Telecom companies cannot throttle content: Rakesh Garg

Interview with Telecom secretary

Technology is disruptive, says Telecom Secretary Rakesh Garg on fear among telecom operators of WatsApp, Skype and Viber cannibalising their revenue. In an interview with Mansi Taneja, Garg says over-the-top messaging companies have been around as long as mobile phones and telecom companies will earn from increased data usage. Edited excerpts:

What is the department of telecommunications' view on net neutrality?

As far as the core principles of net neutrality are concerned, telecom operators cannot slow down or speed up any content. Neither can they throttle content. However, there are many dimensions to this. There are lot of issues like traffic management, disaster management and medical applications. Machine-to-machine communications is on the horizon. We are working on what has to be done without giving a free hand to telecom players to slow down content.

What are your views on over-the-top messaging services?

Whenever you use the Internet, you pay data charges. Telecom companies have invested in their networks and they are earning revenue from data consumption.

Voice over Internet telephony is one concern. The over-the-top messaging revenue model is completely different. There are only a few successful players, not many know how many have failed - Orkut disappeared after Facebook arrived. The successful ones have to earn revenue from advertisements.

Telecom companies are saying messaging apps should be brought under licensing...

There are regulations for them under the Information Technology Act. Content is regulated and calls can be intercepted through them. A decision will be taken based on reports of the department of telecommunications and the Telecom Regulatory Authority of India whether they need to be brought under a licensing framework.

TRAI data shows all telecom companies meet quality norms. Your comments?

On an objective basis, which TRAI is monitoring, the data shows only some operators, and that too in small areas, not meeting quality norms. On average, all the parameters on quality of service are being met by telecom companies.

However, there is a public perception that call drop rates are high and the perception is not without reason. It happened because of growth in data services. The infrastructure is not able to handle the capacity. Telecom companies have to add more towers and redesign their systems to handle the traffic.

Are any new bands of spectrum being identified for auction?

Our principle is that whatever spectrum we can lay our hands on should be auctioned as fast as possible. As of today, we do not have any spectrum left. We auctioned everything in March.

The defence forces are expected to release more spectrum this year. Will auctions happen after a year?

We are looking at the 700 MHz band, but the ecosystem has to be developed before we auction. We will decide on the right time for auction. It is not good to auction spectrum much in advance.

When will BSNL and MTNL be revived?

We are taking all possible steps to make them financially viable. We have agreed to take some of their spectrum back and will take on their pension liabilities. A lot of financial incentives are being given to them.