The first report on call drops based on the new rules has led Trai to issue show cause notices to some carriers running afoul of meeting new quality of service norms
The merged entity would hold a nearly 42% customer market share and nearly 37% revenue market share, leaving it stronger placed to take on competitive pressures triggered by Jio.
RCom in December signed agreement with Reliance Jio to sell spectrum, mobile towers, fiber network and Media Convergence Node (MCN).
It has revived the row between online and offline retailers. Offline retailers allege that etailers are using foreign capital to provide steep discounts.
Most of them, including Lava, Micromax and Intex, may be forced to absorb the increased cost of imported components and take a further hit on their already wafer-thin margins due to intense competition.
Trai also barred telcos from offering tariff plans to only some customers in a bid to retain them, adding that all plans must be displayed on a company’s website and made available to every user.
A 10 percent customs tax was also imposed on the imports of camera modules for phones and connectors.
India had raised basic customs duty (BCD) on smartphones to 20% in the Union Budget from 15% earlier, which became effective February 1.
Trai raised the issue of apps providing calling and message services without licences and their effect on revenue streams of telcos in a paper in March 2015.
“I believe that this is an interim phenomenon, because suddenly voice has been made practically free at a time when voice was driving the market, which is why ARPUs have fallen so much,” telecom secretary Aruna Sundararajan told.
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