WhatsApp, Signal, Other OTT Services May Not Need An Operating Licence

After the Department of Telecommunications published the draft Indian Telecommunications Bill proposing that OTT communication apps such as Whatsapp obtain a licence from the government, there have been pushbackas from the industry regarding this clause. While the government is in discussions with the industry stakeholders regarding the bill, services including WhatsApp, Signal may not require licenses to operate.

However, the discussions have led to understanding that these apps need to focus on user protection provisions as proposed in the legislation, Mint reported.

“What we understand now is that people (OTTs) are okay with user protection related regulations…they did not want to have a licence and that was not our intent as well,” a senior official said as quoted in the report.

According to another official, neither the goal was to impose a licence fee on OTT communication services, nor a ‘heavy touch regulation’. Rather, the government wants to ensure consumer protection and security of the state. 

While the deadline for submitting feedback on the draft bill was earlier extended till October 30,  the deadline may be again postponed to November 10. “In response to requests received from several stakeholders, the ministry has decided to extend the last date for receipt of comments till October 30,” a DoT notification said earlier. 

Meanwhile, the government will continue to have discussions with the stakeholders such as OTT players and telecom players.

In addition, a second draft of the bill incorporating the changes and initial suggestions from the industry, will be issued for further discussions. 

Earlier, The Telecom Regulatory Authority of India (TRAI) opposed the proposal in the recently released draft Indian Telecommunications Bill to regulate OTT services. Telecom Minister Ashwini Vaishnaw reportedly said that the DoT is addressing the concerns of TRAI and planning to bring a light touch-regulation for OTT services.

For a long time now, a tussle has been going on between telecom players and OTT communication services. Telecom players had urged the DoT to regulate OTT communication apps such as WhatsApp, Telegram and Signal to provide a ‘level playing field’ as voice and messaging services have seen a huge decline with the increase in usage of such apps.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.