In a recent announcement, Telecom Minister Ashwini Vaishnaw has provided clarification regarding the scope of the new telecom bill, affirming that over-the-top (OTT) players or applications will not be covered by the legislation. Instead, these entities will continue to be regulated by the Information Technology Act of 2000, addressing concerns raised by certain app makers and activists, as reported by the Economic Times.
Clarification Amidst Concerns:
The statement from Minister Vaishnaw comes in response to concerns raised by internet activists who expressed worries about the broad definition of ‘telecommunications’ in the Telecom Bill. Some argued that the expansive definition could be interpreted to cover any internet-based communication service.
Global Companies Express Concerns:
A coalition of 61 global digital companies and organizations, including Mozilla, Proton, and Signal, recently labeled the new Telecom Bill as a significant threat to democracy and the internet. In a letter to Minister Vaishnaw, the group urged the Centre to promptly revoke the Telecom Bill.
Industry Reaction:
The clarification by the government has been welcomed by industry players, including Meta (formerly Facebook). A spokesperson from Meta stated that the clarification on the exclusion of OTTs from the telecom bill would boost the country’s digital ecosystem and the internet economy.
Impact on Digital Economy:
The Broadband India Forum (BIF), representing major players like Amazon, Google, Meta, Netflix, and OneWeb, emphasized that clear definitions of telecommunication services and the exclusion of OTTs from telecom regulations would accelerate internet/broadband penetration and significantly boost the growth of the digital economy.
Background and Legislative Context:
The Department of Telecommunications (DoT) had earlier decided not to classify OTT platforms as telecommunications services in the Telecom Bill in September. This decision exempted them from specific telecom regulations, following TRAI’s recommendation to regulate OTT communication apps.
The new Telecom Bill aims to replace three existing laws, bringing regulations in line with technological advancements. The 2023 Telecommunication Bill is noteworthy for allocating satellite communication licenses administratively, benefiting foreign players like Elon Musk’s Starlink and Amazon’s Kuiper.
The clarification provided by Minister Vaishnaw is expected to bring clarity and resolve the confusion surrounding the coverage of OTT players under the new telecom legislation.
