Telecom operators fail to reach consensus

By Our Special Correspondent

NEW DELHI, APRIL 23. With the cellular and basic phone service providers unable to find a solution on the question of allowing wireless in the local loop (WLL) technology for fixed phone service providers, the whole issue was tossed back to the Group on Telecom-Information Technology (GOT-IT) which debated the matter at a marathon meeting late this evening. The group has to make appropriate recommendations to the Union Cabinet on this issue.

The GOT-IT had heard separate presentation from the two sides - the cellular operators and the fixed service providers - on Saturday and since some of the operators are in both the services, they were asked to meet and consider a common solution to the problem. The meeting took place today, but no agreement could be reached.

Cellular operators stuck to their stand that permission to provide limited mobility to the fixed phones through WLL would create unfair competition to the mobile phone operators because, according to them, the WLL-limited mobility is a full cellular service and, therefore, the current proposal of the Government to allow WLL would discriminate between two types of cellular operators. The cellular operators have also pointed out that the WLL tariff of Rs. 1.20 for a three minute call, much lower that the cost of a mobile call which goes up to over Rs. 8 for three minutes, was possible because of cross-subsidisation from long distance revenues and also on account of free entry into the mobile business.

The cellular operators have, instead, proposed that the Telecom Regulatory Authority of India (TRAI) could be requested to advice the required terms and conditions for mobile services and to arrive at a cost and revenue structure that would facilitate mobile services at appropriate tariff.

The cellular operators have also suggested that fixed service providers could be given all possible benefits to make them viable, but no permission for any type of mobile services.

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Section  : National
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