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Draft Telecom Bill: A move that turns the clock back

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Draft Telecom Bill: A move that turns the clock back

  • Govt. recently introduced the draft Indian Telecommunication Bill, which reshapes the digital architecture while creating possibilities for the start-up ecosystem.
  • Brings together telecom operators (providers of physical infrastructure), OTT service providers and internet-based communication systems.

Need of the new law

  • Archaic and outdated laws
  • A trust-based system required having clearly defined and demarcated areas.
  • Would help in improving the ease of doing business in the digital ecosystem, promoting innovation, and incentivising investments
Progressive Shifts in the new lawRegressive shifts
* Only regulates the hard infrastructure/network layer, the essence of telecommunications, and not the software layer.* “License-centric” regime will be setting the clock back to ‘License-Raj' era.
* Only seeks to consolidate and amend the laws governing TSPs.* Could also trigger turf wars between the DoT and MeitY and the DoT and TRAI as the lines of jurisdiction have been blurred.
* Extends the boundaries with an all-encompassing definition of telecommunications services to include OTTs.* Merger of OTT and TSP service providers under one regulatory regime could offend the doctrine of equality (Art. 14).

What should the Govt do

  • Considering the implications of this framework, the government should reexamine these contentious issues and correct them.
  • A legal architecture based on the concept of “one sector one regulator” can help provide clarity to stakeholders and facilitate the growth of the digital economy.

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