsley John
4.45 p.m. – 5.00 p.m.	Wrap-up: Sunil Abraham

Day Two of the Institute entailed a more technical orientation to “internet & society” across sessions. Participants listened to speakers introduce concepts related to wired and wireless internet connectivity devices and their networks, along with the network of internet users and how one may secure him or herself while “online.”

Wireless & Wired Technology, Ravikiran Annaswamy
Senior industry practitioner, Ravikiran Annaswamy had aimed to enable the Institute’s participants to “understand the depth and omnipresent of telecom networks” that we find ourselves implicated within. Ravikiran went through the basics of these networks—including fixed line-, mobile-, IP-, and Next Generation IP-networks—as well as the technical structuring of wired and wireless broadband. Many participants found this session to be particularly enriching as their projects aimed to provide increased access to internet connectivity to marginalized areas in India, and had been without the know-how to go about it.

Network, Threats and Securing Yourself, Kinglsey John
An instructional session on how to protect oneself was given by Kingsley John, beginning with a lesson on IP Addresses—what they are and the different generations of such, and how IP addresses fit into a broader internet network. Following, Kingsley demonstrated and explained email encryption through the use of software, Kleopatra, and how it may be used to generate keys to encrypt emails through Thunderbird mail client.

Evening Discussion

A handful of participants voluntarily partook in an evening discussion, looking at the role of big players in the global internet network, such as Google and Facebook, how they collect and utilize users’ data, and what sorts of measures can be taken to minimize the collecting of such. Due to the widely varying backgrounds of interest among participants, those coming from this technical orientation towards the internet were able to inform their peers on relevant information and types of software that may be found useful related to minimizing one’s online presence.

Day Three

February 13, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	Free Software: Prof. G. Nagarjuna, Chairperson, Free Software Foundation
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Open Data: Nisha Thompson, Independent Consultant
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Freedom of Expression: Bhairav Acharya, Advocate and Adviser, Centre for Internet and Society
3.00 p.m. – 3.15 p.m.	Tea-break
3.15 p.m. – 4.45 p.m.	Copyright: Nehaa Chaudhari, Program Officer, Centre for Internet and Society

The third day of the Internet Institute incorporated themes presented by speakers ranging from free software, to freedom of expression, to copyright.

Free Software, Prof. G. Nagarjuna
Chairman on the Board of Directors for the Free Software Foundation of India, Professor G. Nagarjuna shared with the Institute’s participants his personal expertise on software freedom. Nagarjuna mapped for us the network of concepts related to software freedom, beginning with the origins of the copyleft movement, and also touching upon the art of hacking, the open source movement, and what role software freedom plays in an interconnected world.

Nagarjuna looks at the free software movement as a political movement in the digital space highlighting the user’s freedoms associated to the use, distribution, and modification of software for the greater good for all. This is said to distinguish this movement from that of Open Source—a technical and more practical development-oriented movement. The free software movement is not set out to compromise the fundamental issues for the sake of being practical and in that sense, ubiquitous. Instead, its objective is “not to make everybody use the software, but to have them understand why they are using the software,” so that they may become “authentic citizens that can also resonate why they’re doing what they’re doing. We want them to understand the ethical and political aspects of doing so,” Nagarjuna says.

Open Data, Nisha Thompson
Participants learned from Nisha Thompson on Open Data; what it is, its benefits, and how it is involved in central government initiatives and policy, as well as civil society groups—generally for uses such as serving as evidence for decision making and accountability. Nisha explored challenges concerning the use of open data, such as those pertaining to privacy, legitimacy, copyright, and interoperability. The group looked at the India Water Portal as a case study, which makes accessible more than 300 water-related datasets already available in the public space for use from anything from sanitation and agriculture to climate change.

Freedom of Expression, Bhairav Acharya
Bhairav Acharya, a constitutional lawyer, traced the development of the freedom of speech and expression in India. Beginning with a conceptual understanding of censorship and the practice of censorship by the state, society, and the individual herself, Bhairav examines the limits traditionally placed by a nation-state on the right to free speech.

In India, modern free speech and censorship law was first formulated by the colonial British government, which broadly imported the common law to India. However, the colonial state also yielded to the religious and communitarian sensitivities of its subjects, resulting in a continuing close link between communalism and free speech in India today. After Independence, the post-colonial Indian state carried forward Raj censorship, but tweaked it to serve to a nation-building and developmental agenda. Nation-building and nationalism are centrifugal forces that attempt to construct a homogenous 'mainstream'; voices from the margins of this mainstream (the geographical, ethnic, and religious peripheries) and of the marginalised within the mainstream (the poor and disadvantaged), are censored.

Within this narrative, Bhairav located and explained the evolution of the law relating to press censorship, defamation, obscenity, and contempt of court. Free speech law applies equally online. Broadly, censorship on the internet must survive the same constitutional scrutiny that is applied to offline censorship; but, as technology develops, the law must innovate.

Copyright, Nehaa Chaudhari
CIS Programme Officer, Nehaa Chaudhari examined the concept of Copyright as an intellectual property right in discussing its fundamentals, purpose and origins, and Copyright’s intersection with the internet. Nehaa also explained the different exceptions to Copyright, along with its alternatives, such as opposing intellectual property protection regimes, including the Creative Commons and Copyleft. Within this session, Nehaa also introduced several cases in which Copyright came into play with the use of the internet, including Hunter Moore’s “Is Anyone Up?” website, which had showcased pornographic pictures obtained by submission bringing rise to the phenomenon of “revenge porn.” Instances as such blur the lines of what is commonly referred to as intellectual property, and what specific requirements enables one to own the rights to such.

Day Four

February 14, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	E-Accessibility and Inclusion: Prashant Naik, Union Bank
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Patents: Nehaa Chaudhari
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 2.00 p.m.	Fieldwork Assignment

Day Four of the Internet Institute introduced concepts of eAccessibilty and Inclusion on the internet for persons with disabilities, along with patents as an intellectual property right. Participants were also assigned a fieldwork exercise as a hands-on activity in which they were to employ what they’ve learned to initiate conversation with individuals in public spaces and collect primary data while doing so.

eAccessibility and Inclusion, Prashant Naik

Prashant Naik started off the day with his session on E-Accessibility and Inclusion. Prashant illustrated the importance of accessibility and what is meant by the term. Participants learned of assistive technologies for different disability types and how to create more accessible word and PDF documents, as well as web pages for users. Prashant demonstrated to participants what it is like to use a computer as a visually impaired individual, which provided for an enriching experience.

Patents, Nehaa Chaudhari
Nehaa Chaudhari led a second session at the Internet Institute on intellectual property rights—this one looking at patents particularly and their role within statutory law. Nehaa traced the historical origins of patents before examining the fundamentals of them, and addresses the questions, “Why have patents? And is the present system working for everyone?” Nehaa also introduced notions of the Commons along with the Anticommons, and perspectives within the debate around software patents, as well as different means by which the law can address the exploitation of patents or “patent thickets”—such as through patent pools or compulsory licensing.

Fieldwork Assignment, Groupwork
Participants were split into groups and required to carry out a mini fieldwork assignment in approaching individuals in varying public spaces in Pune in attempts to collect primary data. Questions asked to individuals were to be devised by the group, so long as they pertained to themes examined within the Internet Institute. Areas visited by groups included the Pune Central Mall, MG Road, and FC Road.

Day Five

February 15, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	E-Governance: Manu Srivastav, Vice President, eGovernments Foundation
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Market Concerns: Payal Malik, Economic Adviser, Competition Commission of India
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Digital Natives: Nishant Shah
3.00 p.m. – 3.15 p.m.	Tea-break
3.15 p.m. – 4.45 p.m.	Fieldwork Presentations

Day Five of the Internet Institute brought with it sessions related to themes of e-governance, market concerns of telecommunications, and so called “Digital Natives.”

eGovernance, Manu Srivastava
Vice President of the eGovernments Foundation, Manu Srivastava led a session on eGovernance—the utilization of the internet as a means of delivering government services communicating with citizens, businesses, and members of government. Manu examined the complexities of the eGovernance and barriers to implementation of eGovernance initiatives. Within discussion, participants examined the nuanced relationship between the government and citizens with the incorporation of other governing bodies in an eGovernance system, as well as new spaces for corruption to take place.

Market Concerns, Payal Malik
Payal Malik, Advisor of the Economics Division of the Competition Commission of India shared her knowledge on market concerns of the telecommunications industry, and exclaimed the importance of competition issues in such an industry as a tool to create greater good for a greater number of people. She demonstrated this importance by stating that affordability as a product of increased access can only be possible once there is enough investment, which generally only happens in a competitive market. In this way, we must set the conditions to make competition possible, as a tool to achieve certain objectives. Payal also demonstrated the economic benefits of telecommunications by stating that for every 10% increase in broadband penetration, increase in GDP of 1.3%. She also examined the broadband ecosystem in India and touched upon future possibilities of increased broadband penetration, such as for formers and the education sector.

Digital Natives, Nishant Shah
Nishant Shah shed some light on one of the areas that the Centre for Internet & Society looks at within their research scope, this being the “Digital Native.” As referred to by Nishant, the Digital Native is not to categorize a specific type of internet user, but can be said for simply any person who is performing a digital action, while doing away with this false dichotomy of age, location, and geography.

Nishant examines varying case studies in which “the digital is empowering natives to not merely be benefactors of change, but agents of change,” from the Blank Noise Project’s “I NEVER Ask for it…” campaign in efforts to rethink sexual violence, to Matt Harding’s foolish dancing with groups of individuals from all over the world.

As occurrences in the digital realm, however, these often political expressions may be rewritten by the network when picked up as a growing phenomenon, in order to make it accessible to online consumers by the masses. In doing so, the expression is removed from its political context and is presented in the form of nothing more than a fad. For this reason, Nishant stresses the need to become aware of the potential of the internet in becoming an “echo-chamber”—in which forms of expression are amplified and mimicked, resulting in a restructuring of the dynamics surrounding the subject—whether it be videos of boys lipsyncing to Backstreet Boys in their dorm room going viral, or a strong and malicious movement to punish the Chinese girl who had taken a video of her heinously and wickedly killing a kitten after locating her using the Human Flesh Search Engine.

Fieldwork Presentations, Groupwork

To end off the day, participant groups presented findings collated from the prior evening’s fieldwork exercise, in which they were to ask strangers in various public places of Pune questions pertaining to themes looked at from within this year’s Institute. Participants were divided into four groups and visited Pune’s FC Road, Mahatma Gandhi Road, and Central Mall.

Groups found that the majority of those interviews primarily accessed the phone via the mobile. There was also a common weariness of using the internet and concern for one’s privacy while doing so, especially with uploading photos to Facebook and online financial transactions. People were also generally concerned about using cyber cafes for fear of one’s accounts being hacked. Generally people suspected that so long as conversations are “private” (i.e. in one’s Facebook inbox), so too are they secure. Just as well, those interviewed shared a sense of security with the use of a password.

Day Six

February 16, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	Wikipedia: Dr. Abhijeet Safai
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Open Access: Muthu Madhan (TBC)
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Case Studies Groupwork
3.00 p.m. – 3.15 p.m.	Tea-break
3.15 p.m. – 4.45 p.m.	Case Studies Presentations

As the Institute came closer to its end, participants got the opportunity to hear from speakers on topics pertaining the Wikipedia editing in addition to Open Access to scholarly literature. Participants also worked together in groups to examine specific case studies referenced in previous sessions, and then presented their conclusions.

Wikipedia, Dr. Abhijeet Safai
The Institute was joined by Medical Officer of Clinical Research at Pune’s Symbiosis Centre of Health Care, Dr. Abhijeet Safai, who led a session on Wikipedia. Having edited over 3700 Wikipedia articles, Dr. Abhijeet was able to bring forth his expertise and familiarity in editing Wikipedia to participants so that they would be able to do the same. Introduced within this session were Wikipedia’s different fundamental pillars and codes of conducts to be complied with by all contributors, along with different features and components of Wikipedia articles that one should be aware of when contributing, such as how to cite sources and discuss the contents of an article with other contributors.

Open Access, Muthu Madhan
Muthu Madhan joined the Internet Institute while speaking on Open Access (OA) to scholarly literature. Within his session, Muthu examined the historical context within which the scholarly journal had arisen and how the idea of Open Access began within this space. The presence of Open Access in India and other developing nations was also examined in this session, and the concept of Open Data, introduced.

Case Studies, Groupworks

Participants were split up into groups and assigned particular case studies looked at briefly in previous sessions. Case studies included #thingsdarkiessay, a once trending Twitter hashtag in South Africa which had offended many Americans for its use of “darkie” as a derogatory term; the literary novel, The Hindus, which offers an alternative narrative of Hindu history had been banned in India for obscenity; a case in which several users’ avatars had been controlled by another in a virtual community and forced to perform sexual acts, referred to as A Rape Happened in Cyber Space; and lastly, a pornographic submission website, Is Anyone Up?, for which content was largely derived from “revenge porn.” Each group then presented on the various perspectives surrounding the issue at hand.

The Cyborg, Nishant Shah
Nishant Shah led an off-agenda session in the evening looking more closely at the notion of the human cyborg. Nishant deconstructs humanity’s relationship to technology, in suggesting that we “think of the human as produced with the technologies… not who produces technology.” Nishant explores the Digital Native as an attained identity for those who, because of technology, restructure and reinvent his or her environment—offline as well as online. Among other ideas shared, Nishant refers to works by Haraway on the human cyborg in illustrating our dependency on technology and our need to care for these technologies we depend on.

Day Seven

February 17, 2014

Time	Detail
9.30 a.m. – 11.00 a.m.	Internet Activism: Laura Stein, Associate Professor, University of Texas and Fulbright Fellow
11.00 a.m. – 11.15 a.m.	Tea-break
11.15 a.m. – 12.45 p.m.	Domestic and International Bodies: Chinmayi Arun, Research Director
12.45 p.m. – 1.30 p.m.	Lunch
1.30 p.m. – 3.00 p.m.	Participant Presentations
3.00 p.m. – 3.15 p.m.	Tea-break
3.15 p.m. – 4.45 p.m.	Hot Question Challenge

The last day of the week-long Internet Institute examined concepts of Internet Activism and Domestic and International Bodies. Some participants led presentations on topics of personal familiarity, before a final wrap-up exercise, calling upon individuals to share any new formulations resulting from the Institute.

Internet Activism, Laura Stein

Associate Professor from the University of Texas, Laura Stein, spoke on activism on the internet. Laura examined some grassroots organizations and movements taking place on the online and the benefits that the internet brings in facilitating their impact, such as its associated low costs, accessibility and possibility for anonymity. Despite the positive effects catalyzed by the internet, Laura stresses that the “laying field is still unequal, and movements are not simply transformed by technology.” Some of the websites exemplifying online activism that were examined within this session includes the It Gets Better Project, which aims to give hope to LGBT youth facing harassment, and the national election watch by the Association for Democratic Reforms. Additionally, Laura spoke on public communication policy, comparing that of the US and India, and how this area of policy may influence media content and practice.

Domestic and International Bodies, Chinmayi Arun
As the Internet Institute’s final speaker, Research Director for Communication Governance at National Law University , Chinmayi Arun, explores the network of factors that affect one’s behavior on the internet—these including: social norms, the law, the markets, and architecture. In referring to Lawrence Lessig’s pathetic dot theory, Chinmayi illustrates how individual’s—the pathetic dots in question—are functions of the interactions of these factors, and in this sense, regulated, and stresses the essential need to understand the system, in order to effectively change the dynamics within it. It is worth noting that not all pathetic dots are equal, and Google’s dot, for example, will be drastically bigger than a single user’s, having more leveraging power within the network of internet bodies. Also demonstrated, is the fact that we must acknowledge the need for regulation by the law to some extent, otherwise, the internet would be a black box where anything goes, putting one’s security at risk of violation.

Hot Question Challenge
The very last exercise of the Institute entailed participants asking each other questions on demand, relating back to different themes looked at within the last week. Participants had the chance, here, to bridge together concepts across sessions, as well as formulate their own opinions, while posing questions to others that they, themselves, were still curious about.

For more details visit https://cis-india.org/telecom/blog/institute-for-internet-society-2014-pune

Inputs for NTP 2011

praskrishna — 2012-01-02T05:07:57Z

The Centre for Internet and Society wishes to commend the DoT on the draft of the New Telecom Policy and offers its suggestions to improve the draft with specific changes.

The new draft contains several noteworthy initiatives and goals such as Delicensing additional frequency bands for public use, Network sharing, spectrum sharing, pooling and trading , recognizing that revenue generation is not the primary reason for licensing spectrum and that auctions often result in inordinate delays, identifying the mobile phone as a primary instrument for development and inclusion, Convergence of broadcast, telecom and cable infrastructure, promotion of cloud based technologies, Nationwide license, free roaming and one number, promotion of fixed mobile convergence to free up spectrum, promoting consumer interests by increasing choice and quality and addressing concerns of privacy, data security, etc and placing emphasis on research and development, awareness raising and capacity building.

We offer below suggestions to improve the draft with specific changes marked in bold print.

Spectrum Management

We endorse the approach to permit spectrum ‘pooling, sharing and later, trading for optimal and efficient utilization of spectrum’ as described in 4.1. In this regard, we would like to suggest that the Government may consider mandatory spectrum sharing as is being done in USA with respect to white spaces and digital dividends as a better approach over licensing spectrum to a single operator and allowing voluntary sharing since it could result in more dynamic and efficient use of spectrum with access being authorized as per requirement from a central data base driven system.

De-licensing additional spectrum

We agree with the approach to prioritise identification of additional frequency bands for license exempt use for the operation of low power devices, as stated in section 4.6 of the National Telecom Policy 2011. We also support the promotion of the use of technology such as Software Defined Radios (SDRs) and Cognitive Radios (CRs) in white spaces, as mention in section 4.9 of the NTP. These developments in the Indian Telecom policy show promise for the deployment and spread of affordable technologies operating in de-licensed frequencies, which will contribute to the bridging of the digital divide present in India. We offer certain recommendations in this regard:

WPC should have more unlicensed bands available for internet and multimedia to fuelinnovation and efficient spectrum utilization. Unlicensed bands need to be allocated inbigger chunks in various slots.
Frequencies in the 5.15GHz-5.35GHz bands, as well as 5.725-5.825GHz bands are delicensedfor indoor use only. These bands should be de-licensed for outdoor use as well in order to facilitate the creation of wider wireless communication networks and the use ofinnovative technologies.
Bands for the use of DECT technologies have already been de-licensed in Europe and theUnited states. The1800-1890MHz band, which is earmarked for the operations of DECT based devices in India, should be de-licensed for the use of low power cordless communication technologies in line with international practices.
The 433-434 Mhz band should be unlicensed for data telemetry as it is done in many other countries.
Unutilized slots in between TV channels (white spaces) should be made available for unlicensed/Class license usage.

Licensing, Convergence and Value Added Services

With respect to allowing the sharing of network mentioned in 3.6, we would like to propose a similar model as suggested for spectrum sharing, which is more along the lines of Singapore or Australia’s NGN, with the network(s) being run by public private partnership (PPP) consortiums, but led by a private operator.

Accessibility for Persons with Disabilities

Persons with disabilities should be mentioned specifically within the policy and steps should be taken to enable access to telecommunications facilities for them. These would include steps like formulating a Code of good practice for manufacturers and service providers, identifying accessibility standards in different areas, investing in R&D in accessible technologies, setting up a nationwide emergency and relay service, mandating broadcast accessibility to ensure that set-top boxes are accessible and that at least 50 per cent of all TV programmes are captioned, carrying out regular surveys to gather statistics on use of telecommunications services by persons with disabilities, etc.

Specific recommendations

Mission

(To be modified to read as)

1. To develop a robust, secure state-of-the-art telecommunication network providing seamless coverage with special focus on rural and remote areas and bridging digital divide amongst disadvantaged persons, including persons with disabilities.

Objectives

(To be modified to read as)

28. Protect consumer interest by promoting informed consent, transparency, accountability and accessibility in quality of service, tariff, usage etc. 36. Put in place an accessible web based, real time e-governance solution to support online submission of applications for all services of DoT and issuance of licences and clearances from DoT.

Universal Service Obligation Fund

To include ‘Persons with Disabilities, elderly and illiterate persons’ specifically as a category of beneficiaries within the charter of the fund. Telecom infrastructure/ row issues, green telecom, clear skyline,
(Point to be modified to read as)
5.13. To prescribe sectoral Standard Operating Procedures for effective and early mitigation during disasters and emergencies. To mandate Telecom Service Providers to provide alternative accessible reliable means of communication at the time of disaster by creating appropriate regulatory framework. 5.15. To facilitate an institutional framework to establish nationwide Unified Emergency Response Mechanism by providing nationwide single access number for emergency services and to ensure that the same are also accessible to persons with disabilities.

Broadband and universal service

Given that the uptake of broadband has been rather slow in comparison with mobile phones, a useful step to scaling up broadband penetration and providing ubiquitous broadband services could be to identify broadband as an ‘essential service’ under the Essential Services Maintenance Act, 1981. This could be recognized as an objective in the policy and will help to ensure provision of affordable and reliable provision of broadband.

Specific recommendation

(Point to be modified to read as)

3. Recognize broadband as an ‘essential service’ under the Essential Services Maintenance Act and provide affordable and reliable broadband on demand by the year 2015 and to achieve 175 million broadband connections by the year 2017 and 600 million by the year 2020 at minimum 2 Mbps download speed as well as making available higher speeds of at least 100 Mbps on demand.

Multi stakeholder approach

All activities such as setting up a council under 2.3, advisory groups in 2.4, 2.10, etc should necessarily include participation from civil society to ensure a balanced representation of the public interest perspective.

Specific recommendations

(Points to be modified to read as)

2.3. To set up a council consisting of experts from Telecom Service Providers, Telecom Manufacturing Industry, Government, civil society,

Academia and R&D institutions.

2.4. To promote synergy of academia, R&D centres, manufacturers, service providers, civil society, consumer groups and other stakeholders for achieving collaboration and reorientation of their efforts for creation of IPRs, development and deployment of new products and services suited to Indian environment.

Implementation and monitoring

While the policy identifies several laudable objectives and initiatives, there is little indication as to time lines and mechanisms for enforcement with measurable indicators. It would be useful to clearly specify these to ensure smooth and effective implementation of the policy.

Protection of consumer interests

Any initiatives taken in this regard, such as formulation of a Code etc, must necessarily involve consumers. The policy also needs to recognize that special effort is required to ensure that information is made available to consumers and more steps are taken towards consumer outreach. This also includes making web sites more user friendly and accessible to consumers. At present even the web sites of the DoT, USOF, and TRAI etc are extremely inaccessible.

Regulation

While it is important to create a conducive regulatory framework for India’s development agenda, we would nevertheless like to caution against over regulation, especially in cases where market forces themselves take care of the situation. It is best to have a light handed approach based on need. It is also suggested that a review of the TRAI act as proposed under 12.1 could result in vesting the sector regulator with greater autonomy and independence.

Specific recommendation

(Point to be modified to read as)
12.1. To review the TRAI Act with a view to addressing regulatory inadequacies/impediments in effective discharge of its functions and strengthening it by increasing its autonomy.

For more details visit https://cis-india.org/telecom/inputs-ntp-2011

Inflation Control Through Structural Reforms

Shyam Ponappa — 2012-12-21T09:55:26Z

Inflation will persist until supply increases. Policies must therefore address supply through structural reforms, e.g., in telecom and power.

Shyam Ponappa's column was published in Organizing India Blogspot on December 11, 2012. Also read the version published by the Business Standard on December 11, 2012.

It’s ironic that when our economy finally developed a head of steam after many false starts, the sky fell in, as crony deals like the spectrum and land allocation scandals unravelled. A sizeable transformation of upwardly mobile consumption powered the transition from a laggard to global front runner, despite misgovernance. Now, the legacy of poor infrastructure, scams and an “Indian spring” – with many valid anti-corruption demands but impractical solutions – threatens to derail stability, severely damping productive activity. This jeopardises the very basis of our economic momentum: a burgeoning market. Assorted blunders add to the chaos, eg, judicial rulings that contravene the sanctity of contracts, and misguided institutional action, like the Reserve Bank of India ( RBI) trying to force the government towards fiscal responsibility instead of concentrating on providing stability and support for growth. This is aggravated by a government that does not seem to act in the public interest, and a frustrated Opposition that stalls governance and parliamentary proceedings.

The result is a marked inability, or unwillingness, or both, to act rationally and comprehensively on forward-looking, achievement-oriented plans — except to tide over crises, stay in power somehow, and capture the treasury for opportunistic ends. The Empowered Group of Minister’s ( EGoM’s) decision last week to merely reduce the 1800 MHz spectrum reserve price by 30 per cent where there were no bids is a good example. To see why, compare the end results that would best serve our common interests with the consequences of the government’s approach and actions.

What is the effect on inflation of butterfly wings or a hurricane in telecom? To decipher this, consider the drivers of inflation in India, and how such decisions affect them.

Supply constraints need structural changes in capacity and productivity

Our inflation is driven by increasing fuel and high-technology imports, with rising oil and coal prices and structural constraints on capacity and productivity — aside from expanding demand as purchasing power increases. (There’s also the import of gold, of course, possibly fuelled by lacklustre financial alternatives.) This shows up in a steadily depreciating rupee after August 2011, falling 25 percent from Rs 44 per dollar to Rs 55.

Some economists and foreign exchange advisors consider this as salutary, because India’s goods and services become more competitively priced. A weak currency can be advantageous up to a point, but only if it is exploited through competitive product and service offerings to yield sustainable profit margins. If, however, there is no complementary rise in capacity and productivity to capitalise on market access through the weak rupee, we end as we are today — where the disadvantages of essential imports with a weak currency outweigh the benefits of thin margins in low-productivity labour arbitrage.

Likewise, structural supply constraints remain intractable in the absence of increases in production. Increasing supply involves improving entire process chains: extension services and inputs for agriculture, market organisation and logistics, even changes to cropping methods such as alternatives to flooding rice fields. In other words, deep and sweeping changes in areas where we have not achieved such so far. The requirements for productivity improvement, likewise, are improved infrastructure such as communications services, power supply, storage and delivery including logistics and transportation — again, areas of weakness and inability to deliver that are mired in a policy stalemate, such as in power supply and telecom.

In short, inflation is likely to continue unless supply increases through improvements in production capacity and productivity. Therefore, waiting for inflation to fall before cutting interest rates to stimulate growth is futile. While rate cuts alone are inadequate, as there need to be structural solutions in parallel to build capacity and productivity, it is equally true that without integrated, synchronised initiatives in all these aspects, supply constraints will drive inflation.

Over the last two years, the RBI has shown the inefficacy of raising interest rates to combat inflation. It has only succeeded in slowing growth to a painful rate of under 5.5 per cent, contributing to our social pressures and turmoil. Instead of playing chicken and trying to stare each other down, the government and the RBI need to address growth in tandem, the former by eschewing fiscal irresponsibility and taking bold steps in the public interest, the latter by cutting rates, while introducing real-time systems for selective credit management to minimise misallocation and asset bubbles.

Decisions on spectrum as an example of structural reforms

The EGoM’s decisions on spectrum policy have major implications for productivity and user services for everyone, apart from the operators. Communications services are a basic enabler for effectiveness and efficiency. Increases in supply are facilitated once the infrastructure is in place. For this, we need supportive policies and incentives. Our spectrum allocation approach does not serve these purposes, because the growth in the sector has been largely of voice services and the delivery has been skewed in favour of remunerative urban areas while rural areas have insufficient coverage. This is partly the consequence of allocating narrow bands of spectrum that suffice for voice services but are inadequate for data delivery, and partly because of costs.

Auctions are inappropriate for developing economies like India because (a) they add to infrastructure costs in place of investment in service delivery; and (b) they lead to the fragmentation of spectrum for exclusive use that is contrary to what’s needed for data delivery. Our operators have an average spectrum holding of about 10 MHz, whereas they need at least 2x20 MHz.

Our policy makers seem unaware that new technologies for broadband need much more spectrum. Advanced data services are not possible otherwise, and rural users in nearly two-thirds of India will continue to be deprived of high-speed data access. A radical change in approach by sharing available spectrum will make broadband access much more feasible as well as cost-effective. This is the way to build productivity gains and distributed capacity for supply. The EGoM’s decision has to unleash this sector, instead of merely loosening a revenue-focused stranglehold.

For more details visit https://cis-india.org/telecom/blog/organizing-india-blogspot-shyam-ponappa-december-11-2012-inflation-control-through-structural-reforms

Indian Telegraph Act, 1885

snehashish — 2013-03-15T06:13:26Z

The main object of the Telegraph Act was to give power to the Government to install telegraph lines on private as well as public property.

The Telegraph Act since then gone through numerous amendments in order to accommodate new communication technologies. This is evident from the current definition of ‘telegraph’ under Telegraph Act. It defines ‘telegraph’ as:“

"any appliance, instrument, material or apparatus used or capable of use for transmission or reception of signs, signals, writing, images and sounds or intelligence of any nature by wire, visual or other electro-magnetic emissions, Radio waves or Hertzian waves, galvanic, electric or magnetic means.

Explanation - "Radio waves" or "Hertzian waves" means electro-magnetic waves of frequencies lower than 3,000 giga-cycles per second propagated in space without artificial guide."

Framework of the Act

The Indian Telegraph Act, 1885 (Telegraph Act) contains six parts. Part I deals with definitions of key words used in the Telegraph Act. Part II grants government the exclusive privilege with respect to telegraph. Part II also gives power to the issue licence to private operators to offer telegraph services. Part IIA was inserted in the Telegraph Act by the Indian Telegraph (Amendment) Act, 2003. It deals with setting up of the Universal Service Obligation Fund (USOF) for the purpose of meeting universal service obligation. (For further details see the Module on USOF). Part III deals with procedures and guidelines to be followed; for installing and maintaining communication equipments. It also lays down guidelines for setting up communication devices in private property and also the procedure for resolution of any dispute which may arise between the service provider and the owner of the private property. Part IV lays down the offences and penalties with respect to unauthorized use of communication or telegraph services. Part V deals with other supplementary provisions.

Exclusive Privilege of the Government with respect to Telegraphs

Section 4 of the Act deals with exclusive privilege of the government to establish, maintain and use telegraphs. It also provides for the government to grant licence to establish, maintain or work a telegraph. The government may grant such licence on certain conditions and for a licence fee.

Section 5 of the Telegraph Act is commonly known as the wire-tapping clause. It gives power to the government to take possession of any licensed telegraphs in case of a public emergency or in the interest of public safety. It can also order interception of communication in the interests of the sovereignty and integrity of India, the security of the state, friendly relation with foreign states or public order or for preventing incitement to the commission of an offence. However, the government has to follow the procedure established by law for issuing such order.

The procedures and guidelines for lawful interception was laid down in the case of People’s Union for Civil Liberties v. Union of India.[1] In this case the Supreme Court of India ruled that telephone tapping is a serious invasion upon an individual’s privacy. However, lawful interception can be carried out under certain circumstances mentioned in the wiretapping provision.[2] This kind of law interception has to be carried in conformity with certain guidelines which will act as a check on indiscriminate wire-tapping by the law enforcement agencies. It also directed the government to make rules and procedures for carrying out lawful interception of communication. In addition to that it also laid down the basic guidelines for such interception. The main guidelines are:

An order for law interception can only be made by the Home Secretary to the Government of India and home secretaries of state governments. In urgent situations the power may be delegated to an officer of the Home Department of Government of India and state governments and such officer should not be below the rank of joint secretary.
A copy of the order has to be sent to the review committee within one week of issuance of such order.
The authority which issues the order should also record the following information:
- the intercepted communications;
- the extent to which the material is disclosed;
- the number of persons and their identity to whom any of the material is disclosed;
- the extent to which the material is copied; and
- the number of copies made of any of the materials.
The intercepted material can be used only for purposes mentioned under the wire-tapping clause.
The interception will be valid for two month unless it is renewed. However, the total period of interception should not exceed six months.

The government also has the power to notify rates for transmission of messages to countries outside India. While notifying such rates the government must take into consideration: (i) the rates which are applicable at the time; (ii) foreign exchange rates at the time; (iii) rates applicable for transmission of message with India, at the time and (iv) such other circumstance that the Central Government may think fit to be considered.

Section 7 of the Telegraph Act vests with the government the power to make rules for the conduct of telegraphs.

The government has the power to make rule with regard to following issues:

Rates and other conditions and restrictions subject to which messages will be transmitted within India.

Precautions to be taken to prevent improper interception or disclosure of message

Conduct regarding telegram

Conduct and charges regarding use of telegraph lines[3]

Central Government may impose fine if there is any breach of rules made by it under the Telegraph Act. It may also impose fine upon licensees’ if they are found to be in violation of the rules laid down by the Central Government under the Telegraph Act. The Central Government may also revoke any licence granted under the Telegraph Act, in case of breach of any condition or default of payment with respect to the licence.

Section 9 deals with government liability with respect to loss or damage. The government does not take any responsibility for any loss or damage caused by telegraph officer fails in performing his duties. However, such telegraph officer can be held liable if acts negligently, maliciously or fraudulently.

Universal Service Obligation Fund (USOF)

USOF is established under Section 9A of the Act. The USOF is under the control of the Central Government under the Act. Section 9D deals with administration and utilisation of such funds. (For further details please refer to the module on USOF).

Power of the Government to place telegraph lines and posts

The telegraph authority has to follow certain procedure for taking possession of land for installing and maintaining telegraph line and posts. The telegraph authority# under section 10 of the Telegraph Act has the power to place, maintain telegraph line on or under or over any immovable property. The telegraph authority has limited powers with respect to installation of telegraph lines and posts. It can only take possession of land for the purpose of installing and maintaining telegraph lines and posts. The telegraph authority will only have the right to use the property for purposes specific to installation and maintenance of telegraph poles and lines. The telegraph authority while installing communication equipment should try to do minimum damage to the property. It will be liable to pay adequate compensation to all the persons who have a stake in such property. The Telegraph Act also gives power to the telegraph authority to enter on property for the purpose of repairing or removing telegraph lines or posts.

Sections 12-15 are the procedure applicable to take possession of property vested in or under the control of or management of local authorities. The telegraph authority has to take permission and pay any expenses for setting up communication equipment on property under the control of a local authority. The local authority may also ask the telegraph authority to remove any telegraph lines or post if it finds it necessary to do so. Any dispute between telegraph authority and local authority will be decided by an officer appointed by the Central Government.

Sections 16 and 17 are applicable to property other any property owned, controlled or managed by any local authority. Sections 18, 19, 19A and 19B are applicable to all kinds of property. Section 18 deals with procedure for removing trees which are interrupting telegraphic communication. Section 19 deals with lines and posts before the passing of this Act. Section 19A states that any person who has legal right over the property where communication equipment is install in accordance with the procedure under this Act has to give notice to the telegraph authority in writing, if such persons act is likely to interfere with telegraph communication or damage telegraph equipment. Section 19B allows the Central Government to confer certain powers of the telegraph authority upon the licensee.

Part IV: Penalties

Sections 20 to 32 deal with offences and penalties under the Telegraph

Offence	Ingredients of the Offence	Penalty/Fine
S.20: Establishing, maintaining or working unauthorised telegraph	any person: establishes, maintains or works a telegraph within India without proper licence or authorization from the government	In case of wireless telegraph: Imprisonment which may extend to 3 years, or with fine, or with both Any other case: Fine which may extend up to Rs. 1000 Offences under this section with respect to wireless telegraph is bailable and non-cognizable
S.20A: Breach of condition of licence	If a licensee is held to be in breach of any condition contained in license.	Fine which may extend to Rs. 1000. Further fine of Rs. 500 per week for the duration the licensee is in violation of the licence conditions.
S.21: Using unauthorized telegraph	If any person, knowing or having reason to believe that a telegraph has been established or is maintained or worked in contravention of this Act, transmits or receives any message by such telegraph, or performs any service incidental thereto, or delivers any message for transmission by such telegraph or accepts delivery of any message sent thereby	Fine which may extend to fifty rupees
S.22: Opposing establishment of telegraphs on railway land	If a Railway Company, or an officer of a Railway Company, neglects or refuses to comply with the provision which gives power to the Central Government to establish telegraph on land of Railway Company	Fine which may extend to Rs. 1000 for every day during which the neglect or refusal continues.
S.23: Intrusion into signal-room, trespass in telegraph office or obstruction	If any person without permission of -competent authority, enters the signal-room of a telegraph office of the government, or of a person licensed under this Act, or enters a fenced enclosure round such a telegraph office in contravention of any rule or notice not to do so, or refuses to quit such room or enclosure on being requested to do so by any officer or servant employed therein, or wilfully obstructs or impedes any such officer or servant in the performance of his duty,	Fine which may extend to Rs. 500.
S.24: Unlawfully attempting to learn contents of messages	If any person does any of the acts mentioned in section 23 with the intention of unlawfully learning the contents of any message, or of committing any offence punishable under this Act	Imprisonment for a term which may extend to 1 year in addition to the fine with which he is punishable under section 23 i.e. fine upto Rs. 500
S. 25: Intentionally damaging or tampering with telegraphs	If any person intending to prevent or obstruct the transmission or delivery of any message, or to intercept or to acquaint himself with the contents of any message, or to commit mischief, damages, removes, tampers with or touches any battery, machinery, telegraph line, post or other thing whatever, being part of or used in or about any telegraph or in the working thereof,	Imprisonment for a term which may extend to 3 years, or with fine or with both.
S.25A: Injury to or interference with a telegraph line or post.	If, in any case not provided for by section 25, any person deals with any property and thereby wilfully or negligently damages any telegraph line or post duly placed on such property in accordance with the provisions of this Act Exception: the provisions of this section shall not apply where such damage or interruption is caused by a person dealing with any property in the legal exercise of a right if he has complied with the provisions of section 19A (1).]	Expenses (if any) as may be incurred in making good such damage, and shall also, if the telegraphic communication is by reason of the damage so caused interrupted, be punishable with a fine which may extend to Rs. 1000.
S.26: Telegraph officer or other making away with or altering , or unlawfully intercepting or disclosing, messages, or divulging purport of signals	If any telegraph officer, or any person, who is not a telegraph officer but has official duties at any telegraph office: willfully, conceals, makes away with or alters any message which he has received for transmission or delivery, or willfully, and otherwise than in obedience to an order of the Central Government or of a State Government, or of an officer specially authorized [by the Central or a State Government] to make the order, omits to transmit, or intercepts or detains, any message or any part thereof, or discloses the contents or any part the contents of any message, to any person not entitled to receive the same, or divulges the purport of any telegraphic signal to any person not entitled to become acquainted with the same, Except in pursuance of his official duty or in obedience to the direction of a competent Court does such an act.	Imprisonment for a term which may extend to three years, or with fine, or with both.
S.27: Telegraph officer fraudulently sending messages without payment.	If any telegraph officer transmits by telegraph any message on which the charge prescribed by the Central Government, or by a person licensed under this Act, as the case may be, has not been paid, intending thereby to defraud the Central Government, or that person.	Imprisonment for a term which may extend to 3 years, or with fine, or with both.
S.28: Misconduct	If any telegraph officer, or any person not being a telegraph officer but having official duties connected with any office which is used as a telegraph office is guilty of any act of drunkenness, carelessness of other misconduct whereby the correct transmission or the delivery of any message is impeded or delayed or if telegraph officer loiters or delays in the transmission or delivery of any message.	Imprisonment for a term which may extend to 3 months, or with fine which may extend to Rs. 1000, or with both
S.29A: Penalty	If any person, without due authority, - makes or issues any fake or forged document which is believed to be issued by, or under the authority of, the Director-General of [Posts and Telegraphs], or forged or fake stamp or mark of any Telegraph Office under the Director General of [Posts and Telegraph]	Fine which may extend to Rs. 50
S.30: Retaining a message delivered by mistake	If any person fraudulently retains, or conceals removes holds without any reason any message which ought to have been delivered to some other person, or, being required by a telegraph officer to deliver up any such message, neglects of refuses to do so	Imprisonment for a term which may extend to 2 years, or with fine, or with both.

Section 31 deals with bribery and section 32 states that, “whoever attempts to commit any offence punishable under this Act shall be punished with the punishment herein provided for the offence.

Part V: Supplementary Provisions

Section 33 deals with the power of the State Government to employ additional police force in place where mischief to telegraph is repeatedly committed.

[1].(1997) 1 SCC 318
[2].Section 5(2), Indian Telegraph Act.
[3].Section 3(4), Telegraph Act, 1885 – “telegraph line” means a wire or wires used for the purpose of a telegraph, with any casing, coating, tube or pipe enclosing the same, and any appliances and apparatus connected therewith for the purpose of fixing or insulating the same.
[4].Section 3(6), Telegraph Act.

For more details visit https://cis-india.org/telecom/resources/indian-telegraph-act

India’s telecom success story turns sour

praskrishna — 2012-06-04T05:14:28Z

Over the past decade, the number of cellphones in India shot up from 6.5 million to 900 million, a prime example of how an industry could exploit the vast consumer market here to achieve breathtaking rates of growth and, in the process, help transform the country.

The article by Simon Denyer was published in the Washington Post on June 1, 2012. Shyam Ponappa is quoted in the article.

But that success story is starting to turn sour as a combination of greed, corruption and incompetence threatens to arrest that growth. Instead of being an advertisement for India’s economic potential, the telecom story has become an example for foreign investors of the perils of doing business here.

It also serves as a parable for the nation as a whole, of how India’s dysfunctional systems of governance threaten to undermine the private-sector success story of the past decade.

"There is a danger of snatching defeat from the jaws of victory," said Mohammad Chowdhury, an executive director and telecommunication specialist at consultants PwC India.

The first signs of trouble emerged in late 2008, when the boom was still at its height. In what became known as the "2G scam," an Indian journalist uncovered corruption and favoritism in the way that spectrum bandwidth — the radio frequency bands that companies use to transmit data — was being allotted to individual companies.

Accused of defrauding the Indian exchequer of billions of dollars and of accepting bribes worth hundreds of millions in return for spectrum allocation, the communications minister, A. Raja, and two senior bureaucrats were arrested in February 2011. More than a dozen business leaders also were jailed or charged.

But the slow response to the scandal has threatened the sector’s continued growth.

Last year, the Supreme Court canceled all 122 licenses that Raja had granted in 2008, even in cases in which there was no suggestion of corruption. Companies that had invested huge sums of money in India, many of them not even implicated in the scandal, suddenly found their investments under threat.

Norway’s Telenor, which is party owned by the state, stood to lose about $3 billion, probably the biggest foreign investment loss by a Norwegian company, Trade Minister Trond Giske said last month. "If it is forced to move out of the country, it would have further political implications," he warned.

Up for auction

But the biggest blow to companies came when the Supreme Court, in an attempt to foster transparency and fairness, ordered that all spectrum be put up for auction to the highest bidder.

The auction system had failed in many countries, including the United States and Britain, with companies often overreaching to bid for spectrum and ending up bankrupt.

Instead, India had decided — wisely, in the view of many experts — to sell the spectrum cheaply in return for a share in eventual revenue. That gave companies the financial headroom to invest in towers across the country and helped make calls affordable for hundreds of millions of poor people.

"There are very strong economic reasons for not auctioning spectrum in developing countries," said Shyam Ponappa of the Centre for Internet and Society.

To add insult to injury, the Telecom Regulatory Authority of India recently recommended that the spectrum from the canceled licenses be auctioned for a minimum price many times as high as in comparable auctions all over the world.

It also recommended that spectrum now held by other companies be re-auctioned when existing licenses come up for renewal between 2014 and 2025, estimating that that could earn the cash-strapped government $50 billion in extra revenue.

A cabinet committee will meet this month to consider the regulator’s recommendations. But the industry is up in arms.

The Cellular Operators Association of India called the regulator’s recommendations "arbitrary, regressive and inconsistent" and said they would prevent the industry from delivering "on the government’s vision of affordable communications, rural penetration and rollout of data services."

Telecom entrepreneur Sunil Mittal called the recommendations "catastrophic." Mittal is the chairman and chief executive of Bharti Enterprises, which owns Airtel, one of India’s largest cellphone-service providers.

PwC India estimates that the recommendations will push up average consumer tariffs by about a third, meaning price-sensitive consumers will use their phones less. The biggest losers will be the rural poor, he said.

Indeed, investment in new telecom towers has stalled, and any attempt to squeeze more money from the industry will probably delay what could have been the next chapter in India’s telecom revolution — the rollout of mobile broadband services across a country where 85 percent of the population lacks Internet access.

"It is a huge opportunity missed," said A.S. Panneerselvan of Panos South Asia.

Vodaphone tax case

As the ripples of the 2G scam widened, a separate tax dispute with British telecom giant Vodafone also has cast a shadow over India’s image as an investment destination.

In 2007, Vodafone bought a two-thirds stake in the Indian arm of Hong Kong’s Hutchison Whampoa for $11.2 billion, without paying tax. Vodafone says that the deal was conducted abroad and is not covered under Indian tax law — and that if anyone should be liable, it would be the Chinese seller rather than the buyer.

The Indian tax man disagreed. When India’s Supreme Court sided with Vodafone, the New Delhi government retroactively changed its tax laws and served Vodafone with a bill for $3.75 billion in tax, penalties and interest.

Governments around the world, including the Obama administration, complained that India’s tax laws were deterring foreign investment.

The telecom debacle stems from the government’s failure to set up an independent, autonomous and credible regulatory authority, such as the Federal Communications Commission, said former regulator Satya N. Gupta.

Instead, India’s Communications Ministry makes policies and implements them, its bureaucrats and ministers unwilling to surrender power — power that Raja is accused of abusing by changing the rules to favor his cronies.

Some experts say the industry has to take much of the blame, because companies constantly lobby for rules to be changed or decisions to be made in their favor.

Others accuse the Supreme Court of overstepping its mandate and entering the realm of policymaking. But Gupta says that was an inevitable product of the way the system was set up, that the court stepped in only because the institutions of government had failed.

"If the regulator was an independent and empowered body with executive responsibility, this would not have happened."

Rajeev Chandrasekhar, a former information-technology and telecom entrepreneur who is now a member of Parliament, said India’s governance has simply not kept pace with the economy’s transformation.

"The government as an institution is still in the 1800s, while the private sector is in the 2100s," he said. "There is nothing in India you can do without going to the government for some kind of clearance. There is always government in your life. These two worlds keep knocking at each other."

For more details visit https://cis-india.org/news/telecom-success-story-turns-sour

India’s ‘Self-Goal’ in Telecom

Shyam Ponappa — 2020-04-09T07:18:26Z

This post was first published in the Business Standard, on March 5, 2020.

The government apparently cannot resolve the problems in telecommunications. Why? Because the authorities are trying to balance the Supreme Court order on Adjusted Gross Revenue (AGR), with keeping the telecom sector healthy, while safeguarding consumer interest. These irreconcilable differences have arisen because both the United Progressive Alliance and the National Democratic Alliance governments prosecuted unreasonable claims for 15 years, despite adverse rulings! This imagined “impossible trinity” is an entirely self-created conflation.
If only the authorities focused on what they can do for India’s real needs instead of tilting at windmills, we’d fare better. Now, we are close to a collapse in communications that would impede many sectors, compound the problem of non-performing assets (NPAs), demoralise bankers, increase unemployment, and reduce investment, adding to our economic and social problems.
Is resolving the telecom crisis central to the public interest? Yes, because people need good infrastructure to use time, money, material, and mindshare effectively and efficiently, with minimal degradation of their environment, whether for productive purposes or for leisure. Systems that deliver water, sanitation, energy, transport and communications support all these activities. Nothing matches the transformation brought about by communications in India from 2004 to 2011 in our complex socio-economic terrain and demography. Its potential is still vast, limited only by our imagination and capacity for convergent action. Yet, the government’s dysfunctional approach to communications is in stark contrast to the constructive approach to make rail operations viable for private operators.
India’s interests are best served if people get the services they need for productivity and wellbeing with ease, at reasonable prices. This is why it is important for government and people to understand and work towards establishing good infrastructure.

What the Government Can Do

An absolute prerequisite is for all branches of government (legislative, executive, and judicial), the press and media, and society, to recognise that all of us must strive together to conceptualise and achieve good infrastructure. It is not “somebody else’s job”, and certainly not just the Department of Telecommunications’ (DoT’s). The latter cannot do it alone, or even take the lead, because the steps required far exceed its ambit.

Act Quickly

These actions are needed immediately:

First, annul the AGR demand using whatever legal means are available. For instance, the operators could file an appeal, and the government could settle out of court, renouncing the suit, accepting the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) ruling of 2015 on AGR.

Second, issue an appropriate ordinance that rescinds all extended claims. Follow up with the requisite legislation, working across political lines for consensus in the national interest.

Third, take action to organise and deliver communications services effectively and efficiently to as many people as possible. The following steps will help build and maintain more extensive networks with good services, reasonable prices, and more government revenues.

Enable Spectrum Usage on Feasible Terms

Wireless regulations

It is infeasible for fibre or cable to reach most people in India, compared with wireless alternatives. Realistically, the extension of connectivity beyond the nearest fibre termination point is through wireless middle-mile connections, and Wi-Fi for most last-mile links. The technology is available, and administrative decisions together with appropriate legislation can enable the use of spectrum immediately in 60GHz, 70-80GHz, and below 700MHz bands to be used by authorised operators for wireless connectivity. The first two bands are useful for high-capacity short and medium distance hops, while the third is for up to 10 km hops. The DoT can follow its own precedent set in October 2018 for 5GHz for Wi-Fi, i.e., use the US Federal Communications Commission regulations as a model.1 The one change needed is an adaptation to our circumstances that restricts their use to authorised operators for the middle-mile instead of open access, because of the spectrum payments made by operators. Policies in the public interest allowing spectrum use without auctions do not contravene Supreme Court orders.

Policies: Revenue sharing for spectrum

A second requirement is for all licensed spectrum to be paid for as a share of revenues based on usage as for licence fees, in lieu of auction payments. Legislation to this effect can ensure that spectrum for communications is either paid through revenue sharing for actual use, or is open access for all Wi-Fi bands. The restricted middle-mile use mentioned above can be charged at minimal administrative costs for management through geo-location databases to avoid interference. In the past, revenue-sharing has earned much more than up-front fees in India, and rejuvenated communications.2 There are two additional reasons for revenue sharing. One is the need to manufacture a significant proportion of equipment with Indian IPR or value-added, to not have to rely as much as we do on imports. This is critical for achieving a better balance-of-payments, and for strategic considerations. The second is to enable local talent to design and develop solutions for devices for local as well as global markets, which is denied because it is virtually impossible for them to access spectrum, no matter what the stated policies might claim.

Policies and Organisation for Infrastructure Sharing

Further, the government needs to actively facilitate shared infrastructure with policies and legislation. One way is through consortiums for network development and management, charging for usage by authorised operators. At least two consortiums that provide access for a fee, with government’s minority participation in both for security and the public interest, can ensure competition for quality and pricing. Authorised service providers could pay according to usage.
Press reports of a consortium approach to 5G where operators pay as before and the government “contributes” spectrum reflect seriously flawed thinking.3 Such extractive payments with no funds left for network development and service provision only support an illusion that genuine efforts are being made to the ill-informed, who simultaneously rejoice in the idea of free services while acclaiming high government charges (the two are obviously not compatible).
Instead of tilting at windmills that do not serve people’s needs while beggaring their prospects, commitment to our collective interests requires implementing what can be done with competence and integrity.

Shyam (no space) Ponappa at gmail dot com
1. https://dot.gov.in/sites/default/files/2018_10_29%20DCC.pdf
2. http://organizing-india.blogspot.in/2016/04/ breakthroughs- needed-for-digital-india.html
3. https://www.business-standard.com/article/economy-policy/govt-considering-spv-with-5g-sweetener-as-solution-to-telecom-crisis-120012300302_1.html

For more details visit https://cis-india.org/internet-governance/indias-self-goal-in-telecom

India's untapped potential: Are a billion people losing out because of spectrum?

Shyam Ponappa — 2012-12-14T10:31:43Z

As one of the world’s fastest growing economies and with over 65% of its billion-plus population under 35, India has huge potential. But according to Shyam Ponappa of the Centre for Internet & Society, its spectrum management – the electromagnetic waves that are used from home appliances like microwaves and remote controls, to radios, cell phones, and of course, the internet – could be a huge barrier to the country’s economic and social development.

Until the global economic downturn that began about two years ago, the economic model for spectrum distribution in India and many developing countries was based on the free market. But Ponappa demonstrates in a new report for APC that spectrum is worth treating as a public utility the way we do roads, electricity and other basic infrastructure, which would allow for people in rural areas to access spectrum-dependant services like mobile phones and wifi and increase quality of services for all.

Currently in India, as in most other countries, spectrum is being treated as a property, where “chunks” of spectrum are sold to the mobile phone and telecommunications operators with the highest bid. Commonly there are 3 – 4 operators in a developed country; however, in India there are up to sixteen. The extreme competition has resulted in the Indian bidders paying outrageous fees that they are never able to recuperate. So while the government makes a profit on the sale, this profit comes at a societal cost.

Ponappa proposes pooling spectrum and to have a set of network providers, who in turn serve operators for retail users. This effectively opens up the spectrum and could make costs ten or fifteen times cheaper than they are now.

“It is appropriate to push the concept of open spectrum in developed markets who underwent their development phase some 60 – 100 years ago and put in place basic infrastructure systems. But in countries like India and the Asian sub-continent, it does not make sense to do this because we are not at the same stage of economic development,” Ponappa told APCNews.

“When markets are well structured and organised,” he continues, “[government control] can be less effective and efficient for society as a whole, compared with open competition. However developing economies don’t have the integrated systems in place that advanced economies do. India does not have an adequately developed network of copper, optical fibre or microwaves covering most of its population. And we are at a stage of development at which infrastructure is a fundamental determinant of productivity, as well as of a reasonable quality of life.”

Ponappa argues that in India’s case it would be advisable for governments to work with other stakeholders – corporations, state-owned agencies, and civil society – on a collaborative solution. “It would be much more conducive to a sound economy to have either the government step in and open up the commercial spectrum, or to have two to three main operators (possibly subsidised, but not necessarily) as we do with the provision of utilities,” he says. Yet, the free market mentality continues to reign, and a surfeit of operators is trying to make a profit in the telecommunications wireless sector.

Everybody wants a piece of the pie

In India, every operator is assigned a sliver of spectrum for their exclusive use and the rest is assigned to the government, the public sector and defence.

The result is high-cost infrastructure for operators (setting up networks with multiple sets of more advanced equipment because of the limited spectrum, with the capital constraints resulting in less extensive networks in rural areas) as well as for users (who have to pay for all this equipment).

“Too many operators make for increased capital costs for each operator, and cumulatively for all operators,” Ponappa explains.

And these higher costs are increasingly difficult to recover from consumer-generated revenue, as India undergoes huge price wars. Many operators may eventually go bankrupt. While no consumers ever complain about low costs –and India has some of the world’s lowest mobile rates– they will complain about poor quality and unreliable service. Consequently, consumers may not have to pay much to use mobile services, but they may not always be able to make or receive calls when they need to, and do not have access to broadband.

While most countries have moved on to 3G networks (which has more capacity for a given spectrum band than 2G, meaning better call quality) as many as four of India’s sixteen operators have not even developed their 2G networks. Making the switch to 3G seems like a good idea, but there are substantial costs associated with deploying these more advanced techniques to both operators (for network upgrades) and for end users (in terms of new handsets).

Too much competition in this case has made operators inefficient.

Spectrum as a national common good

If spectrum were treated as if it were a public utility, posits Ponappa, each operator would have access to a bigger chunk of spectrum, and the traffic-handling capacity of each would increase at a lower cost.

“With the current model the capacity of networks is suffering because networks cannot afford to expand or make technical improvements without economic losses. Other infrastructure services such as electricity and water supply are managed by utility companies, which are typically monopolies for a product-segment, or duopolies for purposes of competition. So why not treat spectrum the same way?” suggests Ponappa.

Ponappa suggests treating networks, and spectrum as a part of networks, as we would an oil pipeline, where everyone accesses the same one, and pays a fee for its use.

This would bring more people onto the network and increase revenues, since operating costs would be shared. The more revenue it can generate, the more efficient operators will be, using the same high-capacity circuits. The more revenue the main operators have, the more they could invest in up-to-date technology to extend their networks and provide a better service to clients. The better the technology, the more people could access the internet and other now vital sources of information, as well as focus on broadband and infrastructure to the country’s isolated rural areas, which today have rudimentary communications infrastructure.

India’s rural populations, the lost resource

As a predominantly rural country, lack of basic IT infrastructure means that the largest segment of India’s population has no access to information and communications technologies.

Ponappa grew up on a farm in a rural area some 200 km from Bangalore where even fixed line phone networks were unreliable. “We have multiple telephone lines because we never know which one will work,” he says.

Given India’s massive rural population, this means that there are hundreds of millions of people that are unable to access the internet. Services like quality distance education are not even an option if basic infrastructure such as fixed telephone lines is not in place and the country itself is losing out on the incalculable potential of this untapped human resource.

Download the report here [pdf - 280 kb]

See the report in the APC website

This article was written as part of the APC’s project work on Spectrum for development, an initiative that aims to provide an understanding of spectrum regulation by examining the situation in Africa, Asia and Latin America.

Photo by kiwanja. Used with permission under Creative Content licensing.

For more details visit https://cis-india.org/telecom/blog/untapped-potential

India's sorry spectrum story

Shyam Ponappa — 2012-05-10T10:33:45Z

In this article published in the Business Standard on June 3, 2010, Shyam Ponappa analyses the spectrum story in India. He says that the approach to spectrum management is an object lesson in how not to use information and communications technology for development.

The network of roads is mostly public property. What if the government decided to make more money from our use of this property? Made users pay for these public assets, whether the roads are there, or yet to be built? Demanded upfront fees for a fixed-term right, followed by annual fees marked-to-market to reflect “fair market value”?

All roads would be expensive, and few people would be able to afford their use. Imagine what it would do to plans to build new roads. Imagine how much you would have to pay for road use, how road usage would drop, the sheer inconvenience it would cause, and the impediments to productivity that will be created.

This is not happening to the majority of our roads, but it is to communications, especially broadband. With some differences, this is what spectrum fees are about. The major difference is that spectrum fees are levied on operators, not end users (the equivalent for roads would be fees from government agencies/road operators).

For instance, Bharti and Vodafone paid upfront fees of Rs 12,300 crore and Rs 11,000 crore, respectively, for 3G spectrum. This is one reason why the country won’t get widespread broadband networks in a hurry, nor would it get reasonably priced services. The investment in spectrum fees and networks is so high that operators will probably offer limited, high-margin products. They will focus on high-traffic routes and ignore the rest, serving 50-100 million, instead of a billion — this is exactly the opposite of what we need.

The spectrum story

This approach to spectrum management is an object lesson in how not to use information and communications technology (ICT) for development. Each operator is exclusively assigned a sliver of spectrum. The resulting “scarce spectrum” predicament demonstrates why this approach is entirely unsuitable for optimising net benefits. Optimisation requires making trade-offs between technology, economics and commercial interests for development and the common good.

The situation is aggravated by three additional factors:

Too many operators in a franchise area (12-16 in India, as against an international average of three to five), resulting in limited capacity and high capital costs.
Limited availability of spectrum for commercial use, because of the extent assigned to the government, defence and the public sector.
The government’s periodic efforts to extract as much revenue as possible from spectrum — an exploitative approach — instead of nurturing capacity to generate fair tax returns over the long term. Even in advanced economies, high auction bids have been disastrous.

Consequences

The average spectrum available per user is of the order of 5.5 MHz in India, compared to an international average of about 22 MHz. Delhi and Mumbai have cell sites that are less than 100 metres apart, compared with around 200 metres in Istanbul, 300 metres in Munich, and 350 metres in Berlin. Decreased inter-cell distances increase interference, thus restricting capacity. If each operator has more spectrum, traffic-handling capacity increases at a lower cost. Improving technical efficiency at the cost of economic efficiency loses out on capacity at low cost. Cellular operators in India are forced to extract greater spectrum efficiency, which sounds good until you factor in the increased costs and opportunity losses.

The report titled “An assessment of spectrum management policy in India”, Plum Consulting, December 2008, by David Lewin, Val Jervis, Chris Davis, Ken Pearson, estimates that spectrum assignments increased to international norms would have lowered industry costs by an 21 per cent (Rs 11,700 crore or $2.6 billion in 2008). This would have resulted in a more extensive coverage at less cost, with greater consumer welfare.

The result is high-cost infrastructure for operators as well as for users. Too many operators make for increased capital costs for each operator, and cumulatively for all operators — unless they use common networks. Higher efficiency requires more base stations and more advanced technology, both adding to costs. Despite this, operators are exhorted to improve their spectrum efficiency. After a detailed assessment, the report concludes:

The claims regarding the scale of the capacity increases possible with the use of various techniques are significantly overstated.
In the case of adaptive multi-rate (AMR) codecs, this technique is already being deployed on a widespread basis.
The claims wrongly assume that the capacity gains from the different techniques are additive. This is simply not true in a number of cases. For example, the gain achievable with DFCA is less if AMR has already been implemented.
There are substantial costs associated with deploying advanced techniques — both for operators in terms of network upgrades and for end users in terms of new handsets.
It is important to be aware that deployment of some of the techniques, such as AMR HR, leads to lower quality of service.
The focus on spectrum optimisation techniques for 2G networks fails to take into account the fact that the efforts of the suppliers have now shifted from 2G optimisation to 3G deployment.

Those making these claims seek more intensive deployment of advanced techniques to maximise technical spectrum efficiency. But a better policy objective, as we argue (in a later section), is overall economic efficiency. From this perspective, it only makes sense to deploy advanced technologies when this is a lower cost way of increasing capacity than adding further base stations. Indeed it is against the interest of the Indian economy to deploy them if this is not the case.

The approach is counterproductive and against our interests. Advanced economies are doing the opposite, encouraging investment in broadband to improve productivity, while India’s policies actually constrain productivity.

A third consequence is the non-availability of spectrum in the more efficient bands, eg, 700-900 MHz. This has a negative effect on last-mile roll-out and services in rural areas. Lack of coverage in the hinterland is a severe deficiency in areas that are poorly served by fixed-line networks. It only perpetuates the vicious circle of low potential in rural areas with deficient broadband and Internet access.

The curse of spectrum auctions

Two recent developments have created additional burdens. One is the 3G auction, with bids of over Rs 67,000 crore (almost $15 billion). Another is the Telecom Regulatory Authority of India’s recommendation that 2G operators with over 6.2 MHz must pay for additional spectrum at prices determined by the 3G auction, resulting in a precipitous fall in the shares of major operators.

Why should governments be concerned when stock prices fall? For the same reasons, they should want stable markets: Investment and prosperity, leading to public welfare. It makes little sense to entice investment into high-potential, sunrise sectors, only to batter successful enterprises with arbitrary “taxes”. Bharti described the changes as “shocking, arbitrary and retrograde”; Vodafone called them “opaque, illogical and discriminatory”.

Like an absurd play, events have taken a surreal turn, with the Department of Telecommunications reportedly demanding spectrum fees from the defence department. However, no additional demands were made on companies cashing in on assigned spectrum rights that sold for windfall gains without any networks or users. This seems equally absurd.

The government needs to give up making short-term revenue killings, and instead, maximise net welfare through building productive capacity. Ubiquitous broadband is good for productivity and for the environment. As for auctions, remember that collections from revenue sharing after the New Telecom Policy, 1999 (NTP ’99), far exceed the bids. Let us have the wisdom to collect those golden eggs over time, instead of eating the goose now.

Read the original in Business Standard

For more details visit https://cis-india.org/telecom/blog/sorry-spectrum-story

India's Draft Telecom Policy Needs to Bridge the Gap Between Intent and Execution

sinha — 2018-05-07T16:13:31Z

Earlier this week, India’s department of telecommunications (DoT) released a draft new telecom policy, titled ‘Draft National Digital Communications Policy 2018’.

The article originally published in the Wire on May 6, 2018 can be read here. Access the Draft National Digital Communications Policy 2018 here.

The three pillars of the draft policy are ‘Connect India’, ‘Propel India’ and ‘Secure India’, which primarily seek to improve broadband connectivity, accelerate development of next-generation technologies and services and institute measures for data sovereignty, security and safety, respectively.

Several strategies have been devised under each pillar – few carry on from previous national telecom policies, and some are new proposals.

The document is high on aspirations, a lot of which it seeks to fulfil by 2022. It also proposes several favourable institutional and regulatory changes and simplifies obtaining of permissions.

However, it remains quite open-ended in terms of how the details could evolve. For example, while it endeavours to develop a fair, flexible, simple and transparent method for spectrum assignments and allocations, by pricing spectrum at an ‘optimal price’ and linking spectrum usage charges (SUC) to reflect costs of regulation and administration of spectrum, it cannot be said if these measures will fully rejuvenate a debt-ridden telecom sector.

Ideally, the policy should have explicitly mentioned that revenue maximisation is not a goal for the government anymore, to reassure the industry that licence fees and SUC will not be astronomically priced – especially as it is in no mood to change the model of spectrum allocation from auction to revenue sharing (circa NTP-99). A clear commitment would have helped inspire more confidence in this strained sector. Regardless, these changes will also need approval from the finance ministry, where stiff resistance is expected.

Expanding both wireless and wired broadband is a clear priority of the government. It sets out four initiatives, encouraging public-private partnerships to serve both rural and urban centres (BharatNet, GramNet, NagarNet, JanWiFi), and several additional measures to accelerate laying of optical fibre, mobile towers and increase sharing of infrastructure.

Although the previous telecom policies (NTP-99, NTP-2012 and recommendations in ‘Fixing Broadband Quickly’ (TRAI, 2015)) determined the similar gaps and objectives, little has translated into concrete results so far. In 2017, ITU and UNESCO reported that India was the largest unconnected market, with 49.5% (approx. 660 million) of our population still unconnected. The report further noted that the penetration of mobile broadband was much higher than fixed-line broadband connections – and urban centres were better served than rural areas. One hopes that the new strategies and objectives will be better realised this time around.

The policy also seeks to boost domestic innovation in the field of standards in communications technologies. This is reflected in its aims to strengthen domestic IP portfolios by providing financial incentives for the development of standard-essential patents (SEPs) and promote them at standard setting organisations. It mandates access to critical, mostly foreign-owned SEPs on a fair, reasonable and non-discriminatory basis (FRAND basis). This is an approach to patent licensing that has been endorsed by courts and the Competition Commission of India in the context of mobile phone technologies, as well as in other jurisdictions.

However, it remains to be seen how this mandate will be implemented in TRAI’s forthcoming recommendations on promoting telecom equipment manufacturing in India. This is a real opportunity for the telecom regulator to help the low-cost smartphone manufacturing industry in India to overcome their disadvantage in terms of having to pay exorbitant royalties to foreign-SEP holders and getting sued for infringement in the process. Another strategy that should have found place was the creation of government-controlled patent pools for SEPs, which could have solved the issue of uncertainty for local manufacturers and ensured payments to SEP holders to a great extent.

Additionally, the policy proposes a few consumer-oriented changes such as establishing a ‘Telecom Ombudsman’ and a centralised web-based complaint redressal system. In the third pillar of ‘Secure India’, although the document does not reveal the DoT’s approach to net-neutrality nor data protection and privacy, it does say that the government will be amenable to changing the terms of license to fulfill their core principles.

Curiously, in order to ‘facilitate security and safety of citizens’ it proposes to set up ‘lawful interception agencies with state of the art lawful intercept and analysis systems for implementation of law and order and national security’. This measure did not exist in TRAI’s version of the draft policy.

On next-generation tech in the field of IoT and cloud, it retained TRAI’s suggestion of setting up ‘light-touch’ licensing frameworks. This may prove to be a barrier to innovation in the field.

While the policy is broad and forward-looking, the true intent and meaning of the listed steps will only be understood when complementary legislative and granular policy actions to support these strategies are crystallised. That will make all the difference.

For more details visit https://cis-india.org/telecom/blog/the-wire-anubha-sinha-may-6-2018-india-draft-telecom-policy

India's ‘Facebook ruling’ is another nail in the coffin of the MNO model

praskrishna — 2016-02-28T03:44:34Z

Ability to access 'net from mobe no longer considered a miracle.

The article was published in the Register on February 15, 2016. Pranesh Prakash gave inputs.

Nobody could accuse India’s telecoms regulator, TRAI, of being in the operators’ pockets. This month it has, once again, set eye-watering reserve prices for the upcoming 700 MHz spectrum auction (see separate item), and now it has taken one of the toughest stances in the world on net neutrality, in effect banning zero rated or discounted content deals like Reliance Communications’ Facebook Basics, or Bharti Airtel’s Zero.

In a ruling last Monday, TRAI said telecoms providers are banned from offering discriminatory tariffs for data services based on content, and from entering deals to subsidize access to certain websites. They have six months to wind down any existing arrangements which contravene the new rules. Its stance is even stricter than in other countries with strong pro-neutrality laws, such as Brazil and The Netherlands.

“This is the most extensive and stringent regulation on differential pricing anywhere in the world,” Pranesh Prakash, policy director at the Centre for Internet and Society, said. “Those who suggested regulation in place of complete ban have clearly lost.”

Such decisions, combined with high spectrum costs, will quickly make the traditional cellular business model unworkable in India, and the more that happens, the more wireless internet innovation will switch to open networks running on Wi-Fi and unlicensed spectrum. R.S. Sharma, chairman of TRAI, was careful to tell reporters that the zero rating ruling would not affect any plans to offer free Wi-Fi services, like those planned by Google in a venture with Indian Railways.

A disaster for MNOs, not Facebook

Facebook pronounced itself “disappointed” at TRAI’s ruling, having lobbied aggressively for a more flexible approach since RCOM was forced to suspend the Basics offering in December while the consultation process took place. But while the ruling bars the Basics offering – which provided free, low speed access, on RCOM’s network, to a selection of websites, curated by Facebook – it does not stop the social media giant pursuing other initiatives within its internet.org umbrella. These include projects to extend access using its own networks, powered by drones and unlicensed spectrum, to the unserved of India and other emerging economies.

So while the TRAI decision may be a setback for Facebook, it is not the body blow that it represents for the MNOs with their huge debt loads and infrastructure costs, and low ARPUs. Facebook, with 130m users in India, has a comparable reach to the Indian MNOs (only three, Bharti Airtel, Vodafone and Idea, have more subscribers than Facebook has users), and is better skilled at monetizing those consumers.

The challenge for companies like Facebook is that strict neutrality rules reduce their ability to harness others’ networks in order to reach out to new users. There are about 240m people in India who are online, but don’t use Facebook, and about 800m who are not connected, so the growth potential is far larger than in the other 37 countries where Basics is offered, such as Kenya or Zambia (Facebook is blocked in China). Using RCOM’s network and marketing activities was a far cheaper way to reach some of those people than launching drones, but Facebook has other options too, including its existing efforts to make its services more usable on very basic handsets and connections; the ability to leverage the WhatsApp brand; and partnerships with Wi-Fi providers.

The drones may have less immediate results than Basics, but they are a high profile example of an ongoing shift towards open networks, which has been going on for years, driven more by Wi-Fi proliferation than neutrality laws. The latter will be an accelerant, however.

All internet will be free, not zero rated

Currently, zero rating is an increasingly popular tactic to lure users with an apparently cheap deal and then, hopefully, see them upgrade to richer data plans, or spend money on m-commerce and premium content, in future. Zero rating involves allowing users access to selected websites and services without it affecting their data caps or allowances.

The US regulator has so far tolerated the practice, but the debate is raging, there and elsewhere, over whether it infringes neutrality laws, by offering different pricing for different internet services. If other authorities take the stance adopted by TRAI in India, operators will have to find new ways to attract customers and differentiate themselves.

Increasingly, access to a truly open internet will be the baseline, and priced extremely low. That low pricing will be made commercially viable by rising use of Wi-Fi to reduce cost of data delivery, whether for MNOs, wireline providers or web players like Google and Facebook, which are moving into access provision. Providers, whether traditional or new, will have to stop regarding access to the internet as a premium service or a privilege – it will be more akin to connecting someone to the electricity grid, just the base enabler of the real revenue model.

Just as it’s only when users plug something into that grid that they start to pay fees, so the operators will charge for higher value offerings which ride on top of the internet – premium content, enterprise services, cloud storage, freemium applications and so on.

The mobile operators have not embraced these ideas willingly. For years, the ability to access the internet from a mobile device was regarded as a value-add, almost a miracle. Now that the wireless network is often the primary access method, they need to change their ideas and be more like the smarter cablecos – which have tacked internet access onto a model driven by paid-for content and services – or the web giants, which have worked out ways to monetize ‘free’ access, from advertising to big data.

This, of course, is one of the goals of internet.org and Google’s similar initiatives involving drones, white space spectrum and satellites. The more users are able to access the internet, preferably for free, and the more they see Google or Facebook as their primary conduits to the web, the more data these companies have to feed into their deep learning platforms, their context aware services and their advertising and big data engines.

So while critics of TRAI said the zero rating decision was a setback to the goal of getting internet access into the hands of the huge underserved population of India, that population is too large and potentially rich for Facebook and its rivals to give up at the first hurdle.

Facebook CEO Mark Zuckerberg wrote in a blog post: "While we're disappointed with today's decision, I want to personally communicate that we are committed to keep working to break down barriers to connectivity in India and around the world. Internet.org has many initiatives, and we will keep working until everyone has access to the internet."

For more details visit https://cis-india.org/telecom/news/the-register-february-15-2016-india-facebook-ruling-is-another-nail-in-coffin-of-mno-model

India Study Tour - Report: The South African Telecommunications Sector: Poised for Change

radha — 2011-08-24T08:02:09Z

CIS in collaboration with the LINK Centre, Graduate School of Public and Development Management, University of the Witwatersrand, South Africa and in association with different institutions across India organized a Lecture Tour by Sagie Chetty from 19th Oct to 30th Oct. A report on this study tour is given by Sagie Chetty.

India Study Tour Report

2009-10-17 to 2009-11-01
Sagie Chetty, Masters of Management ICT Policy & Regulation
Student Number 0617514V
Supervision: LINK Centre
Graduate School of Public and Development Management
University of the Witwatersrand

Sagie Chetty is a Senior Manager at Eskom, South Africa’s largest Electricity Utility and a Masters of Management student in the field of ICT Policy and Regulation at Wits University. My research dissertation is entitled “Analysing processes for regulating interconnection in India and South Africa.” Wits LINK Centre and the Centre for Internet and Society (CIS) in Bangalore arranged for a study/lecture tour to India for the period from 17th October 2009 to 1st November 2009. As part of the tour, I presented a number of talks to students and faculty members at various universities and institutions around the country, on the subject of the Telecommunications Landscape in South Africa. I used the opportunity to inform students on the development of the telecommunications sector in South Africa; to build relationships between the LINK centre and the institutions I visited; and, most importantly, to conduct interviews with academia, economists and regulatory authorities in India to gather essential material for my research paper.

Presentations were held at a number of universities, namely the Indian Institute of Technology (IIT), Chennai and IIT, Mumbai; the International Institute of Information Technology (IIIT), Bangalore; and the Indira Gandhi National Open University (IGNOU), the National Institute of Science, Technology and Development Studies (NISTADS) and the Jamia Millia Islamia University – all based in Delhi. The visit concluded with meetings with officials from the Telecoms Regulatory Authority of India (TRAI).

The presentations were well attended and discussions were robust and thought provoking. The South African telecommunications sector was seen as being non-competitive with unnecessarily high ownership by government in the telecommunications sector. From the information provided, students concluded that the SA telecommunications regulator was weak and lacking in the commensurate skills to manage this highly technical sector.

On the other hand, students gravitated between having admiration for India’s own telecommunications regulator, TRAI and criticism of TRAI’s inability to improve broadband take-up in India. Students commended TRAI’s technical skills, independence and its courage in standing up to powerful mobile companies and incumbent telecommunications companies. However, lack of policy direction with regard to broadband rollout is seen as a major failure. Comments regarding this failure are attributed to TRAI’s driving down of telecommunications prices to levels that do not allow for infrastructure investment.

The future for broadband in India lies in mobile technology and some predict that fixed line will be defunct by 2025. Some academics also believe that there are too many players in the telecommunications sector in India making spectrum allocation highly competitive and therefore, very expensive. These costs will have to be recovered and the end users will pay dearly for this. Therefore, the model that the Department of Telecommunications (DOT) is using for spectrum auctions is being questioned by students and academics.

The innovation that I observed in India relates to CIS’s early work in projects assisting the visually impaired to read; the writing of 4G standards at the IITs and the innovation with regard to interconnection usage charges (IUC) at TRAI. These are some of the lessons that I have taken back to South Africa.

My observation of students in India is that they are highly motivated and eager to learn. Entrance to the universities is highly sought after and universities have high standards and are generally difficult to get into. The IITs certainly are increasing the requirements for students to get into them. The institutions are vibrant and are fertile grounds for thought leadership and innovation. India is producing a veritable number of PhDs and institutions seem to offer funding for capable students. South Africa needs to re-examine the funding model for students here. My impression is that students in South Africa do not have similar support as their counterparts in India.

The talks generally concluded with a re-affirmation of the strong historical and cultural links between South Africa and India. Mahatma Gandhi’s time spent in South Africa developing his notion of non-violent protest is well known in India and will always bind our countries together.

India is a vibrant country with an economic engine that is gathering revolutions. Its future is bright and its institutions are producing bright young minds to take their place in this awakening economic giant. South Africans can do well in learning from this super power in the making.

Report

Videos

For more details visit https://cis-india.org/telecom/blog/india-study-tour-report-by-sagie-chetty

Ideology and ICT Policies

Shyam Ponappa — 2012-05-10T10:21:49Z

For better policies, decision-makers need to know their own and others’ biases, and consider what others are doing, writes Shyam Ponappa in an article published in the Business Standard on 4 November 2010.

Why do the same facts regarding people’s needs for ICT infrastructure give rise to different policies? Apart from problematic motivation such as malicious intent and opportunism, even well-intentioned policy-makers may prescribe entirely divergent solutions for a given situation. This is evident if one compares India’s broadband policies with those of most countries. There are at least two reasons for this: differing perceptions of the facts, and differences in underlying beliefs and assumptions, i.e. ideology, as distinct from objective data.

Consider the facts of India’s ICT space. In one sense, there has been spectacular success in the communications sector. One statistic cited as evidence is the phenomenal increase in mobile phone subscriptions (over 12 million in September 2010). Equally, to those who focus on aspects like the shortfall in services outside the big cities and towns, or the meagre broadband coverage and its inaccessibility in rural areas (i.e. in much of the country), the communications sector falls tragically short of its potential, and requires policy change.

In this time of India Rising interrupted by the Great Recession, there is a stark contrast between the orientation of our ICT policies and that of most other countries. One area is the extent of government intervention and spending on broadband development. Governments of most advanced economies have stepped in to dramatically improve their broadband networks and policies for user access. This is not only in the EU where, historically, the approach is that government acts to extend consumer welfare, but also in America, the UK and Australia, which are considered much more free-market-oriented in their approach, and in many countries in Asia, including China. Unlike in America since Reagan, regulatory intervention in Europe is part of more supportive policies at the national and local levels. But this time around, even America has embarked on a comprehensive Broadband Technology Opportunities Program, with the goals of providing access to users in unserved areas, improving access in underserved areas, supporting public interest schemes for broadband access, improving broadband use by public safety agencies, and stimulating demand for broadband, economic growth and jobs; there is also a separate Rural Utilities Service.*(Click for graph)

With regard to underlying assumptions and beliefs, an analysis on how economic doctrines affect policies by Robert D Atkinson of the Information Technology and Innovation Foundation offers a way to think through alternatives for better decisions.** His analysis is on ICT, although it can be applied to all sectors. To quote from his conclusion, for advocates and policy-makers, “differences over doctrine cause partisans to view facts differently and to focus on small segments of complex debates, leading to a breakdown of constructive dialog and much ‘talking past each other’.”

He summarises four ideologies or economic doctrines:

Conservative Neoclassical (CNC)
Liberal Neoclassical (LNC)
Neo-Keynesian (NK)

Innovation Economics, also called structuralist-evolutionary, neo-Schumpeterian, or evolutionary economics (IE)

While he describes differences in nuanced detail, the simplified abstractions rendered as a logic tree in the accompanying diagram (above) show how economic beliefs affect network policies.

CNCs are characterised as being less concerned with fairness, and less likely to expect market failures. Therefore, network and broadband markets in which governments do not intervene are considered to be competitive, and require no unbundling or price prescriptions. Their bias is for pure competition.

LNCs are more concerned with fairness, as are NKs and IEs. They accept that telecommunication markets are not competitive, and that there may be market failures. LNCs and NKs would use policy to increase competition in different ways. LNCs expect more competition to lead to increased consumer surpluses. LNCs favour regulated competition, viewing more competition as better. NKs want more competition through directed government subsidies, e.g. for municipal broadband or to small companies (which they consider less rapacious than large corporations).

IEs believe broadband markets have economies of scale, and that increased competition could result in excessive and redundant investments. They consider duplication of existing, expensive infrastructure as inefficient investment. IEs view communications infrastructure as a “general purpose technology” that drives economic activity, innovation and productivity. Therefore, they advocate policies that invest in higher-speed broadband, and in extending network services to more people, favouring a national broadband policy. The US National Broadband Plan defines broadband as a “Transformative General Purpose Technology”, and most countries practise IE. Irrespective of their economic philosophies, most countries have embarked on an aggressive broadband plan.

In comparison, India’s approach does not fit any of these categories. There are no policy incentives for broadband, and actions like the spectrum auctions this year indicate a focus on collecting government revenues rather than on facilitating communication services. Whereas the OECD countries and other Asian economies are working on network resource-sharing schemes, India seems to have previous-generation preoccupations: revenue-collection-for-the-government, increasing competition per se, or abstruse technology considerations, such as loading the most traffic on every unit of commercially available spectrum, instead of maximising the economic benefits from it. Costs and benefits in the public interest are apparently ignored.

BSNL, MTNL and DD have networks that, if they could be channelled with the right mix of policies and private enterprise, could be part of the overall backbone infrastructure for open network operations, as is being done by a consortium in Singapore. If our policy-makers understand their biases as well as those of others, they could adapt beneficial policies from other countries, as demonstrated by many countries with different philosophies converging on improving broadband.

* “Broadband Stimulus Policy in Europe and the US: A Comparative Review”, Dariusz Adamski, Berkman Center for Internet and Society, Harvard Law School: http://www.nyls.edu/user_files/1/3/4/30/84/187/245/Adamski,%20SPRING%202009,%2018%20MEDIA%20L.%20&%20POL%E2%80%99Y.pdf

** “Network Policy & Economic Doctrines”, Robert D Atkinson, The Information Technology & Innovation Foundation, October 2010: http://www.itif.org/files/2010-network-policy.pdf

Read the original in Business Standard

For more details visit https://cis-india.org/telecom/blog/ideology-and-ict

How the Telecom Act undermines personal liberties

Rajat Kathuria and Isha Suri — 2024-02-20T00:54:29Z

In this article, Prof. Rajat Kathuria and Isha Suri analyse whether the law has enough safeguards and an independent regulatory architecture to protect the rights of citizens. The authors posit that the current version leaves the door open for an overenthusiastic enforcement machinery to suppress fundamental rights without any meaningful checks and balances.

The Telecommunications Act cements government’s power to suspend internet services, does not establish independent oversight mechanism for interception, suspension orders. The article originally published in the Indian Express can be read here.

“Is Big Brother watching you? At the press of a button a civil servant can inspect just about every detail of your life your tax, your medical record and periods of unemployment. That civil servant could be your neighbour. There is mounting concern over this powerful weapon that the computer revolution has put in the government’s hand. But no civil servant will be allowed to examine personal files from another department, without written authority from a Minister. I shall be announcing legislation enabling citizens to take action against any civil servant who gains unauthorised access to his file.” (Yes Minister). The year is 1980, the computer revolution is just about beginning and questions of surveillance have become pertinent; safeguards in the form of separation of powers between the executive and legislative are announced by the Minister for the protection of citizens.

Although theatrical, Yes Minister can yet be invoked to characterise governments in most parliamentary democracies especially India’s.

More than four decades on, the Indian Parliament witnessed the smooth passage of several pieces of legislation, including the Telecommunications Act (TA) 2023, which justifiably seeks to bury remnants of colonial-era laws. While the modern digital age creates conditions for unprecedented surveillance reflecting the Benthamite tenet of maximum monitoring at minimum cost, the question on everyone’s minds is whether the law has enough safeguards and an independent regulatory architecture to protect the rights of citizens.

Before contemplating this weighty query, let us set the narrative in context with a quick recap of the major markers in digital governance in India that have concluded, at least for the moment, in the passing of TA 2023.

The institutional regime for telecommunications dates back to the late 1990s and was created more by accident and less by design. The Telecom Regulatory Authority of India (TRAI) became necessary because private sector investment came in when the public sector operator was both player and referee. Massive litigation followed, leading to the setting up of TRAI. Within a few years, the Telecom Dispute Settlement Appellate Tribunal (TDSAT) was carved from TRAI to fast-track excessive litigation. In between, there was the dissolution of the first TRAI, only confirming who the “boss” was.

The desire to serve in regulatory regimes has surely been tainted by the goal of securing sinecures. This is not just an Indian phenomenon. For example, the Biden administrators wish they continue in office for long. It is in the nature of such positions that many of those appointed will never again be in a position of authority. There have been few instances after its dissolution that TRAI has taken on the government. The relationship between the legislature and the executive is complex but suffice it to say that such a separation in telecom is met much more in the breach.

The regulatory regime for telecom described above notifies subordinate legislation, enforces and adjudicates disputes — it performs the role of the executive and the adjudicator. One key safeguard for the protection of ordinary citizens is, therefore, already undermined. The separation of powers remains on paper and the exercise of authority through delegated rule-making ensures the government can intervene with little resistance.

In this background, TA 2023 poses challenges. Although undoing colonial-era laws is one of the stated goals, the re-purposing of some existing provisions and ambiguous drafting does little justice to that aim. For example, the definition of telecommunication services has been left open to interpretation. Internet-based services like WhatsApp and Gmail are, therefore, likely to fall under the Act’s ambit. Provisions empowering the government to notify standards and conformity measures or ask for alternatives to end-to-end encryption such as client-side scanning could undermine privacy. Further requiring messages to be disclosed in an “intelligible format” is irreconcilable with end-to-end privacy engineering. Tinkering with end-to-end encryption for compliance could create potential points of vulnerability.

The grounds on which such information may be sought, outlined in Section 20 (2) include sovereignty and integrity of India, security of the state and public order. Prima facie these appear reasonable. However, the current phrasing leaves room for expansive interpretation by overenthusiastic enforcement machinery — it could go beyond the letter of the law to please political masters. Research conducted in 2021 by Vrinda Bhandari and others found that many orders issued under the guise of public order restrictions would not qualify as legal per se. The Act cements the government’s power to suspend internet services (Section 20(2)(b)) and does not include procedural safeguards envisaged in the Supreme Court’s Anuradha Bhasin judgment such as the proportionality test, exploration of suitable alternatives and the adoption of least intrusive measures.

The Act also does not establish an independent oversight mechanism for interception and suspension orders related to telecommunications. These rules, framed in 1996 in line with the directions of the Supreme Court in PUCL v. Union of India and requiring a committee consisting exclusively of senior government officials, reflect inadequate separation. In the UK the law mandates approval of interception warrants by judicial commissioners. Separation of powers is however not a panacea; it is just a necessary condition for the effective functioning of institutions. We must also observe the counsel of John Stuart Mill for the maintenance of institutional integrity namely, not “to lay [their] liberties at the feet of even a great man, or to trust him with powers which enable him to subvert [their] institutions” — JS Mill, quoted by BR Ambedkar on November 25 1949, requoted by sitting Chief Justice of India on Constitution Day (November 26, 2018).

Kathuria is Dean, School of Humanities and Social Sciences and Professor of Economics at the Shiv Nadar Institution of Eminence and Suri is Research Lead, CIS.

For more details visit https://cis-india.org/telecom/blog/indian-express-january-25-2024-how-the-telecom-act-undermines-personal-liberties

Healing self-inflicted wounds

Shyam Ponappa — 2011-12-05T09:10:20Z

A spate of dysfunctional actions and retrograde developments has led to an unimaginable mess for India. Can the damage to growth prospects be undone? Does it need to be? If so, how? Three areas are discussed below.

Some months ago, the spectre was of consoling ourselves with a reduction of two per cent in growth, from 9.5 to 7.5 per cent. That’s history. What looms ahead is a larger, more serious threat. This ominous tidal-wave-in-the-making comprises many separate currents converging to undermine India’s take-off yet again. The prospect is long-term growth hamstrung by policy stand-offs, foreign direct investment in retail being a case in point, and social tensions fuelled by high unemployment.

Those who think India has arrived should be aware that it will take another decade of eight to nine per cent growth to be able to fund reasonable basic infrastructure and necessities for everyone. Why should it matter if you live in a rich cocoon? At the very least, you’ll be able to go out without stepping into filth or smelling it, or seeing masses of people struggling to survive.

Instead of a high-growth trajectory, we may get six to seven per cent, with luck. These prospects are clouded by wasteful expenditure, such as the perpetuation of an ill-functioning public distribution system and its concomitant, ration-shop-mentality, instead of efficient direct retail subsidies through electronic transfers. The negativity is amplified by fractious social and political tensions, and shoddy infrastructure crippling productivity: power outages, low-speed communications and poor logistics. One can argue (ah, argument) that the tensions are justifiable as an antithesis to increasing levels of corruption from political, bureaucratic and corporate kleptocracy feeding off the land and people, or hardening sectarian interests competing for predatory control. But if there’s one thing we can learn from others’ experience, it is to work together for better outcomes, or suffer; in game theory parlance, collaborate to optimise, or settle for worse.

Undoing Sectarian Alignments

Undoing the fractious underpinnings of sectarian alignments of language, caste and religion is beyond the scope of this article. The unpleasant reality is that unless such structural social impediments are addressed, malfunctions will continue. So we have this reality where, at one level, India is wonderful in the way people stream and swirl together, and at another, it is horrible because our potential is not manifested in living standards, with people fed, clothed and housed properly, and clean streets.

To return to misapplied intelligence in the political economy, consider three areas: interest rates, airlines, and telecommunications.

Interest Rates

It seems only the Reserve Bank of India (RBI) was unaware that the consequences of interest rate hikes since February 2010 would (a) not control inflation (short of an economic collapse), and (b) lead to a severe curtailing of growth. To be fair, some economists aided and abetted with remarks that interest rates must be raised because of high inflation.

By contrast, the accompanying charts for China and Germany (euro zone) show their negative real interest rates.

What we have to do is reduce interest rates, with selective credit controls to ensure that credit for speculation is constrained and costs are high, e.g., in certain real estate, commodities, stocks and derivatives. Implementation, likewise, has to be “intelligent”, with online tracking by exception, and not cumbersome or voluminous weekly or fortnightly reports that are manually compiled and/or analysed, filtered and then presented to committees for decisions.

Airlines

The structural anomalies in India’s taxes on aviation turbine fuel (ATF) and airport charges defy logic. For a decade, there has been talk of cuts in central and state taxes on ATF, but the problems continue. Consider the missed opportunity: India has a large domestic market and is well positioned for airlines to use this for establishing global leadership, as well as ubiquitous domestic services. Instead, the sector is bled for short-term government revenues, giving foreign airlines the advantage. ATF charges in India for international flights cost 16 per cent more than they do abroad, and local airlines pay over 50 per cent more because of taxes and additional charges. Consider the ludicrous stipulation that foreign airlines cannot invest in India, and the irrationality defies imagination. Add the illogic of a government-funded, loss-making airline undercutting private airlines, and we have the mess we are in.

Globally, airlines suffer from gratuitous free-market philosophies, the exceptions being airlines from strategically focused countries, e.g., in West Asia, Southeast Asia (Singapore, Malaysia, Thailand) and, of course, China. Wake up! Surely no one doubts that aviation is an integral aspect of logistics and transportation? The government needs to recognise this and build capacity, with policies like uniform, low state taxes. Also, as in telecommunications, aviation requires an oligopolistic structure with limited competition, which if ignored brings chaos and grief, because nothing else is sustainable.

Telecom & Broadband

The draft National Telecom Policy 2011 promises good things. Yet, like India’s potential, the promise will be realised only with convergent action. This iconic sector, which changed the way the country functions and is perceived, is on the verge of being ruined by dysfunctional intervention. For instance, the regulator and the government seem bent on applying retrospective charges for “excess spectrum”, taking the bottom out of the market. Worse, 3G services are hamstrung by government attempts to restrict services, while operators threaten litigation. Meanwhile, the bastions of “free market”, the US and the UK, are initiating shared spectrum policies. What good are our brilliant objective statements about excellent, affordable services if the government acts to achieve the opposite? And is it beneficial for India to hound solid companies like Telenor and Qualcomm (unless they commit transgressions), instead of taking a problem-solving approach?

If the confused doublespeak – of punitive charges, restrictive practices, PSUs building state-of-the-art networks, auctions and spectrum sharing, all in the same breath – continues, we may lose a decade or more because of instability and irrational policies. It is time for decisions on pay-for-use, open-access spectrum and networks. Incumbent network companies can be compensated along a downward-sloping power curve to give up their competitive advantage. We must start being reasonable and do things that make sense.

This article by Shyam Ponappa was published in Business Standard on 1 December 2011. Read the article at Organizing India Blogspot

For more details visit https://cis-india.org/telecom/healing-self-inflicted-wounds

Handy Origins of the winds of change

radha — 2011-04-02T14:59:01Z

A seminar in Bangalore revealed how mobile technology is being harnessed across India to bring about development and social change, reports Shrabonti Bagchi - DNA (6th Sept, 2009)

The Internet, for all the celebrated changes it has made in our lives, still had limited penetration in our country with about 80 million, largely urban and prosperous users. This severely limits its viability as a vehicle of development and social change. The mobile phone, on the other hand, has 400 million users in the country, and has undoubtedly become the first mode of communication in India to gain almost universal reach, cutting across barriers of location, region, community and social classes.
“The mobile phone has unprecedented penetration into classes of society that were largely unconnected with the outside world till now,” said Sunil Abraham, executive director of the Centre for Internet and Society, which along with Mobile Monday Bangalore, the Bangalore chapter of a global community of wireless industry professionals, organised a seminar, “Mobile Technology 4 Social Change”, in the city recently.
The idea for the event came from one of the co-organizers, Mobileactive.org, which is a network of NGOs interested in taking advantage of the mobile telephony revolution to bring about changes, informed Abraham.
Attended by NGOs, non-profit organisations, researchers, donors, and of course, mobile application developers, the seminar intended to throw open doors of communication between these varied groups of people.
Take the case of IFFCO Kisan Sanchar Limited (IKSL), for instance. This farmers’ co-operative formed under the aegis of fertiliser manufacturer IFFCO has tied up with cellular service provider Airtel to develop a special SIM card which enables users to receive voice and text messages everyday containing nuggets of information about various farming practices. It has around 2,75,000 subscribers in Karnataka alone, informs IKSL state manager G Raghunatha, and has made a huge difference to the lives of farmers.
A similar case is related by Subbaih Arunachalam who is involved with the MS Swaminathan Research Foundation, which has tied up with Tata Tele-services and Qualcomm and telecom developer Astute to create special GPS-enabled mobile phones (costing less than Rs.3, 000) that helps fishermen track weather reports, send out emergency messages in case they are lost at sea, etc., and also engage in price-point discussions with local wholesalers.
Several NGOs have also been quick to utilise the advantage of the versatility and ease-of-use of the mobile phone to disseminate vital information. Sreekanth Rameshaiah, director of Bangalore-based NGO Mahiti, spoke of an endeavour started by his group in Calcutta called My SME News which targets small and micro enterprises, sending out customised information for 11 micro-industries through text messages in the local language. They also plan to launch a voice platform soon.
Mobile payments brand mChek started an initiative on similar lines in Bangalore. The company uses its SMS-based mobile payment technology, which is embedded on all new Airtel and Docomo SIM cards, to enable slum dwellers to access banking and explore micro-finance options through micro-finance institution Grameen Koota.
Valerie Rozycki, head of strategic initiatives at mChek, said, “Access to low-cost banking over the mobile and being enabled with safe ways to save and convenient ways to make payments is life-changing for these customers. This is a sustainable business model to serve the un-banked and under-banked. So, these services will continue to thrive."

Let’s raise our mobile phones to that.

For more details visit https://cis-india.org/news/handy-origins-of-the-winds-of-change