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Data Tariff Cuts Will Not Impact Telcos’ Revenue

The recent tariff cuts announced by telecom operators will not impact revenues as volume growth in data usage will compensate for it, according to analysts as reported by BusinessLine. “We expect mobile revenues to grow by over 8 per cent for Airtel and 13 per cent for Idea in 2016-17 driven by strong growth in data traffic despite falling yields,” said analysts at UBS. The data realization in terms of rupees per MB will reduce by 13-15 per cent over the next 2-3 years, strong data traffic growth of over 60...
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Telcos Demand Review Of TRAI’s Order On Data Pricing

Citing the violation of licence conditions, telecom companies have demanded an urgent review of Telecom Regulatory Authority of India’s (TRAI) order barring discriminatory pricing of data services. Telcos have maintained that a clause that exempts products offered over closed electronic communication networks (CECNs), or intranet, violates licence conditions. In a letter to TRAI dated June 15, Cellular Operators Association of India (COAI), the GSM industry body, said Unified Licence (UL), under Chapter IX Clause 2.1(i), stipulates that, “The licensee shall not offer VPN/closed user group services to its subscribers. The...
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