Mobile-to-mobile incoming made free for GSM subscribers

Mumbai: A day after the cellular industry’s request for a non-discriminatory and cost-based interconnection was received by the India government, and based on the assurance of a fair-and-just regime, the cellular industry has announced free incoming calls for GSM mobile subscribers, made from any other GSM mobile subscriber. This benefit will be available through a package to all categories of subscribers — prepaid and postpaid.

This is a major step in bringing further affordability to the cellular industry, which will immediately benefit over 10 million cellular subscribers and potential users, who are expected to join the GSM mobile network. This would further reduce mobile tariffs, which are already among the lowest in the world.

The cellular industry reiterated that they are in a position to match, even better WLL(M) tariffs, if their request for identical license conditions and terms with regards to entry fee, interconnection and other issues were adequately addressed. For now, the industry eagerly awaits a fair and cost-based interconnect regime (IUC), which would allow them to further reduce tariffs, as promised.

The cellular industry had promised that they are in a position to lower tariffs based on a satisfactory resolution of interconnection issues and level-playing field matters that have been pending with the Telecom Regulatory Authority of India (TRAI) for over two years. This announcement has been possible due to the assurance of an imminent ruling by TRAI, of a just and fair interconnect usage charge regime (IUC). The industry expects that consistent with TRAI’s own principles, the interconnect regime will be cost-based and non-discriminatory.

The cellular industry is in the process of upgrading its networks and billing systems to ensure a smooth transition to the new system of mobile-to-mobile (M2M) incoming free. This process could take up to a week in some service areas. Consequently, it was agreed that the subscribers would transition from the current regime to M2M incoming free between now and February 2003. Hence the launch date in different markets would be communicated individually by respective operators.

More than two years ago, in November 2000, the industry had approached TRAI, during the consultation on WLL(M), seeking a non-discriminatory and equitable interconnect regime and identical license conditions, which would facilitate parity in the tariffs between GSM cellular and WLL(M) tariffs.

WLL(M) is on a ‘calling party pays’ regime as far as calls from cellular mobile to WLL(M) subscribers are concerned. The industry is hopeful that TRAI will provide the much-needed parity for calls between GSM subscribers and WLL(M) subscribers, and also between calls originating on a GSM or WLL(M) network made to any fixed line network, as far as interconnection is concerned.

In fact, the major difference of tariffs between WLL(M) and GSM mobile was on account of the entry fee differential, where the cellular industry has paid approximately Rs 9,000 crore in comparison to fixed line operators, who have been allowed within their FSP license to provide WLL(M) services, free — without having to pay any entry fee for offering mobility.

This is at the heart of the level-playing field issue, included in the matter, which is currently under challenge in TDSAT, after the Supreme Court had remanded it back for a comprehensive review, on account of legality, permissibility, violation of TRAI Act, due process and contractual rights of CMSPs in the provisioning of WLL (M) service.