Trai to start consultation on OTT regulation

Among the questions that Trai plans to ask is, in case it is felt that some regulation is required, then which class of apps needs to be brought under the regulatory ambit, they said.

The consultation paper will also look into the definition of OTT, class of OTTs, demands of a level playing field with telcos, and existing international practices, among others, they said.

“We will look at all the aspects,” one of the officials aware of the details told ET. “Not all OTT apps need regulation. Through the consultation process, we will seek comments from all stakeholders and also see what are the international practices in this regard.”

The telecom regulator had earlier recommended that OTT players shouldn’t be regulated. But it is revisiting the matter after the Department of Telecommunications (DoT) again asked it to propose a regulatory mechanism for apps.

ET had earlier reported that Trai was exploring different sets of regulatory mechanisms for communication apps and broadcasting apps.

The DoT, on its part, wants to regulate only communication apps such as WhatsApp and Telegram – as proposed in the draft telecom bill – and not content or broadcasting ones such as Netflix and Amazon Prime.

Telecom minister Ashwini Vaishnaw has made it clear that the basic purpose of regulating communication OTTs was to guard consumers against fraud, and not generate revenue.

Keeping this premise in mind, DoT has proposed the need for a mandatory know-your-customer (KYC) mechanism for all such apps in the draft telecom bill.

Through the upcoming consultation paper, Trai would try to address any ambiguity around different sets of OTT apps.

The draft telecom bill has not defined communication apps, but Trai wants to address the issue and clearly define/classify the OTTs and the set of apps that could be regulated by DoT.

The government believes that DoT should be the nodal ministry for communication apps, while the ministry of information and broadcasting (MIB) should continue to look after content, including apps such as Disney Hotstar and SonyLiv.

In its reference to Trai seeking to bring OTTs under regulation, the DoT had said a mechanism should be evolved wherein it has powers to ban or curtail spread of misinformation.