Paytm and Zerodha are among 129 startups whose founders have written to the Telecom Regulatory Authority of India (TRAI) requesting it to strengthen the net neutrality principles that it outlined in 2016.
Renowned signatories
Authors of the letter include Paytm’s Vijay Shekhar Sharma, PhonePe’s Sameer Nigam, Zerodha’s Nithin Kamath, Razorpay’s Harshil Mathur, and People Group’s Anupam Mittal.
The letter was also signed by Rohan Verma of Mappls, Murugavel Janakiraman of Bharat Matrimony, Shreyas Srinivasan of PayTM Insider, Ritesh Malik and others.
Net neutrality: The basic idea
Net neutrality refers to the idea that internet service providers (ISPs) and telecom companies should treat all online traffic equally, which is how the online domain worked since its creation.
They may not discriminate or favor specific websites, applications, or online services.
Context
The letter is in response to suggestions made by Reliance Jio, Bharti Airtel, and Vodafone Idea that internet companies should pay them for telecom network costs based on the traffic these platforms generate and other such parameters.
Critics opine that this proposal can dilute net neutrality principles and that it may drive smaller players out of the market, limit user choice, etc.
Additionally, this could lead to the creation of an uneven playing field in favor of deep-pocketed tech giants, and stifling entrepreneurial spirit.
Harming freedom of choice and innovation
“Net neutrality is key to protecting consumer’s freedom of choice and continued innovation in the Indian internet sector.
If telecom companies are allowed to charge Internet companies based on how popular their app is, it will skew the Indian Internet market even more in favour of large, deeper-pocketed tech platforms,” PhonePe’s Sameer Nigam said.
Innovation over money
“Big players with the capacity to absorb additional costs for long periods of time will squeeze out smaller competitors and startups.
The Internet has been so transformative to humanity precisely because product innovation, not capital, has determined the market winners.
This is why net neutrality is worth preserving at all costs,” he added.
Harming entrepreneurship and competition
People Group’s Anupam Mittal said, “Net neutrality is the fundamental premise around which the Internet has been built leading to countless entrepreneurs, companies, and disruptors in almost every industry.”
“In my view, there is no such thing as ‘selective net neutrality’. Once you start to go down this path, it becomes a very slippery slope that can significantly compromise a country’s entrepreneurial & competitive capabilities. Ergo, I am backing this campaign and net neutrality.”
The letter in question
The letter addressed to PD Vaghela, chairman of TRAI and Akhilesh Kumar Trievdy, advisor in TRAI, said, “In context of the recent demands of the TSPs and its implications for the economy, we urge TRAI to further strengthen the principles in the 2016 regulations, rather than dilute it.”
“As a key representative of the Indian economy and internet innovation ecosystem, we are writing to urge the Authority to continue their support for Net Neutrality principles and caution against any move towards overregulation of internet services being described as Over-The-Top (“OTT”) services, which may have discriminatory consequences,” it read further.
Public support
The letter has been composed under the banner of Save the Internet, a campaign which was first launched in 2015 when a similar debate over net neutrality had erupted.
The campaign, then too, had received widespread support from regular citizens who sent letters in troves to the TRAI urging it to rule in favour of net neutrality.
TRAI to hear on the matter
In 2016, TRAI issued regulations that upheld the principles of net neutrality.
It is accepting counter comments for its OTT consultation paper till September 29 and the letter in focus is part of this consultation process, following which it is expected to come out with its recommendations.
