‘Differential licensing for network layers to cut cost’

CHENNAI:  The Telecom Regulatory Authority of India (TRAI) has made several recommendations on  reworking India’s telecom network ecosystem, including creating a new category of entities called Access Network Providers that will offer wholesale network services but will not be allowed to offer services to end-customers. Other recommendations include unbundling layers through differential licensing and laying down a broad framework for virtual network operators. 

According to internet sector association Broadband India Forum (BIF), implementing these recommendations is expected to facilitate increased sharing of network resources, spur entry of new players while reducing costs and encouraging investments.

The industry body said that reforming the licensing and regulatory regime via differential licensing would help facilitate the entry of new players into the market, and promote ease of doing business. “They would also act as a catalyst for bringing in new technologies into the industry, which would promote innovation,” it said.