The National Telecom Policy 2012 has paved the way for Resale of mobile services.
This will be a landmark decision by the Telecommunication Minister Kapil Sabil since the previous NTPs - in 1994, 1999 and 2004 - did not consider resale.
NTP 2012 will facilitate resale at service level - both wholesale and retail - especially keeping in mind the need for robust competition at the consumer end while ensuring due compliance with security and other license related obligations.
This will be a strategic move for operators who are facing pressure to improve profitability from voice services.
The policy will also assist the telecom ministry to achieve rural teledensity targets. The government is looking at increasing rural teledensity from 39 to 70 by the year 2017 and 100 by the year 2020.
Times of India in 2011 reported that resale raises competition issues including the abuse of market power as well as anti-competitive practices by those operators, who are vertically integrated across multiple services, own networks, and provide service.
The policy allows telecom operators to gain from resale of services. This will help in expanding the reach of their services. Will operators take up this as an additional revenue stream?
This will be a landmark decision by the Telecommunication Minister Kapil Sabil since the previous NTPs - in 1994, 1999 and 2004 - did not consider resale.
NTP 2012 will facilitate resale at service level - both wholesale and retail - especially keeping in mind the need for robust competition at the consumer end while ensuring due compliance with security and other license related obligations.
This will be a strategic move for operators who are facing pressure to improve profitability from voice services.
The policy will also assist the telecom ministry to achieve rural teledensity targets. The government is looking at increasing rural teledensity from 39 to 70 by the year 2017 and 100 by the year 2020.
Times of India in 2011 reported that resale raises competition issues including the abuse of market power as well as anti-competitive practices by those operators, who are vertically integrated across multiple services, own networks, and provide service.
The policy allows telecom operators to gain from resale of services. This will help in expanding the reach of their services. Will operators take up this as an additional revenue stream?