Thursday, 12 March 2009

DoT and TRAI disagree over multiple network MVNOs - India

The Indian telecommunications regulator (TRAI) has declined to endorse the decision of India’s Department of Telecommunications (DoT) to allow MVNOs to use more than one network operator to increase coverage. Instead TRAI wishes to force MVNOs to partner with only one network.

A spokesperson from TRAI said: “The mobile number portability scenario in India is already complex due to [the] large number of existing players, and the situation would become further complex if multiple parenting is allowed. Calculation of spectrum charges also becomes difficult if virtual operators tie up with multiple existing telcos as each service provider has a different slab for calculating these levies (based on the number of customers they have).”

TRAI has also rejected DoT’s proposal that existing operators, such as Bharti Airtel, Reliance Communications and others, should not be allowed to share their network with more than two MVNOs. The regulator feels that such a move will act as a hindrance towards the growth of MVNOs in the country.