TRAI backs net neutrality; bans different data prices for content

New Delhi, Feb 8 (KNN) In a setback for Facebook’s free internet scheme, Telecom Regulatory Authority of India (TRAI) has barred differential pricing of data products which means that all content on the internet needs to be available at the same data price.

"No service provider shall offer or charge discriminatory tariffs for data services on basis of content," the Telecom Regulatory Authority of India (Trai) said in a statement.

TRAI will also levy Rs 50,000 a day penalty for discriminatory tariffs charged by service providers. The authority also prevents service providers from entering into any arrangement or contract that has the effect of discriminatory tariffs for data services. The regulations come into effect immediately.

Addressing the media, TRAI Chairman Ram Sewak Sharma said that any such plans that are there already in effect will be allowed to expire. He, however, said that differential prices could be offered "in case of emergency." But service providers will need to inform TRAI of any such emergency free data services within seven days.

On January 21, TRAI had organised an open house discussion on differential pricing for data services in which it heard opinions and arguments from different sides of the debate.

Recently, some of the largest new-age technology based companies filed a petition to PM Narendra Modi pleading him to ensure net neutrality. The start-ups defined it as access to content on internet without any discrimination.

The petition was signed by about 700 entrepreneurs and addressed to Modi. It offered extensive reasoning on why discriminatory treatment of content on the Internet would be a restriction to the growth of India's startup ecosystem. Signatories involve some big players like Zomato, Cleartrip, Paytm etc.

KNN was in conversation with some of the internet based start-up ventures to seek their views on net-neutrality.

Sneha Priya, founder of S P Robotics Works said, “Start-ups already have huge problems of visibility and reaching to the right people at the right time. Without net neutrality, all this is going to become an impossible task and all the steps taken for Start-up India would be in vain.” 

Amitesh Tiwari, Founder , Trident Analytical Solutions said, “It’s rather about seeing advantages in a structured pricing system for bandwidth” Tiwari further elaborated revealing his views about the proposition.

Shyam Mohan, Founder of Codecrux, said,  “The big companies want to attain some band width and want to make them paid ones. As a user, one should have the choice to decide what he wants to watch and what he doesn’t want to watch.” (KNN Bureau)