RIL allowed to offer voice telecom services – for a price

19 Feb 2013

Giving a boost to the Mukesh Ambani-run Reliance Industries Ltd's plans to become a full-fledged telecom service provider, the government on Monday cleared a proposal to allow 4G licence holders to also offer voice calling services on payment of an additional fee.

The Telecom Commission, the highest decision-making body in the communications ministry, said holders of 4G spectrum - until now permitted to provide only high-speed Internet services on mobiles - can offer voice calls by paying an additional Rs1,658 crore for a pan-India licence.

The move is likely to be of immediate benefit only to RIL, which is the only company with nationwide fourth-generation (4G) broadband licences. Bharti Airtel has launched 4G services, but in a limited manner.

"The ISP (internet service provider) licence holders who have broadband wireless access (4G) spectrum can provide voice services using the same frequencies if they pay the additional fee," Telecom Commission chairman and telecom secretary R Chandrashekhar told reporters, adding the framework for the new licence regime would be ready by March.

These companies will be allowed to offer all forms of communication services after migrating to a so-called unified licence, which aims to dismantle barriers between various types of communication services.

The Association of Unified Service Providers of India (AUSPI), the body representing firms with CDMA services and dual licences, such as Anil Ambani's Reliance Communications and Tata Teleservices, slammed the move.