Friday, 17 April 2015

NET NEUTRALITY.

Net neutrality is the concept of not discriminating against the various bits of data that flows through the net. If the net is not neutral, then the telecom companies can comfortably charge higher rates on browsing some sights or applications. Through this the telecom companies can charge you more on sights than others and also use discriminate pricing between different sites. They have brought this to the fore now because they feel they are losing revenues on account of cheap SMS and telephony through the net. Their contention is not true and I give below the incomes and net profit of Airtel as an example.

Figures are in Rs crores.

                                     2012-13------2013-14------ 2014-15(9 months)
                                                                          
Income                           77808-------- 8715----------  69095                

Profit After Tax              2267-------- 3019-------------3511

Airtel’s revenues have risen steadily and its net profit has risen much faster. How can such companies claim to have lost profits on account of the neutral internet?  The fact is they want to make more money at peoples expense and TRAI is not doing much either. Even if they do lose revenues it means they have not modified themselves as per the new requirements          of the people and have therefore failed. To offset their weakness they should not be allowed to fleece people.

TRAI has put out a questionnaire to the people asking them to say as to how the internet should be regulated and also net neutrality. One gets the uneasy feeling that the Government wants to regulate the net through TRAI and I trying to get regulation through the backdoor. TRAI says it is open to taking comments from the public on the issue up till 24th April. I think we have to protest against the regulation and for continuance of the neutrality of the net.

Till now, it is Government that has the power to regulate the net but has wisely chosen not do so. But now these telecom companies can regulate the net (at least in the mobile phones). If they want to restrict a sight all they have to do is raise the cost of browsing that site on the mobile abnormally. Such power in the hands of private individuals can be used easily for wrong purposes.


Such a move by TRAI and the Government should be condemned by all.        

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