Cellular Operators Association of India (COAI) has stated that over-the-top (OTT) platforms must contribute towards developing digital telecom infrastructure in India as a condition of using their services.
“Any entity which creates a property or infrastructure by investing funds is entitled to take usage charges (rent /lease charges, etc.) from the user of that property or infrastructure who uses the same for commercial purposes,” they said in a letter to the telecom secretary K Rajaraman.
The government must provide a legal framework to enable the service providers to charge any user that uses their services. “If a mutual agreement is not reached, then an appropriate licensing and regulatory framework should be in place which governs the contribution of OTT players towards the creation of network infrastructure,” the letter said.
The letter came after growing clamor for bringing OTT players under the ambit of a licensing or regulatory regime just like telecom players to bring a level playing field.
COAI added that the government must provide a legal framework to enable the service providers to charge any user that uses their services.
The body suggested levying a “usage charge” for actual traffic carried by OTT on telecom networks. The charge must be “mutually agreed between the TSPs and OTT Players.”
“If a mutual agreement is not reached, then an appropriate Licencing and Regulatory framework should be in place which governs the contribution of OTT players towards the creation of network infrastructure,” COAI added.
This comes in the backdrop of COAI suggesting the government add OTT communication services in the new Telecom Act to “restore a level playing field”.
“The European Commission (EU) is advocating for formalizing of due legislation for OTT players to share the network investment burden of the telecom players in a proportionate manner,” it said. The EU had earlier said that big tech companies generate high data traffic but do not invest in building infrastructure.
