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The Congress President announced the <keyword id="7461248" type="UNKNOWN" weightage="20" keywordseo="Nyuntam-Aay-Yojana">Nyuntam Aay Yojana</keyword> (NYAY) on Monday. If voted to power in the 2019 Lok Sabha elections, India’s grand old party, plans to implement this scheme. What is this scheme all about? The plan is to give ₹6,000 per month to every family which falls below the poverty line. The question is how was this number arrived at. In <a href="https://www.business-standard.com/article/elections/rahul-s-scheme-for-poor-to-cost-rs-3-5-trn-congress-data-analytics-chief-119032500999_1.html">an interview to the Business Standard</a>, Praveen Chakravarty, who is the head of the data analytics department of the Congress Party, explained the logic. He said that almost everyone earns ₹5,000-6,000 per month as a family. The Congress Party thinks that a minimum income of ₹12,000 per month is reasonable. In that sense, the plan is to pay ₹6,000 per month to every family which is below the poverty line, to get them to a level of ₹12,000 per month. So, to that extent this is a <keyword id="4034334" type="PERSON" weightage="20" keywordseo="basic-income-scheme">basic income scheme</keyword>, with the below poverty line families getting a fixed amount of money every month, with no conditions attached to the payment. In case of the just launched PM-Kisan scheme only landowners who own less than two hectares of land, stand to benefit. In the case of NYAY, anyone below the poverty line will be eligible for ₹6,000 per month, this will include landless labourers as well. What is the scheme trying to address? The scheme is trying to address poverty, especially in the eastern part of the country. Take a look at Figure 1, which basically plots the per capita income of different states in 2017-2018. The per capita income of many states is missing because the data is not currently available. In 2017-2018, Bihar had the lowest per capita income of ₹38,860 per year (or just about ₹3,500 per month). Uttar Pradesh came in next with a per capita income of ₹55,339. Now compare this with other states. Karnataka had a per capita income of ₹181,788 whereas Maharashtra had a per capita income of ₹180,596. 
 
 
 
 
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 So, clearly there is a problem. People living in heavily populated states like Bihar and Uttar Pradesh, are simply not making enough money and this needs to be addressed. Why does the government need to give money to citizens? Large states like Maharashtra, Gujarat, Tamil Nadu, Karnataka and Haryana, which have done much better than other states, have had some sort of business and industry going in the state. Haryana has also benefited on account of the agricultural revolution and the fact that the state borders New Delhi. The problem is that poorer states can no longer follow this formula, simply because India is going through what economists refer to as premature non-industrialization. As the Economic Survey of 2014-15 pointed out, “Uttar Pradesh’s maximum level of industrialization was about one-third that of Brazil and Indonesia (both have similar populations to UP); and the decline began at 15-20% of the income levels of these countries." In this scenario, the states with a lower income, need to be supported by the government, and there is clearly no denying that. Of course, this comes with the corollary that any basic income scheme cannot eradicate poverty. Where is the money going to come from? As the old adage goes, in economics there is no free lunch. Someone is going to foot the bill for delivering NYAY. NYAY is to be delivered to 20% of the population or around 50 million families. At ₹6,000 per family per month, the total bill works out to ₹3.6 trillion. The forecast gross domestic product for 2019-20 is ₹210.1 trillion. Hence, the bill for NYAY will work out to around 1.7% of the GDP. The question is how a bill of ₹3.6 trillion or 1.7% of the GDP is going to be financed? The Congress Party in its media interactions seems confident about being able to finance NYAY. Economists who have talked about the idea of a basic income in India in the past, have primarily talked about doing away with subsidies and raising taxes, in order to be able to finance any basic income scheme. Let’s try and take a look at how this would work in the case of NYAY. The total food, fertiliser and petroleum subsidy bill for 2019-20 stands at ₹2.97 trillion or 1.41% of the GDP. Once NYAY is implemented, it makes sense to do away with the subsidies, given that people will get money directly into their bank accounts. The point is this is easier said than done. Any government trying to do away with fertiliser subsidy will immediately be labelled anti-farmer. The food subsidy is the really tricky part. At ₹1.84 trillion, it is the largest of the subsidies offered by the central government. How does it work? The Food Corporation of India (FCI) along with state procurement agencies buys rice and wheat directly from farmers at a minimum support price, announced by the government. This rice and wheat bought, is then sold through the public distribution system (more popularly referred to as ration shops) at a much lower price. The government the compensates FCI for this subsidy through the food subsidy allocated in the budget. If this subsidy is done away with or even cut, then the rice and wheat buying by FCI and other state procurement agencies, will have to be cut or done away with. In this scenario, what happens to the FCI and other state procurement agencies? Will they be dismantled? Further, what will happen to the public distribution system? These are questions that will need to be answered before NYAY is launched. In fact, the public distribution system works well in states like Chhattisgarh and Tamil Nadu. What will happen there? The state of Punjab benefits the most through FCI buying rice and wheat directly from farmers. In fact, given that the FCI has a very good procurement system in Punjab, the farmers grow a lot of rice, in what is basically a semi-arid region. What will happen in the state of Punjab, if the procurement system is done away with? These are very difficult questions with answers which may perhaps even be politically suicidal. What about taxes? When it comes to basic income, economists have called for different kinds of taxes, from tax on agriculture income, to re-introduction of wealth tax and estate duty. These forms of taxes are fairly unpopular and it remains to be seen if any government will introduce them and face the wrath of the taxpayer. Nevertheless, one thing that can be done is to take a look at the tax incentives available to corporates. Along with every budget, the government puts out a Statement of Revenue Impact of Tax Incentives under the Central Tax System. When it comes to central excise duty and customs duty, the data is available only up to 2016-2017. In that year, the revenue impact of major tax incentives stood at ₹1.46 trillion. While, it is easy to point out that such exemptions exist, it won’t be so easy to do away with them. Another good source of revenue can be central public sector enterprises, which are sitting on a huge amount of land and other assets. Vijay Joshi, Reader Emeritus in Economics, University of Oxford, in his book India’s Long Road estimates that the value of enterprises owned by the government is around 40-45% of the GDP. The problem is that in all these years, no government has really managed to sell public enterprises to private companies, which is where they can hope to earn a good premium over the prevailing price. If the government gets around to the idea of selling public sector enterprises, a lot of money can be raised to finance. The trouble is the Congress Party has never believed in the idea of selling public sector enterprises (not that the BJP does either). To conclude, NYAY is basically a scheme, whose time has come. Having said that, it will be very difficult to implement. Identifying the people who are actually eligible for the scheme will be difficult. Hence, it is important the scheme is piloted well and then implemented throughout the country. Many systems which have been put in place will have to be challenged and junked. The problem is that with every system there come people who have benefitted and continue to benefit from the system, and hence, have a huge nuisance value. Will the Congress Party, if elected, be able to overcome this nuisance, is something that remains to be seen.

Can Congress' basic income scheme end India's poverty?

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image">REUTERS/Jayanta DeyA shopkeeper counts 500 Indian rupee banknotes at a cash counter inside a medicine shop in Agartala, India, November 9, 2016</div></div></div>India is considering a radical idea for tackling poverty: rolling out a Universal Basic Income (UBI), <a href="http://indiabudget.gov.in/es2016-17/echapter.pdf">according to a report by the country's Ministry of Finance</a>.Released on Monday, the annual Economic Survey says that the scheme would nearly eradicate poverty - although it says there are "considerable implementation challenges" which have to be addressed first. The report calls for more pilot trials before India decides whether to roll out UBI nationally.The idea behind universal basic income, which is attracting attention in countries including the USA and France, is simple: a regular state payment made to all citizens, regardless of working status.The Economic Survey, written by the finance ministry's chief economic adviser Arvind Subramanian, says that a UBI would promote social justice, and empower the country's poor - <a href="http://uk.businessinsider.com/india-indian-government-set-to-endorse-universal-basic-income-free-money-economic-survey-2017-1">as Business Insider first reported at the start of January</a>.Subramanian estimates that the scheme would reduce nationwide poverty to 0.5%, and cost between 4-5% of GDP.While that might sound expensive, the survey notes that India's current welfare schemes - which provide mostly middle-class Indians with subsidies for food, fuel, and fertiliser - cost around 5% of annual GDP.He also argues it would be easier to implement than India's current anti-poverty programmes, which are riddled with corruption.In a country of over 1.2 billion people, the task of identifying who is and isn't in need of financial assistance is a messy and wasteful one, something which a UBI could theoretically solve. He says that "by directly transferring money to bank accounts, and circumventing multiple layers of bureaucracy," the scope for financial "leakage" is lower.However, he also notes that India's state has "low capacity, with high levels of corruption, clientelism, rules and red tape," which could make implementing a far-reaching scheme like UBI difficult.Subramanian concludes by calling for further trials of the scheme in a few districts <a href="http://uk.businessinsider.com/india-indian-government-set-to-endorse-universal-basic-income-free-money-economic-survey-2017-1">after a number of successful pilots</a>, but says the scheme is not ready to be rolled out yet.Significant practical challenges facing the introduction of a UBI include the fact that nearly a third of Indians do not have a bank account."It's an idea whose time is ripe for further deliberation and discussion, and not necessarily for immediate implementation," Subramanian said. <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/chess-board-piece-move-own-london-startup-square-off-harry-potter-2016-12">An Indian startup made a chess board where pieces move on their own just like in Harry Potter</a></h3> <div> <div> <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="s5Z2U3ODE6mgdbp4T-gyvonngygeAklZ" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div> </div> </div> </div>

India's government thinks a Universal Basic Income could eradicate poverty

New Delhi, May 12 () India needs to come out with a basic income scheme to make the lockdown work, noted French economist Thomas Piketty said on Tuesday.He also said that India has the potential to become the global democratic leader of the 21st century if it manages to address the issue of inequality.The government has imposed lockdown from March 25 to curb the spread of coronavirus and since then extended the restrictions twice. "I think the government would be well advised to introduce a basic income scheme, and more generally to develop a safety net in India. I do not see how a lockdown can work without a system of income maintenance," Piketty told in an interview. Interestingly, the idea of universal basic income was mooted in Economic Survey 2016-17 by the then chief economic advisor Arvind Subramanian and there was a discussion last year during the electoral campaign to introduce a basic income in India.Piketty also pitched for more equitable and progressive taxation including a wealth tax and inheritance tax in India. "India has the potential to become the global democratic leader of the 21st century, assuming the country manages to come to terms with its legacy of inequality," the eminent economist emphasised."The attention that was put to the reservation system was not matched by sufficient attention to other issues, including land reform and the redistribution of property, and the funding of adequate education, infrastructure and health investment through a more equitable and progressive tax system (including a wealth tax and inheritance tax)," he said.Piketty, who recently wrote a book 'Capital and Ideology', noted that a pandemic like Covid-19 can have contradictory effects on inequality."On the one hand, it can raise the legitimacy of public investment in health, infrastructure and education. But on the other hand, it can also raise the fear of strangers and reinforce the preexisting trends toward sectarian conflicts," he said.Before the pandemic, Piketty said the trend toward sectarian conflict reflected the lack of political ambition to change the economic system and to put in place a system that is truly based on economic justice. "This will be even more true after the pandemic: we need to think again about how to reconcile prosperity and equality," he said adding that in his book, he explored the possibility of a system based upon educational justice and participatory socialism, involving private property for all and the permanent circulation of wealth and power. Asked how coronavirus pandemic will impact India's rising inequality, Piketty said the experience of the Spanish flu of 1918-20 is frightening."According to some studies, mortality rates were as large as 5 per cent in India or Indonesia, as compared to 0.5 - 1 per cent in Western Europe and the US (which was already very high). "It seems unlikely that things can get so bad today, but this means that we have to be very careful," Piketty, who is currently a professor at Paris School of Economics, said.The French economist, who has worked extensively on issues like inequality and poverty, said by looking at a broader range of historical trajectories, he has also come to stress the key role of ideological and political change in the evolution of inequality. "The main determinants of inequality are not economic and technological: they are ideological and political," he argued.Piketty's previous book 'Capital in the Twenty-First Century ' became the best-selling work in the history of Harvard University Press and made him a household name. BKS CS MR

India needs basic income scheme to make lockdown work: French economist

<ul><li><keyword id="6354576" type="UNKNOWN" weightage="20" keywordseo="facebook">Facebook</keyword>’s ‘secret rulebook’ for moderating global political speech was leaked to the New York Times. </li><li>The ‘secret rulebook’ cites that any comments or posts that are critical of religion should be taken down or flagged even though the Indian law doesn’t force any such censorship. </li><li>Another document states that moderators should be wary of posts that use phrases like ‘Free Kashmir’, commonly used by activists in the Indian state of Jammu and Kashmir — and perfectly legal, according to the report.</li><li>Facebook’s one-size-fits-all approach is in contradiction to the fundamental right of freedom of speech in India.</li></ul>Facebook has come under fire for how it moderates its political ads repeatedly. Now, the leaked documents to the <a href="https://www.nytimes.com/2018/12/27/world/facebook-moderators.html">New York Times</a> show that the social network’s ‘secret rulebook’ for moderating political speech seems to be in ‘apparent’ contradiction with Indian laws. The 1,400 pages collated by more than 7,500 moderators show that the company’s guidelines are riddled with inaccuracies, biases and errors, according to the report. It’s no secret that Facebook is a powerful arbiter of global speech, which makes such glaring anomalies all the more reason for concern. India is Facebook’s <a href="https://www.statista.com/statistics/268136/top-15-countries-based-on-number-of-facebook-users/">largest</a> consumer base with 294 million users as of October 2018. But the company’s guidelines are negligent to the extent that one of the documents cited states that comments that are critical of religion should be removed from the site. Religion is a complex issue that can’t be boiled down to simple yes-or-no arbitration especially in a country that’s home to at least nine <a href="https://www.census2011.co.in/religion.php">recognised</a> religions. The Indian law doesn’t dictate any such censorship on religious speech, until and unless it’s inciting or propagating violence, according to the report. Another document in the leak tells moderators to be on the lookout for phrases like ‘Free Kashmir’. The slogan is commonly used by activists — not to mention that it’s perfectly legal as per the report. The ‘secret rulebook’ It’s troubling to see that the report notes that Facebook allegedly propagates these guidelines further by advising its moderators that if the ‘secret rulebook’ isn’t followed — it could lead to Facebook potentially being blocked in India. The issue isn’t about India alone — it’s about regulating global political speech with powerpoint presentations like ‘Western Balkans Hate Orgs and Figures’ and ‘Credible Violence: Implementation Standards’. Ahead of the elections in Pakistan, where the government enforces a media blackout on Election Day, Facebook is one of the primary sources of information. So the 40-page document titled, “Political parties, expected trends and guidelines,” is what probably shaped the conversation — unbeknownst to the public. One of the guidelines was to apply ‘extra scrutiny’ Jamiat Ulema-e-Islam, cited as a ‘hard-line’ religious party, while calling Jamaat-e-Islami, another religious party, as ‘benign’ in the documents. It’s understandable that Facebook is worried about its image consider the incidents that have taken place during the past year, but the one-size-fits-all rules are being implemented by telling moderators to follow the ‘secret rulebook’ blindly. In the past, Indian users have criticized Facebook for taking <a href="https://www.businessinsider.in/facebook-hits-a-new-level-of-censorship-and-its-users-arent-happy/articleshow/67027773.cms">censorship too far</a> after it implemented a new set of rules under its ‘Sexual Solicitation’ section of Community Standards. Business Insider India has reached out to Facebook for a comment, but the company is yet to comment on the leak of their ‘secret rulebook’ and on its moderation practices. See also: <a href="https://www.businessinsider.in/facebook-hits-a-new-level-of-censorship-and-its-users-arent-happy/articleshow/67027773.cms">Facebook hits a new level of censorship and its users aren’t happy</a> <a href="https://www.businessinsider.in/50-million-facebook-accounts-breached-why-indian-users-should-care/articleshow/66087091.cms">50 million Facebook accounts breached, why Indian users should care</a> <a href="https://www.businessinsider.in/facebook-approved-fake-political-ads-paid-for-by-cambridge-analytica/articleshow/66447635.cms">Facebook approved fake political ads 'paid for' by Cambridge Analytica</a> <a href="https://www.businessinsider.in/facebook-will-now-show-who-exactly-is-paying-to-swing-peoples-votes-through-online-political-advertising/articleshow/66230157.cms">Facebook will now show who exactly is paying to swing people's votes through online political advertising</a>

Facebook’s ‘secret rulebook’ for content moderation just leaked online — and some of its directives could contradict Indian laws: Report

Despite posting a 27% rise in its revenues in India, from Rs 97.6 crore to Rs 123.5 crore, Facebook earned less than Rs 9 per user on an average in the country. 
 
India is Facebook’s second-largest market outside the United States and it earns Rs 630 per user in the US. 
 
Facebook, which has more than 135 million users in India, has low revenues in the country because of more spending on digital media on Google. 
 However, if <keyword id="46907" type="CITY" weightage="20" keywordseo="Reliance-communications">Reliance Communications</keyword> and other telcos are convinced over Free Basics, Facebook may earn more. 
 
But, Facebook’s Free Basics is still mired in a huge controversy. 
 
Karthik Srinivasan, national lead, Social@Ogilvy, the social media arm of advertising firm Ogilvy &amp; Mather told ET, “For most marketers, Facebook is one if the best option when they want to do targeting at a micro-level in terms of select locality or user base." 
 
Meanwhile, New York-based market research company eMarketer stated that by 2019, when more than a quarter of the ad spend in India will go towards digital, the country will pull ahead of many others, including France, Spain, Italy and Brazil, by this metric. 
 
(Image: Reuters)

Facebook posts 27% revenue rise in India, earns paltry Rs 9 per user. Here’s why

<ul><li>Around 25% of the organizations are planning to include <keyword id="60251" type="General" weightage="20" keywordseo="variable-pay" source="Orion">variable pay</keyword> in the wage definition.</li><li>One out of three organizations in <keyword id="3658" type="General" weightage="80" keywordseo="india" source="Orion">India</keyword> are also likely to increase the <keyword id="312732" type="General" weightage="20" keywordseo="basic-pay" source="Orion">basic pay</keyword>, as per <keyword id="11979993" type="General" weightage="20" keywordseo="WTW-report" source="Orion">WTW report</keyword>.</li><li>40% of organizations are expecting to have a significant impact on their profit and loss statement due to gratuity.</li></ul>Companies in India are still adapting to the new Labour Code, which will be implemented from July 1 this year. However, a majority of organizations are reviewing retirement or long-term benefits and looking for new ways to package them. In fact, 25% of the organizations are planning to include variable pay in the wage definition. But, a similar percentage of them are also unsure about what to do, reveals a new WTW report on ‘State of Retirement benefits in India’. Variable pay is also known as performance pay and is given to an employee based on the results of their performance. It is usually offered in addition to the employee's fixed salary on completion of certain targets. One out of three organizations in India are also likely to increase the basic pay as a part of the new wage code. The four <keyword id="9986984" type="General" weightage="20" keywordseo="New-labour-codes" source="Orion">new labour codes</keyword> approved by the President of India are — Code on <keyword id="6356975" type="General" weightage="100" keywordseo="wages" source="Orion">Wages</keyword>, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020 and the Occupational Safety, Health and Working Conditions Code, 2020. These four codes will replace the existing 29 labour laws in India. Code on Wages will ensure timely payment of salaries and wages both in organized and unorganized sectors. Industrial Relations Code expands the definition of worker to be included under — skilled, unskilled, manual, technical, clerical and operational workers. Code on Social Security is about social security schemes like EPF, EPS, ESI — which are beneficial to the employees and workers. <cmsannotation type="cmsannotation" annotationid="Gratuity pay would rise" comment="subhead" text="Gratuity pay would rise">Gratuity pay would rise</cmsannotation> According to the report, 40% of organizations are expecting the code to have a significant impact on their profits; and are considering options to update their gratuity policy to mitigate the impact. While 28% say that they will not change their gratuity policy and are not expecting any change in their P&amp;L. Gratuity benefits are projected to have the largest impact in the new definition of wages. It is paid to employees who exit their companies after working for over five years. In the new code, the gratuity is expected to increase significantly, particularly for organizations where the basic pay to gross pay ratio has been quite low previously. <cmsannotation type="cmsannotation" annotationid="No change in PF contributions" comment="subhead" text="No change in PF contributions">No change in PF contributions</cmsannotation> The report further suggests that over 46% of the organizations would continue to contribute 12% of basic salary as per prevailing regulation in the provident fund. However, 8% say that they will restrict the PF upto ₹15,000 per month. As many as 32% of the organizations are unsure about what to do with the provident funds for its employees, says the report. During COVID-19 pandemic, a lot of companies had provided extra sick leaves to their employees as the infection required proper isolation and rest. This has led three out 10 organizations to restructure their leave policies, the report says. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/stock-market/news/mid-cap-stocks-will-remain-under-pressure-for-few-more-months-say-experts/articleshow/92387603.cms">Mid cap stocks will remain under pressure for few more months, say experts</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/sustainability/article/not-just-health-tobacco-products-also-degrades-ecosystem-integrity-who-report/articleshow/92380121.cms">Not just health, tobacco products also degrades ecosystem integrity: WHO report</a>

One in four organizations plan to make variable a part of the wages

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image">Anindito Mukherjee/ReutersArvind Subramanian speaks at the Global Business Summit in New Delhi, January 17, 2015.</div></div></div>Speaking to students at a recent event, the chief economic advisor to the Government of India <a href="http://basicincome.org/news/2016/09/india-government-economic-survey-address-ubi/">expressed support</a> for a radical system of wealth distribution known as universal basic income.Under the system, all citizens of a given society would receive a standard amount of money to ensure they could pay for essential items like food, clothing, and shelter.If everyone had enough money to survive and contribute to society, the thinking goes, governments could eliminate poverty altogether.Arvind Subramanian, speaking at an outreach event in the city of Bhubaneswar, fielded a student's question about basic income. The student wondered whether, given the growing popularity of basic income in Kenya, Switzerland, <a href="http://www.techinsider.io/finlands-plan-to-give-everyone-free-money-2015-11">Finland</a>, the Netherlands, <a href="http://www.businessinsider.com/ontario-announces-basic-income-plan-2016-3">Canada</a>, and <a href="http://www.businessinsider.com/inside-y-combinators-basic-income-project-2016-6">the US</a>, India might be next. The country has in fact <a href="http://isa-global-dialogue.net/indias-great-experiment-the-transformative-potential-of-basic-income-grants/">already seen small pilots</a> of the system lead to positive outcomes.Subramanian told the student that basic income will play a major role in the next Economic Survey, an annual document presented to parliament that outlines the country's financial health and makes suggestions for the future."People are dragged into poverty due to droughts, declining agriculture opportunities, disease, and so on," he said, <a href="http://timesofindia.indiatimes.com/city/ahmedabad/Universal-Basic-Income-key-to-tackle-poverty-Arvind-Subramanian/articleshow/54649881.cms?from=mdr">according to the Times of India</a>. "So the safety net provided by the government should be quite wide, and that is why this [basic income] has some merit."Subramanian said basic income will be one of the big topics he and the other ministers of finance address in the survey.<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image">Amit Dave/Reuters</div></div></div>Despite being the second-most-populous country on Earth, India could likely implement a basic income policy relatively cheaply due to the low costs of living there. The median income in the country falls somewhere around $900 a year, compared to $52,000 in the US.Subramanian cautioned that the idea of basic income still lives mostly in the world of hypotheticals, however. "Both in terms of politics and economic[s] there is a whole range of very important things we have to look into, and are going to look at, very carefully," he said, <a href="http://economictimes.indiatimes.com/news/economy/policy/next-economic-survey-might-float-universal-basic-income-balloon/articleshow/54015451.cms">according to the Economic Times</a>.A massive 12-year basic income trial <a href="http://www.businessinsider.com/givedirectly-gives-kenyans-basic-income-2016-4">is now underway in Kenya</a>, where thousands of people are receiving a set income of about $0.75 a day.As more data come in, India and other countries around the world will have more ammunition to conduct ambitious experiments of their own. <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/rickshaw-run-adventure-2000-miles-across-india-2016-5">A crazy adventure takes people more than 2,000 miles across India in a rickshaw</a></h3> <div> <div> <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="YxNWdwMzE6cp4z9uWHMuQ5EmjjXdyvwa" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div> </div> </div> </div>

India's highest-ranking economist just announced his support for universal basic income

<keyword id="1523889" type="UNKNOWN" weightage="20" keywordseo="Sharad-Mehrotra">Sharad Mehrotra</keyword> was iPhone maker <a href="http://www.businessinsider.in/searchresult.cms?query=Apple&amp;sortorder=effectivedate">Apple</a>'s enterprise mobility head in India. He’s quit his ‘cushy job’, and will launch a smartphone company in the world's fastest-growing smartphone market on June 15. 
 
Mehrotra has been with <a href="http://www.businessinsider.in/searchresult.cms?query=Apple&amp;sortorder=effectivedate">Apple India</a> since October 2007, and only recently co-founded Hyve Mobility with Aditya Agarwal, who heads Euphoria and 4 Genius Minds. The company is targeting the Rs 15,000-20,000 segment with a flagship model. 
 
With close to 18 years of experience across the business development, marketing and retail from the likes of Apple and India's top telco <a href="http://www.businessinsider.in/searchresult.cms?query=Bharti+Airtel&amp;sortorder=effectivedate">Bharti Airtel</a>, Mehrotra is looking to bring back ‘basic hygiene’ into the Indian smartphone market. 
 
Why get into the smartphone business? 
It’s a crowded market, yes, but the smartphone penetration in India is still not great. It’s growing double digits quarter-on-quarter, so there’s a huge opportunity. There are gaps in the product portfolio unfortunately, service being one that we’d like to address. 
 
Most smartphone manufacturers are doing a lot of advertising, however not many are focusing on the convenience of the customer or what features or tech is really needed for customer delight. 
 
With the value proposition on offer, we’ll have our own niche. 
 
Is it feasible to offer extensive after-sales support to budget smartphones? 
It’s not a question of whether they want it, but whether they deserve it. Anybody paying the money deserves convenience and delight. That’s basic hygiene. 
 
Are you making money off hardware? 
We’re not in the business of losing money. 
 However, while several <keyword id="3400407" type="UNKNOWN" weightage="20" keywordseo="phone-manufacturing">phone manufacturing</keyword> companies and third-party players make money off <a href="http://www.businessinsider.in/searchresult.cms?query=bloatware&amp;sortorder=effectivedate">bloatware</a> and skinning, we won’t do that in the lieu of sacrificing delight. Ours is a stock <a href="http://www.businessinsider.in/searchresult.cms?query=Android&amp;sortorder=effectivedate">Android</a>. 
 
Manufacturing plans. 
Design and R&amp;D is in-house. We’ve patented the technologies. We have carefully chosen the brand of component. The assembly happens in China, but in a very controlled manner. There is no ‘thappa’ business here. 
 
Quality control Quality suffers because of lack of quality components or optimization. It’s unfortunate because <keyword id="6355645" type="COMPANY" weightage="20" keywordseo="android">Android</keyword> is an open market, people play around with it. We’re extremely sensitive about this. 
 
For instance, 13 MP + 5MP is standard for camera. However, there are people who put a 8 MP lens and zoom in through software so it looks like 13 MP. Also, the sensor makes a difference. We’re ensuring the best brand for the price.

This ex-Apple exec wants to bring
back ‘basic hygiene’ into India's smartphone ecosystem

The whole net neutrality debate just doesn’t seem to end. In a new twist, the volunteer-led community of SaveTheInternet.in has come up with a plan under which it would urge people to email Facebook and ask the reason why it didn’t inform users about a letter that TRAI (Telecom Regulatory Authority of India) wrote to the social network. The letter sought specific responses to questions asked in the differential pricing paper about Facebook’s Free Basics initiative. 
 
"With this, SaveTheInternet.in team has enough ammunition to show TRAI that Facebook did not inform users," Kiran Jonnalagadda, CEO of HasGeek, told ET. She ran the email campaign for SaveTheInternet.in on this new initiative. 
 
In the first half of December last year, Facebook started a mass campaign on its platform, asking its users to support Free Basics in India. It was done in response to a consultation paper on "differential pricing of data services", which was released by TRAI. Under the campaign, Facebook asked its users to email TRAI to show their support to "digital equality" and supporting Free Basics. 
 
No questions posed in the paper were, however, addressed in this campaign. 
 Starting this year, TRAI asked Facebook to alert its users that they should send revised responses if they support the initiative, as merely voting for Free Basics would not hold up as a valid response. "We have reached out to the users who responded through Facebook, asking them to specifically answer the four questions that you have raised in the consultation paper," Ankhi Das, director of public policy at <keyword id="736869" type="COMPANY" weightage="100" keywordseo="Facebook-India">Facebook India</keyword>, South and Central Asia, had written to TRAI on January 6. However, as per TRAI and about 90% of the 2,800 users that were polled by savetheinternet.in, they did not get any notification from Facebook regarding the same. 
 
Now, the activist group is saying that users should question Facebook's public policy director as to why they didn’t inform them about it. 
 
Even the number of responses differ as per both Facebook and TRAI. While Facebook says that it sent 1.1 crore responses, the regulator said that it has received only 18.9 lakh responses. 
 
<a href="http://www.savetheinternet.in">Image source</a>

SaveTheInternet has enough proof to expose Facebook's Free Basics sham

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image"></div></div></div>India has blocked Free Basics, Facebook's plan to provide free internet access in the developing world.The service lets users access certain sites for free - but not the entire internet.This sparked an intense row in India over net neutrality, the principle that all network data must be treated equally. Critics of the scheme argue that Free Basics creates a ghettoized internet, with the main internet for the (relatively) wealthy and a limited version for poor people.On Monday, the Telecom Regulatory Authority of India (TRAI) announced it had issued the "Prohibition of Discriminatory Tariffs for Data Services Regulations, 2016," which "disallow[s] service providers to offer or charge discriminatory tariffs for data services on the basis of content being access by a consumer."The announcement does not mention Facebook, or Free Basics, by name - but by taking a pro-net neutrality stance and blocking services from offering only certain types of content, it means Free Basics will not be able to function.<div class="KonaFilter image-container display-table"><div><div class="image on-image"></div></div></div>As debate has raged over Free Basics, Facebook has strongly defended the service, spending a <a href="http://www.theverge.com/2016/2/8/10913398/free-basics-india-regulator-ruling">reported</a> $45 million promoting it. But it has also beenBut it has also been <a href="http://uk.businessinsider.com/facebook-and-india-argue-about-user-comments-on-free-basics-2016-1">accused by the Indian government</a> of misrepresenting levels of support for the service in the county. Authorities sent a letter to the head of Facebook India alleging that it created a "crudely majoritarian and orchestrated opinion poll" that didn't properly reflect levels of support for Free Basics.Business Insider has reached out to Facebook for comment.Activists and rights groups are celebrating the decision.<div></div>&#xa0;<div></div>&#xa0;This story is developing ...&#xa0;<h2><a href="http://trai.gov.in/WriteReadData/PressRealease/Document/Press_Release_No_13%20.pdf">Here's a link to TRAI's announcement »</a></h2> <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/rug-robot-snooze-proof-alarm-2016-1">This snooze-proof alarm is so genius it might make you a morning person</a></h3> <div> <div> <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="EwajA3MDE6HSI3EmcxQs0FLMGAaqZwd8" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div> </div> </div> </div>

India has blocked Free Basics, Facebook's plan to provide free internet access to the developing world

<div class="KonaFilter image-container display-table float_right"><div><div class="image on-image">Win McNamee/Getty ImagesFacebook CEO Mark Zuckerberg.</div></div></div>Facebook's plan to provide free internet to the developing world just hit another hurdle: <a href="http://timesofindia.indiatimes.com/tech/tech-news/put-fbs-free-basics-service-on-hold-trai-tells-reliance-communications/articleshow/50290490.cms?from=mdr">The Indian regulator is ordering a temporary ban on the service, called Free Basics, reports The Times of India</a>.Free Basics - part of Internet.org - is a service offered by the social network in some emerging markets that lets users access some websites for free.The aim is to help bring people online for the first time, but has come under sustained criticism for allegedly violating the principles of net neutrality.Net neutrality dictates that all data should be treated equally, and companies cannot pay for faster access or preferential treatment, so as not to stifle innovation and create hurdles for startups unable to pay. But because Free Basics zero-rates - that is, subsidises - the websites that appear on its platform, it arguably doesn't stick to the spirit of net neutrality.Free Basics also creates a two-tier internet system: The (relatively) wealthy can afford to use the entire web, while those stuck using Free Basics are only able to access the services available in Facebook's "walled garden."In India, Free Basics partners with the telecom Reliance Communications - but Reliance has now reportedly been ordered by the Telecom Regulatory Authority of India (TRAI) to halt Free Basics while it investigates its potential non-compliance with net neutrality ."The question has arisen whether a telecom operator should be allowed to have differential pricing for different kinds of content. Unless that question is answered, it will not be appropriate for us to continue to make that happen," a senior government official <a href="mark zuckerberg annoyed speakingFacebook's plan to provide free internet to the developing world just hit another hurdle: The Indian regulator is ordering a temporary ban on the service, called Free Basics, reports The Times of India. Free Basics - formerly called Internet.org - is a service offered by the social network in some emerging markets that lets users access some websites for free. The aim is to help bring people online for the first time, but has come under sustained criticism for violating the principles of net neutrality. Net neutrality dictates dictates that all data should be treated equally, and companies cannot pay for faster access or preferential treatment, so as not to stifle innovation and create hurdles for startups unable to pay. But because Free Basics zero-rates - that is, subsidises - the websites that appear on its platform, meaning it arguably doesn't stick to the spirit on net neutrality. Free Basics also creates a two-tier internet system: The (relatively) wealthy can afford to access the entire web, while those stuck using Free Basics are only able to access the services available in Facebook's " walled="" garden.="" In="" India="" Free="" Basics="" partners="" with="" the="" telecom="" Reliance="" Communications="" but="" has="" now="" reportedly="" been="" ordered="" by="" Telecom="" Regulatory="" Authority="" of="" TRAI="" to="" halt="" while="" it="" investigates="" its="" potential="" non-compliance="" net="" neutrality="" question="" arisen="" whether="" a="" operator="" should="" be="" allowed="" have="" differential="" pricing="" for="" different="" kinds="" content.="" Unless="" that="" is="" answered="" will="" not="" appropriate="" us="" continue="" make="" happen="" senior="" government="" official="" told="" Times="" India.="" They="" added:="" We="" asked="" them="" stop="" and="" they="" given="" compliance="" report="" stopped.="" Earlier="" this="" week="" Facebook="" users="" lobby="" in="" support="" The="" message="" calling="" was="" apparently="" only="" meant="" go="" out="" Indian="" multiple="" American="" also="" reported="" receiving="" this.="" According="" Re="" code="" social="" network="" says="" an="" accident.="" before="" Internet.org="" repeatedly="" criticised.="" May="" advocacy="" groups="" accused="" garden="" model="" threatening="" freedom="" expression.="" CEO="" Mark="" Zuckerberg="" shot="" back="" at="" critics="" accusing="" putting="" intellectual="" purity="" technology="" above="" peoples="" needs.="" An="" aggressive="" editorial="" Hindustan="" April="" described="" as="" Zuckerbergs="" ambitious="" project="" confuse="" hundreds="" millions="" emerging="" market="" into="" thinking="" Internet="" are="" one="" same.="" TRAIs="" recent="" temporary="" ban="" on="" complicated="" fact="" service="" still="" available.="" reports="" platform="" available="" subscribers="" company="" when="" log="" website="" leaving="" mark="" over="" regulators="" order.="">told the Times of India</a>.They added: "We have asked them (Reliance Communications) to stop it and they have given us a compliance report that it has been stopped."Earlier this week, Facebook asked its users to lobby TRAI in support of Free Basics in India. The message calling for support was apparently only meant to go out to Indian Facebook users, but multiple American users have also reported receiving it. <a href="http://recode.net/2015/12/21/facebook-accidentally-asks-u-s-users-to-support-free-basics-in-india/">According to Re/code</a>, the social network says that this was an accident.Free Basics (and Internet.org) has been repeatedly criticised. <a href="http://uk.businessinsider.com/facebook-internet-org-developing-world-critics-zuckerberg-petition-open-letter-2015-5">In May</a>, 65 advocacy groups accused its walled garden model of threatening "freedom of expression." <a href="http://uk.businessinsider.com/zuckerberg-video-internetorg-developer-programs-2015-5?r=US">Facebook CEO Mark Zuckerberg has shot back at critics</a>, accusing them of putting the "intellectual purity of technology above people's needs."<a href="http://www.hindustantimes.com/tech/dear-mark-zuckerberg-facebook-is-not-and-should-not-be-the-internet/story-w9S3uhnEYVP8L85EtbTqCO.html">An aggressive editorial in the Hindustan Times</a> in April described Free Basics as "Zuckerberg's ambitious project to confuse hundreds of millions of emerging market users into thinking that Facebook and the Internet are one and the same."TRAI's reported ban on Free Basics is complicated by the fact that the service is still apparently available. <a href="http://timesofindia.indiatimes.com/tech/tech-news/put-fbs-free-basics-service-on-hold-trai-tells-reliance-communications/articleshow/50290490.cms?from=mdr">The Times of India reports that</a> "the Free Basics platform is available to subscribers of the telecom company when they log into the website, leaving a question mark over the compliance to the regulator's order."Business Insider has reached out to Facebook for comment, and will update this story when it responds. <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/online-banking-security-mistakes-2015-12">The biggest security mistakes people make with online banking</a></h3> <div> <div> <div class="ooyala-video-player" data-video-autoplay="false" data-video-id="pxaXU5eTokSBzvRq_J9RCczvjYLlGrTx" data-player-variable="ooyalapopvideo" id="ooyalaplayer_popvideo" style="width:1280px;height:720px"></div> </div> </div> </div>

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