Telecom companies descend into chaos over Trai order

NEW DELHI: Telecom companies have gone into a nearchaos after Trai’s regulation ordering equality on data prices. They will need to eliminate nearly hundreds of tariff plans that offer free or subsidised access to numerous popular websites and applications such as Facebook, WhatsApp and Twitter as these fall against Trai’s new order.
“There is a state of chaos within our teams as tariff plans that bundle in data deals for particular websites and applications will now need to be disbanded,” an official with aleading telecom operator told TOI, requesting anonymity.
Almost all the telecom service providers, including Airtel, Vodafone, Idea Cellular, Reliance Communications and Telenor, offer internet pack options with subsidised or free plans for certain popular apps.
With Trai’s order coming into immediate effect, these will need to be disbanded. Also, some of the operators such as Airtel offer their in-house applications such as music service Wynk at subsidised rates for certain data plans. These will need to be discontinued or offered for customers of all telecom service providers, an industry official said.
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“From the date these regulations come into effect, no new launches of prohibited packs, plans or vouchers shall be permitted. Presently, different types of vouchers… are offered to pre-paid customers. In addition, data tariffs are offered to post-paid consumers either as part of a plan or by way of add-on packs,” it said while giving details of the various plans.
But while striking down the schemes, Trai has offered respite to consumers who may have purchased the plans and would be in the process of using them. It gave them a six-month window.
“The authority is aware there would be some such packs, plans and vouchers already subscribed and paid for by the consumer, the validity of which is specified and at present unexpired. The rationale for the savings provided in the regulations is to protect consumers who have spent money and bought these offerings.”
Telecom firms have been spending huge amounts of money to advertise and publicise the schemes as these push popular apps such as Facebook and WhatsApp to consumers, giving a leg-up to their service. Many of these applications are pushed aggressively in smaller towns and cities and are also popular with a majority of pre-paid customers.