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TRAI Imposes Additional Charge Of 5 Paise On Promotional SMS

The Indian telecom regulator TRAI has imposed an additional charge of Rs 0.05, known as an interconnect charge, which an 'originating access provider' access provider may collect from the registered telemarketer, and give to a terminating access provider. (Hat tip: Naresh M Ganwani) What this means is that if you are a telemarketer, you need to pay Rs 0.05 extra per SMS to the telecom operator using whose network you are sending SMS' to the customer. That telecom operator will have to make a payment to the telecom operator whose customer the recipient is. This is reminiscent of an 'interconnect charge/ which was proposed/set up in early 2010 between Tata Teleservices and Bharti Airtel, wherein Airtel was believed to have imposed a 0.15 interconnect fee to deliver messages originating from Tata Teleservices' network to Airtel customers. Some thoughts on the interconnect fee: 1. Airtel stands to benefit the most: it has the largest number of customers (as well as active customers), and more marketing and promotional messages - it is likely- will be directed at its base. We've heard that Airtel's pipe isn't as open to sending promotional messages as that of other operators is - Airtel has spoken out against SMS Spam in the past - so it's likely that the company will make more money from this policy than it will have to spend. In comparison, Tata Teleservices, Loop Mobile and Aircel (where most of the messages I received were coming from), will have to make payouts. 2.…

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Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

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