Part I: In this three part series (Parts II & III here), we take a look at the TRAI's ruling on differential pricing in India. Yesterday, TRAI, India’s telecom and internet regulator, prohibited discriminatory tariffs for data services under the Telecom Regulatory Authority of India Act, 1997 (24 of 1997). Here are the key takeaways of the paper (pdf): The main rulings against price discrimination: - No service provider can offer discriminatory tariffs for data services (charged to the consumer) or content or get into any arrangement, agreement or contract with a person which has effects of discriminatory tariffs for data services on the basis of content. What cannot be done directly, also cannot be done indirectly. - The service provider can reduce the tariff (or offer nil tariff) for accessing or providing emergency services or grave public emergencies, only if such tariff is reported to the TRAI within 7 working days from the date of implementation of reduced tariff. The TRAI’s decision on whether this classifies as reduced tariff will be final and binding. No new prohibited packs, plans or vouchers can be launched after today. For those already subscribed to such plans, the plans need to expire within 6 months from today. - Differential tariffs are not prohibited on intranets, networks which are not accessing the internet. If a closed network is used to evade regulation, it will be prohibited. - Prohibition will not apply to other forms of tariff differentiation entirely independent of content. Providing limited free data which gives the…
