Net Neutrality Will Provide No Major Relief To Telecom Industry

Acceptance of net neutrality will provide no major relief to the regulated telecom industry and will also provide minimal scope to telcos facing stiff competition to offer differentiated access options, CARE Ratings. According to CARE ratings, TRAI kept the OTT players outside the scope of net neutrality recommendations while telcos wanted them to be brought under the regulatory framework. It is because of this that the OTT players will continue to have an impact on the telcos’ revenues. As part of the recommendations, the regulator has exempted Content Delivery Networks (CDNs) from the scope of any restrictions on non-discriminatory treatment. This recommendation on CDNs will provide relief to large integrated telcos, CARE Ratings said.

TRAI had also proposed that the telcos would be required to declare their Traffic Management Practices (TMPs) as and when deployed and the impact it may have had on the users. CARE Ratings said that if this recommendation on TMPs is accepted, it will ensure transparency in the system.

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