20 July, 2017
Clarification on Direct Carrier Billing for Digital Content
On March 23, 2017, the Department of Telecommunications (“DoT ”) has clarified, that mobile subscribers are permitted to download all paid digital content (such as e-books, applications, etc.) through their mobile phones, and make payments for such content using pre-paid account balance or post-paid bill payment methodology.
The DoT has prescribed that the maximum value of such payments will be . 20,000 (approx. US$ 310) per transaction. Further, the DoT has also clarified that such purchase of digital content will not be treated as a pass-through revenue for the purpose of computing the adjusted gross revenue for licence fee and spectrum usage charge.
Amendment to the Unified Licence Agreement
The DoT has, by way of notification dated June 23, 2017, amended the unified license in respect of the ‘Technical and Operating Conditions’ for ASP . Pursuant to the amendment, the Telecom Service Provider (‘TSPs ’) can deploy any of its equipments anywhere in India (whereas earlier the TSP s could only deploy the IP based Next Generation Network, Media Gateway Controller, Soft Switch: (i) within the geographical boundaries of any of the authorised service area, provided the TSP had Access Services authorisation, or (ii) anywhere in India, if the TSP s had authorisation for National Long Distance (‘NLD ’)/International Long Distance (‘ILD ’) service), subject to interconnection points being located and operated in the service areas for inter operator, inter service area, NLD and ILD calls and meeting security conditions as mentioned in the licence. Further, the amendment has also deleted the requirement to intimate the DoT of the commissioning of the abovementioned equipment.
For further information, please contact:
Zia Mody, Partner, AZB & Partners
zia.mody@azbpartners.com
