The Hindu Business Line : Bar on remote access irks global telecom cos

Contentious issues
Telecom operators barred from remote access
Domestic traffic cannot be hauled outside India
Information relating to operators' network, subscribers or accounts cannot be shared with foreign partners

New Delhi , Oct. 2

The inter-ministerial group on telecom will have a tough time resolving the issues related to Press Note 5 due to sharp differences between various stakeholders.

The primary bone of contention is the provision in the Press Note 5, which bars telecom operators from remote access. Remote access enables operators to access their telecom network in India from a location outside the country.

Security worries

While international operators such as AT&T, British Telecom, which have expressed interest in starting long distance telephone services in India, are in favour of getting remote access, the Defence Ministry has opposed it on security grounds. International operators say that not allowing remote access will put them at a commercially disadvantageous position compared to Indian operators, as they will have to set up a Network Operations Centre (NOC) exclusively for the Indian market at a cost of $20-30 million.

International operators have also pointed out that no such restrictions are applicable on Indian telecom operators when they offer services in other countries. On the other hand the security agencies have raised objections to allowing remote access as it fears that it will make India's communication accessible to foreign intelligence agencies. International operators have, however, pointed out that remote access is allowed under the existing telecom policy so a turn around would hurt their business case.

The other issue that is being fought over is the provision that bars operators from hauling domestic traffic outside India. For instance, if a Yahoo user in Delhi sends an e-mail to his friend in Mumbai, the traffic may be routed through the Yahoo's servers in the US. The provision does not however permit this.

Telecom operators have said that while it was alright to bar domestic voice calls based on traditional circuit switch network (fixed line and cellular) from going out of the country, it was technically impossible to restrict Internet traffic within India since the Web was a global system.

The Department of Telecom has recognised the difficulty in implementing this and therefore sought to relax the provision, which has been objected to by the security agencies.

Other issues

The third issue of concern is the provision that bars operators from sharing information related to their network, subscribers or accounts with foreign partners. Nasscom has objected to this, as it would have an impact on the booming BPO and ITeS sector. Operators said that multinational companies with presence in India ask for details of the network and information regarding traffic before they take telecom services such as leased lines or closed user group functions from the service providers.

Press Note 5 does not allow the operator to share such information with their customers which, telecom service providers said, is crucial for making business deals.

Finally, there is also the issue of not allowing foreigners to take key positions in Indian telcos. Companies such as Tata Teleservices, which has a foreigner as its CEO, have objected to this provision.

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