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A STUDY ON THE IMPACT OF TELECOMMUNICATIONS

REGULATION ON THE DEVELOPMENT OF DIGITAL


INFRASTRUCTURE IN INDIA

-AINA VAISH
RESEARCH OBJECTIVE
·To examine the role of telecommunications regulation in
shaping investment decisions by domestic and foreign
players in the sector.

·To explore the role of regulatory policies in fostering


innovation in the telecommunications sector, including the
development of new technologies and services

·-To identify the challenges faced by regulators in


balancing the interests of various stakeholders, including
consumers, service providers, and government agencies

-To offer recommendations for policymakers on how to


optimize the impact of regulatory policies on digital
infrastructure development and ensure that the benefits of
the digital economy are widely shared across India's
population
FINDING
The telecom sector is a very CAPITAL-INTENSIVE sector and requires large
investments. The telecom licenses permit the telecom operators to share
passive infrastructure such as BUILDINGS, TOWERS, dark fibre, etc. However
the procurement and maintenance of active infrastructure PROVE to be a very
expensive With the robust growth in the telecom sector, the government
recognized that infrastructure sharing would greatly reduce costs for the
operators. The DoT accepted TRAI’s recommendations and issued Guidelines
on sharing of Infrastructure Sharing of “passive” infrastructure viz., building,
tower, dark fiber, duct space, etc. between licensees is permitted for Access
Services. However, sharing of active infrastructure amongst licensees shall be
governed by the license conditions/amendments issued by the DoT. Similarly,
ISPs, NLD and ILD authorization holders, new entrants who are allotted
spectrum by the WPC can easily launch their telecom services within a short
period by taking the assistance of the existing active infrastructure of other
telecom service providers AND will not have to incur huge infrastructural
costs. Over the years, Bharti Airtel had made huge investments to create the
cellular infrastructure across the country. Soon it hived off its mobile tower
business into a separate subsidiary to become a major player in the tower
sharing business. Another major player, Reliance Communication (RCom), has
already hived off its tower business into a separate subsidiary. With increasing
operational and infrastructure costs, many telcos are now joining hands to
share their existing infrastructur
The role of telecommunications regulation in shaping
investment decisions by domestic and foreign players in the
sector is a critical objective of a study on the impact of
telecommunications regulation on the development of digital
infrastructure in India.
Regulatory policies, including licensing requirements, spectrum
allocation, and pricing frameworks, can have a significant impact
on the investment decisions of telecommunications companies.
Domestic and foreign players in the sector may consider
regulatory policies when making decisions about where to invest,
how much to invest, and what types of services to offer. For
example, if regulatory policies create barriers to entry, such as
high licensing fees or limited spectrum availability, this may deter
new market entrants and limit competition By examining the role
of telecommunications regulation in shaping investment decisions,
a study can provide valuable insights into the factors that drive
investment in the sector and how regulatory policies can be
optimized to promote greater investment and growth in digital
infrastructure. This can inform policymakers in India as they
consider regulatory reforms and seek to promote the
development of a robust and innovative telecommunications
sector
CHALLENGES
India is planning to move towards a digital economy where 90% have no
knowledge about how to use or activate a smart phone properly. More
than half of phones andthe infrastructure developmentis very slow.
Digital illiterate has led to corruption in the digital economy sector. We
have a poor cyber security. we lack professional trainer in this security
who can protect our data. Our data is very vulnerable which acts as a
hurdle in the use of Internet smoothly. Moreoverwe have a very
limitedspectrum availability. Fluctuations in the duties on Telecom
Equipment. We have an issue of tower. In all areas and location we don’t
get access to internet or there is lack of tower in the region especially in
the village areas and in few urban places also. We have a low broadband
penetration which is a major concern which is just 7 % and there is also a
decline in average revenue per user. Only 25 % of the towers are
connected with Fibre networks and in order to connect 5 G network we
require very high speed systems whichis the resultof lack offixed line
penetrations

RECOMMEDATION
ENCOURAGE COMPETITION
FOSTER COLLABORATION
STREAMLINE REGULATIONS
FOCUS ON RURAL AREAS
PROMOTE INNOVATION
INCREASE INVESTMENT
FOSTER DIGITAL LITERACY
ADDRESS REGULATORY CHALLENGES
IMPROVE DATA PRIVACY AND SECURITY
CONCLUSION
India’s smartphone market is the 2nd largest and the most POCKET-
FRIENDLY Internet use facilitates with more than 500 million people
using Internet on a daily basis. India has developed many schemes for
the promotion and development of the telecommunication industry.
Without THE Internet 99% of our activities in life come stop. India has
developed over the years in moving mobile services and internet
services to its people with Jio dominating the industry and it has
emerged as the THIRD-LARGEST mobile operator in the world. Airtel
and Jio are the two competitive service providers in the market
followed by Vi and BSNL. INDIA'S telecom industry needs to DEVELOP
AND provide better infrastructure for rural connectivity tower facilities
fibre network connection needs to be improved and people should be
provided with digital literacy to foster the sector and empower India
digitally. g
THANK YOU

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