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miteshashar | 11 years ago

Imagine what number would that $1.2 trillion blow up to, if they have it their way of zero-rated apps and differential rating. The TRAI has been clearly unabashedly lobbying on television media for telcos. Isn't the "Telecom Regulatory Authority of India" supposed to act in the benefits of consumer!?

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kamaal|11 years ago

>>Isn't the "Telecom Regulatory Authority of India" supposed to act in the benefits of consumer!?

Ideally yes, but like every other Government institution in India these people are neck deep in corruption[New term: Lobbying].

The key issue is, telcos realize they are being reduced to mere data pipe suppliers and on the long term[May be a few years] their margins will drop like stone falling in a pit. They are being disrupted through software apps[Calls and SMS going through apps like Viber/Skype/Whatsapp]. So while data growth will happen for a while, post that they will be nothing more than data pipe suppliers.

This will just ensure massive flattening of positions in the market. Don't be surprised if BSNL does better than these people in that kind of a world. Because it will be all about infrastructure, and with a unlimited government funding, these people lose out against BSNL if all they will remain is data pipe suppliers.

These people once heralded as champions of free market economy and capitalism now want the government to bail them out with regulations in their favor. This was exactly the cry of all PSU's in the 90's when the government wanted to bring in privatization big time.

This is all about software disruption. These people disrupted BSNL's business, Now there business is being disrupted.

Funny how capitalism works when you are at the receiving end.