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Airtel, Vodafone India and Idea’s plea against Reliance Jio is going to fall flat. Here’s why

Airtel, Vodafone India and Idea’s plea against Reliance Jio is going to fall flat. Here’s why
Strategy1 min read
India’s Telecom Regulatory Authority of India (TRAI) is going to reiterate its stance that Reliance Jio did not violate any norms and likely to reject claims by Bharti Airtel, Vodafone India and Idea Cellular that calls can't be priced at less than 14 paise per minute.

The TRAI will keep its stance forward at the Telecom Disputes Settlement and Appellate Tribunal (TDSAT), saying the interconnect usage charge of 14 paise a minute can't be taken as the retail floor price.

TRAI will take note of offers rolled out by the top three telecom operators, noting even they have offers below 14 paise.

"Free night calling and bundled packs offering unlimited calls are all examples of incumbent telcos doing the same,” an official in the know-how told ET.

The three telcos have contested TRAI’s decision to allow Reliance Jio to provide free voice calls and data services under two back-to-back promotional offers.

Meanwhile, the TRAI lowered the termination charge to 14 paise a minute from 20 paise in 2015, a move that's been challenged in court by Airtel, Vodafone and Idea, the top three GSM carriers. In a discussion paper on interconnect usage charges issued in October, the watchdog suggested lowering or even scrapping the call termination charge, a proposal that operators decried, accusing it of bias.

The telcos have also complained to the Competition Commission of India, the anti-monopoly watchdog, accusing Jio of predatory pricing. Jio has denied the charges.

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