Subject: Answers for preserving net neutrality
From: Divyam Rastogi
Date: 07-Apr-15 8:07 PM
To: advqos@trai.gov.in

Dear TRAI,
I am writing to express my concern against the actions that telecom carriers are taking to restrict fair access to the internet (net neutrality). I believe the internet is a vital resource—it helps me communicate, work, and thrive as a citizen. If telecom operators can discriminate internet traffic on the basis of which services pay the most, we are allowing telcos control over a vital and necessary technological resource. By doing so we allow them to define what information we can view; what entertainment we can access; and how companies can innovate.
This is completely unfair and harms India’s long term role in the global market. I strongly believe the growth of telecoms and the well-being of the internet can go hand-in-hand. I’m asking for a framework to ensure long term and fair access for all services regardless of size. I want my generation and those that come after me to have unfettered access to the Internet, with no telcos or ISPs having the ability to charge for specific services I use on top of it. Please understand that the internet is an important resource and vital to me and to every other Indian citizen. I would like to see it kept free and protected under Net Neutrality to ensure fair and equal access for all and forever.
I signed up a petition on change.org to preserve Net-Neutrality in India. As a Software Engineer, I am someone who is intricately and perennially connected to the Internet. I depend upon the Internet for sustenance of myself and my family. Therefore this is something that is important to me.
Here are the answers to the 20 questions:
Question 1: Is it too early to establish a regulatory framework for Internet/OTT services, since internet penetration is still evolving, access speeds are generally low and there is limited coverage of high-speed broadband in the country? Or, should some beginning be made now with a regulatory framework that could be adapted to changes in the future? Please comment with justifications.
It's not only early, it's also uncalled for. India is still in it's initial phase of the Internet revolution. Content consumption is increasing but it's still not enough in rural areas. There is room for growth. By charging OTT services differently, we will negate the good the Internet has on the India - optimum pricing. The Telecom players will have a monopoly over the call charges and they will increase the same. OTT services put a check on this and charging these services will stop technology from evolving.
Question 2: Should the Internet/OTT players offering communication services (voice, messaging and video call services through applications (resident either in the country or outside) be brought under the licensing regime? Please comment with justifications.
Definitely not. OTT players have proved competitors to the big Telecom of India. A consumer has the right to choose the cheapest available solution and OTT service providers facilitate that. Besides, we are already paying for the hiked up data charges for the Internet as a whole. What I mean to say is that OTT players have made a healthy competition. Not many people use OTT services since they haven't properly evolved. Putting a cap on them by charging that data differently will lead to an end of an evolving part of the Internet.
Question 3: Is the growth of Internet/OTT impacting the traditional revenue stream of Telecom operators/Telecom operators? If so, is the increase in data revenues of the Telecom Operators sufficient to compensate for this impact? Please comment with reasons.
I can definitely say that revenue stream of telecom operators is unaffected. The system in place does not incur a different cost to OTT services. Besides that, they have increased the cost of the Internet as a whole, which should be more than enough to compensate for any minor loss that OTT players may have caused. I myself have used OTT a handful of times. At the same time, I fear that treating OTT differently will put an end to the Internet as we see it. It will just be the beginning. From then on, all kinds of data will be charged differently.
Question 4: Should the Internet/OTT players pay for use of the Telecom Operators network over and above data charges paid by consumers? If yes, what pricing options can be adopted? Could such options include prices based on bandwidth consumption? Can prices be used as a means of product/service differentiation? Please comment with justifications.
OTT evolved due to the high pricing of the Telecom operators. Can they justify the high cost of postpaid services or the increased cost of internet over mobile phones? Inflation was less than 10% but the increase in cost of data has been more than 100%. If Telecom players hadn't increased their costs, OTT would never have evolved.
Question 5: Do you agree that imbalances exist in the regulatory environment in the operation of Internet/OTT players? If so, what should be the framework to address these issues? How can the prevailing laws and regulations be applied to Internet/OTT players (who operate in the virtual world) and compliance enforced? What could be the impact on the economy? Please comment with justifications.
Why is there a need of a regulatory framework for OTT players? It is after all just data. Is there a need to analyse every data packet that comes through a router in our country? I disagree that there is an imbalance or that there is a need for any regulatory framework. It is just overhead cost. What will the government do by regulating OTT players? It leads to no end.
As for the impact on economy, some competition will not hurt. If OTT players charge users, only then should they be charged by a regulatory body.
Question 6: How should the security concerns be addressed with regard to Internet/OTT players providing communication services? What security conditions such as maintaining data records, logs etc. need to be mandated for such Internet/OTT players? And, how can compliance with these conditions be ensured if the applications of such Internet/OTT players reside outside the country? Please comment with justifications.
I do understand that this technology can be misused but isn't having an account and a call log enough for security purposes? No user can use this service without verification(over email and so on). These services could be asked to cooperate in case data is needed.
Question 7: How should the Internet/OTT players offering app services ensure security, safety and privacy of the consumer? How should they ensure protection of consumer interest? Please comment with justifications
They already ensure basic levels of privacy. Not anyone can log into one's account and use the service. Encryption of passwords is a norm and should be a norm with all OTT players. In case they operate outside the country, their services should be allowed only if they agree to the conditions that in case of security concerns, we could access their logs so as to find the mischief maker.
Question 8: In what manner can the proposals for a regulatory framework for OTTs in India draw from those of ETNO, referred to in para or the best practices? And, what practices should be proscribed by regulatory fiat? Please comment with justifications.
The ETNO is the European Telecommunications Network Operators group, so it is obvious that their recommendations would be biased and heavily in favour of network operators.
Network operators and “OTT” players provide different services and are not competitors. The same way power distribution companies and air conditioner manufacturers are not competitors. Profits or Network Operators and “OTT” players are not mutually exclusive. There is no need to “level the playing field” here, instead we should look at how to make sure both industries grow and continue succeeding.
If TSPs think that OTTs are encroaching into areas traditionally handled by TSPs, then TSPs can do the same by building and investing in promising OTT services themselves. Norway’s telecommunication giant Telenor for example, has recognised the potential of WebRTC technology and has invested heavily in an OTT of their own called appear.in. If the future of communication goes towards the OTT way, then they have ensured they are well-poised to take advantage of it with their investment.
It is highly debatable whether it is “required” to charge from both end-users and OTT players. There is no explanation given why it has to be absolutely required. This claim of theirs of it being “required” is just an opinion, and should be treated as such, not as fact.None of this is new, and work is constantly being done to improve those areas even without differential pricing. All that is mentioned here is offering a faster service to a few by intentionally prioritising some sites over others. This is in no way doing anything technically innovative.
In fact, with net neutrality, there is more innovation. This is because since no site is given priority over others, sites try to innovate in areas like caching, compression, download sizes of their pages, CDNs, offline-use of web pages, and many many more areas. If all it takes to make your site faster is to pay a TSP more money, then work on all these things will take a backseat in favour of the easier approach of paying TSPs money - thereby actually slowing down innovation.
So in conclusion, because of the above reasons, I see no substantial reason why there is a need to draw anything related to the question of “OTT players” and net neutrality from the ETNO based on that paper. They have not managed to demonstrate why the so called “levelling the playing field” between TSPs and OTT players is absolutely required, and neither have given any convincing arguments on the benefits it would provide regarding “innovative network management services”.
Question 9: What are your views on net-neutrality in the Indian context? How should the various principles be dealt with? Please comment with justifications.
Why should there be an Indian context? I don't think anyone would say that the Internet is making our culture go extinct, so ban the Internet. We are moving towards becoming a super power in the next decade or so. Why do we need to be bigots when we are moving towards a better future using Technology and Internet? The Internet has become a provider for many families. Net neutrality will ensure freedom of data of any kind. Why should an individual be charged differently for entertaining himself over the Internet? It is illogical. With the current context, technology keeps on evolving. OTT is a good technology solution. It hurts no one and has room for infinite improvement. There could be many ideas that can incorporate OTT and reduce running costs for individuals who have no funding.
Question 10: What forms of discrimination or traffic management practices are reasonable and consistent with a pragmatic approach? What should or can be permitted? Please comment with justifications.
Why is there a need for discrimination? Every individual has a capped bandwidth. If the internet service provider is unable to handle the scenario when a lot of users are using their service, then they are not good enough to keep their services running in the near future. Internet is the future, not just the present. An upgrade will ensure that there are no traffic issues relating to bandwidth or traffic management.
Question 11: Should the Telecom Operators be mandated to publish various traffic management techniques used for different OTT applications? Is this a sufficient condition to ensure transparency and a fair regulatory regime?
Doing that would not make it fair, and its not a sufficient condition to ensure a transparent and fair regulatory regime.
This goes back to the answer to the first question, that a framework for OTTs, no matter how fair and transparent, is simply not required. Fairness and transparency in the regulation will still not stop significant friction in the market.
Fairness and transparency cannot compensate for a set of regulations which are simply not needed, and which are hurtful to consumers in the long-term.
Question 12: How should the conducive and balanced environment be created such that Telecom Operators are able to invest in network infrastructure and CAPs are able to innovate and grow? Who should bear the network upgradation costs? Please comment with justifications.

The TSPs (or third party companies involved in infrastructure creation and maintenance) would need to bear the network upgradation costs, as they are the ones who are upgrading their network.
If the network is run by a third party, like Bharti Infratel, Reliance Infratel, etc, then it might be up to those parties to do it as well. Companies like Indus Towers are involved in putting up and maintaining infrastructure, in particular, telecom towers. Increased demand would mean increased business for those players too.
To give an analogy, if the electric grid system needs an upgrade, the entity in charge of the grid is responsible for it and bears the charge for the upgrade. They do not ask for TV companies, Fan companies, AC companies and others which run on top of this electric grid network, to bear that cost. They can increase the charge to the end-user if they see fit, and the end-user is free to pay the increased cost and continue to get electricity, or to disconnect the connection.
Even in the toll-tax analogy - If the road needs upgrades, you ask the people riding on the roads (the end-users) for increased toll-tax, rather than ask Tata, or Maruti and any of the others for extra charges (even in the case of most of the vehicles passing through the road being of one brand, say Tata Trucks, the toll-tax won’t be demanded of Tata, but of the truck driver driving the Tata truck).
So if WhatsApp, Facebook, Youtube etc are resulting in increased data usage, then increase data charges as you see fit so that the end user pays for it, rather than ask the companies themselves for increased data charges. The user will have a choice, depending on how happy he is with the TSP, to either pay the increased cost, or to start looking for alternatives.
In the very ETNO report mentioned by the consultation paper, there was a special mention of the example of Bharti Airtel (on Page 24, “The impact of scale and standardised IT networks”), and how they built a network in Rwanda from scratch in just 83 days - which is described as “the fastest ever greenfield approach in the region”. This proves that TSPs are capable and forthcoming to rapidly scale up infrastructure whenever required.
Question 13: Should Telecom Operators be allowed to implement non-price based discrimination of services? If so, under what circumstances are such practices acceptable? What restrictions, if any, need to be placed so that such measures are not abused? What measures should be adopted to ensure transparency to consumers? Please comment with justifications.

No. The biggest problem is discrimination itself. Whether it is a price based or a non-price based discrimination does not change that it is still discrimination. This pitfalls of discrimination has been communicated in answers above.
Question 14: Is there a justification for allowing differential pricing for data access and OTT communication services? If so, what changes need to be brought about in the present tariff and regulatory framework for telecommunication services in the country? Please comment with justifications.
There is simply no reasonable justification for allowing differential pricing.
Harvard Law Professor Lawrence Lessig had this to say about differential pricing in the net neutrality context

I do have a problem if the carrier is saying, “Okay, YouTube or Blip.tv, you’re going to have to pay a certain amount to have access to [the customers on] our network.” We’ve seen this again and again in history. A new technology shakes up a marketplace. Then there’s a period of amazing, generative competition. And then it gets consolidated and taken over, often through a conspiracy with the government that produces concentrated monopoly industries. Radio is the best analogy.

We should try our best to avoid this type of situation, so that the Internet remains a place of tremendous innovation. In order to do so, we need it to continue to have a low barrier to entry for services to emerge. Differential pricing will run counter to this, and thus, must not be adopted.
Question 15: Should OTT communication service players be treated as Bulk User of Telecom Services (BuTS)? How should the framework be structured to prevent any discrimination and protect stakeholder interest? Please comment with justification.
Firstly, the definition is OTT ‘Communication’ services is very vague. Services which don’t even use SMS can be grouped as OTT Communication services here. Most OTT services which need to use services like SMS, can and do tie up with services like RedFox, IndiaSMS and others, who actually provide services like bulk SMS etc. The services who tie up with OTT players to provide services like bulk SMS etc should be treated as Bulk Users of Telecom Services, not the OTT players themselves.
Question 16: What framework should be adopted to encourage India specific OTT apps? Please comment with justifications.

The definition is “india-specific” is vague, and not, well, specific. India-specific could mean a service made by a company in India. It could also mean a service made in some other country, but with most of it’s users in India.
India is a big market, especially for communication services, and most big OTT Players can assure you that they are paying attention to India as a market even without any proposed regulation. As far as indian companies doing OTT communication apps, they should compete with everyone else without any hand-holding or help from regulation, in order to innovate and make the best possible service.
The best thing to encourage indian companies who make these apps, would be to provide a conducive environment in terms of training and funding, but these are outside the scope of this discussion.
Question 17: If the App based/OTT communication service players are to be licensed, should they be categorised as ASP or CSP? If so, what should be the framework? Please comment with justifications.

Due to the multiple problems associated this approach, which has been discussed at length in this document, I do not think OTT communication services should be licensed.
Question 18: Is there a need to regulate subscription charges for App based/OTT communication services? Please comment with justifications.
Question 19: What steps should be taken by the Government for regulation of non-communication App based/OTT players? Please comment with justifications.

If by “subscription charges for OTT Communication services”, it meant the charges an OTT service can charge the end-user (for example, Rs 50 per year etc) then I believe it should be up to the OTT service to determine that. The end-user will have a choice whether to pay that money or to discontinue usage of the OTT service.
If “subscription charges” here means the charges the OTT player needs to pay a TSP, then I believe there is no need for such regulation since I do not believe differential pricing (or any other discrimination) should be done on OTTs by TSPs in the first place.
Question 19: What steps should be taken by the Government for regulation of non-communication OTT players? Please comment with justifications.

No regulation is necessary of such OTT Players. The internet, and the OTTs running on it, are already innovating, competing, and succeeding well.
The definition of “communication” and “non-communication” OTT players is not clear. It can be argued that almost every even remotely popular online service might be a “communication” service (judging by the inclusion of services like Ola Cabs, GMail etc as “messaging” apps in the TRAI paper, this seems likely the case).
Question 20: Are there any other issues that have a bearing on the subject discussed?
Yes. There is international precedent in allowing net neutrality.
Brazil, Chile, Mexico, Netherlands, Slovenia, Peru and Japan have adopted rules in favour net neutrality. Norway’s regulator NPT also favours net neutrality.
Perhaps the most note-worthy would be the United States, where The President of the United States of America, Barack Obama, has constantly expressed his commitment to net neutrality and the Chairman of the United States FCC (Federal Communications Commission) Tom Wheeler has recently spoken out strongly in favour of net neutrality.
Just reading Tom Wheeler’s full text on the question of net neutrality and the future of internet regulation will answer many of the questions asked in the TRAI consultation paper. I would recommened everyone to read it. As mentioned in my response to question 8, the fact that the FCC created this draft in the first place, and the US Obama administration backing it, is a clear sign in favour of net neutrality there, despite it being in draft stage (as it is a recent development).
United Nations Special Rapportuer on freedom of expression lauded United States FCC move in favour of net neutrality, mentioning the following:

It is especially important that the new rules prevent ISPs [internet service providers] from discriminating against some types of content in favour of others, either by slowing down delivery speeds or by creating a fast lane to ensure quicker delivery for only some content providers that have paid extra fees. 

- David Kaye, The United Nations Special Rapporteur on freedom of opinion and expression.

Foregoing network neutrality will lead to a “balkanization” of the internet, where one TSP provides users access to fast access only to a very limited set of online services. Network operators in the past have created such walled gardens where only a certain set of services work in their network and not much else. With the internet we were finally free from such a walled garden approach, but if net neutrality is not respected, then once again we might face a similar situation where only a few services work effectively, and others become unusably slow. Today a lot of government services are also online, and differential pricing might effect it too. It will hurt funding for startups, and harm the promising but sensitive startup ecosystem in India. Businesses outside India might think twice before offering their services in India owing to additional costs and effort. None of this will benefit anyone apart from TSPs in the long term, and will lead to long term damage to society.
All this might lead to a new kind of “Digital Divide” in India, running counter to, and hurting Prime Minister Modi’s Digital India vision. It is because of all these reasons that I urge the TRAI to not have regulations on OTT players and make sure that discrimination (whether price based or non-price based) never happens in India.This vision of a Digital India can only succeed with an open internet ecosystem with network neutrality fundamental part of it. Whether it is the postal worker in a city confirming directions on a map service, or a child studying in a poor village looking up educational videos, or a farmer looking for critical weather information, or a small town shop owner who simply wants to message and send visual details about the product he’s selling to another customer - we don’t want them all to suffer just because their network operator didn’t happen to have made the proper deal with whatever critical service in question.

Network neutrality will make sure all of India can progress together, united.

I would like to conclude by once agin re-iterating an important quote by our current Union Telecom Minister.

For India, net neutrality is very important.” 

Hon’ble Union Telecom Minister Mr. Ravi Shankar Prasad.



Regards,
Divyam Rastogi