TRAI invites industry comments on OTT regulatory framework

Amidst a global debate regarding regulation of Over the Top (OTT) services and neutrality of the internet, India's telecom regulator on Monday issued a consultation paper on a regulatory framework for such services and sought view of industry stakeholders.

"This consultation paper covers the views of the service providers and OTT providers, all related issues (including network neutrality), international experience with network neutrality and regulation of OTTs (communications and non-communications)," the Telecom Regulatory Authority of India (TRAI) said in a statement.

A deadline of April 24 has been set by TRAI to invite comments which will be posted on its official website.

"Telecom service providers (TSPs) offering fixed and mobile telephony are currently being overwhelmed by online content, known as over-the-top (OTT) applications and services," it said.

According to TRAI, OTT refers to applications and services which are accessible over the internet and ride on operators' networks offering internet access services including social networks, search engines, amateur video aggregation sites and others.

The regulatory body said the rising penetration of smartphones in India due to the declining prices and the "upgradation of access networks by the TSPs" are among the important factors contributing to OTT growth in the country.

As per TRAI, digitalization of content has reduced conservation, reproduction and distribution costs, which, in turn, has promoted the explosive growth in the supply of online content.

"Paradoxically, the broadband networks provided by incumbent TSPs are used as a platform by the OTT players for the development of new businesses. The growth of traffic apart, the OTT applications have created an increasing demand for faster broadband speed, which translates into a need for huge investments in network up-gradation by the TSPs," it said.