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Updated: ISPAI Contests 8% License Fee On ISPs At TDSAT

Update: Download a copy of the notification here. July 9th 2012: The Internet Service Providers Association of India (ISPAI) has approached the Telecom Disputes Settlement and Appellate Tribunal (TDSAT), challenging the Indian Government's decision to levy a 4% license fee on ISPs' gross annual revenues, starting 1st July 2012.  The government had earlier announced that it plans to increase the fee to 8% by April 2013, in two yearly steps. At present, no license fee is charged from ISPs. In a media statement, the ISPAI has pointed out the following issues: - Cascading Effect: The fee will have a cascading impact and will lead to a 25% to 60% increase in cost, depending on the ISP. - Telco Revenue Share Issues: The government was penalizing the ISPs due to its own failure to audit telecom operators' differential revenue share payable by them…

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