The BGA India Team led by Managing Director Ratan Shrivastava, wrote an update to clients on the newly drafted telecommunications bill to regulate new-age communication services.

Context

  •  The proposed legislation follows DoT’s July 2022 consultation paper which flagged the need to revamp India’s telecom sector regulations to better account for technological developments, such as 5G and the Internet of Things, and make governance more streamlined.
  • It is the first of several pieces of legislation that will be released this year with the aim of streamlining technology regulations in India.

Significance

  • The bill impacts a range of communication service activities including over-the-top (OTT) platforms, satellite-based and internet communication services in addition to traditional telecommunication services. Proposed amendments in the draft bill include expanding the definition of telecommunication services to cover OTT and internet-based communication services, simplifying provisions for mergers and acquisitions, and expanding government control in situations of public emergency, public safety or national security.
  • Some provisions of the bill will give the government more powers and have raised concerns from industry stakeholders who have cited lack of accountability. The government will be able to suspend the internet in cases of public emergency or public interest and intercept and disclose messages in the interest of safeguarding India’s sovereignty and security.

Implications

  • Companies can expect the bill to be a blend of reformative and futuristic steps that will also include increased obligations and overregulation measures.
  • Companies should closely monitor developments and participate in stakeholder consultation to submit their specific concerns. Stakeholder submissions in the public consultation for the bill can be made until October 20, 2022.

BGA will continue to keep you updated on developments in India as they occur. If you have any comments or questions, please contact BGA India Managing Director Ratan Shrivastava at ratan@bowergroup.com.