Telcos seek higher int'l termination charges amid growing AI-led scams

Say it will ensure an ecosystem that prioritises consumer protection

Major telecom operators, including Bharti Airtel, Reliance Jio, and Vodafone Idea, are pushing for an immediate upward revision of international termination charges from the current ceiling of ₹0.65 per minute to at least ₹4-5.

 

This is in light of the rising number of financial frauds, including those by artificial intelligence (AI) tools.  

 

International termination charge is an amount that any overseas carrier pays for calls landing on Indian telcos’ networks. While any foreign telecom services provider would only need to pay ₹0.35-0.65 per minute to an Indian firm, the charge becomes ₹3-3.5 per minute if calls from Indian telcos terminate on foreign telcos’ networks.

 

The disparity, industry executives said, was stark since the volume of incoming calls was far higher than outgoing. Therefore, it required intervention from the sector’s regulator. According to data from GSMA India Consumer Scam Report of 2025, the country has high exposure to scams with 53 per cent of adults reporting lifetime exposure, and 42 per cent say the risk is increasing rapidly.

 

The report, reviewed by Business Standard, shows that victims most often cite messaging apps (46 per cent), SMS (37 per cent), email (33 per cent), social platforms (33 per cent) and voice (32 per cent), with search ads (19 per cent), QR/payment links (18 per cent) and even dating apps (14 per cent) being a part of the mix. 

 

The report adds that 10 per cent believe they were personally targeted by AI-enabled scams, showing a strong signal that real-time OTP relays and convincing impersonation were already in play. 

 

The report further notes that 65 per cent of victims lost money (14 per cent large losses), and many describe emotional distress (50 per cent), ongoing anxiety (43 per cent), and the time and effort (40 per cent) it took to put things right.

 

In the context of AI spam and scams rising, the call for raising international terminal charge levels has become stronger.  The Telecom Regulatory Authority of India (Trai) is looking to review the entire interconnection regulation that governs the sector, including international terminal charges, in a consultation paper issued in November last year.

 

 The last time it reviewed the charges was in 2020, raising it from a fixed rate of ₹0.3, to the current range. 

 

“Aligning India’s international terminal charge framework with global rates will ensure a secure ecosystem that prioritises consumer protection. Higher charge will directly benefit the consumers leading to reduced exposure to financial fraud,” the Cellular Operators Association of India (COAI), which represents top Indian telcos, said in its representation to Trai. Another executive said that a higher rate, at par with other global markets, would also bring down the chances of financial scams, impersonation fraud, data harvesting and even loss of personal data. 

 

“Telecom operators have invested heavily in infrastructure to curb spam, including using blockchain-based digital ledger technology, which has lowered spam within the country. But low termination rates incentivise foreign spammers to route large volumes of scam, phishing, and robo-calls that threaten customer safety and national security,” the person said. 

 

“Countries like China, the UK, South Korea and even Vietnam have raised international terminal charges (in US dollars) at least two to three times in the last five years but ours has remained consistent. This means they get far higher margins than us and more negotiating room. Since we don’t gain, we cannot pass on any benefit to our customers,” said a senior company executive.   

 

Indian private telcos along with public carrier BSNL, are aligned on the issue, with all seeking an upward revision of the ceiling to at least ₹4 per minute, going up to ₹5 a minute, and or aligning with global levels. As of FY25, ITC for China, the UK, South Korea, Vietnam, Turkey and Sudan, stood at $0.06, $0.03, $0.02, $0.06, $0.2 and $0.25, respectively. 

 

COAI added that since international terminal charges are settled in US dollars with global operators, the depreciation of the Indian Rupee against the US dollar has substantially increased the effective cost of India’s outgoing international termination, thereby exacerbating the financial burden on Indian operators.