Sunil Bharti Mittal, the chairman of market leading telecom company Bharti Airtel has said that while Indian telecom operators don’t have any issues with "OTT (over-the-top) players and telecom players are very happily co-existing. Gone are the tensions and I think they love putting up more networks, lower the prices," Mittal said.
Telcos demand that app-based calling and messaging services be brought under the licensing regime, which as per internet firms, would be a roadblock to innovation, affordable or almost free messaging services, which would adversely impact their users and potential customers.
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"This is a digital society with collaborative effort but it can't be said that telecom operators have no role to play and only OTT players (internet-based calling and messaging providers) will do it.
"They cannot do it without backbone that telecom networks have to built. This will go hand in hand that is why our relationship with Google, Facebook, Apple, Whatsapp, Hike ... very healthy," Mittal said.
As per a complaint filed by telecom operators to TRAI and the government, it is because of these internet-based calling and messaging companies that their revenues get affected. They provide services like calling and messaging without having need to follow rules and regulations that telcos have to follow.
Mittal also added that high capital expenditure forces telecom operators to be unable to match the rates of OTT players.
"You must remember that OTT players have no capital expenditure. Their market caps are through the roofs, they have to spend nothing. Telecom companies have to spend 200 billion dollars in capex," he was quoted.
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