TRAI has fined the three prominent cellular network providers namely, Airtel, Vodafone and Idea for not providing enough points of interconnections (PoI) to Reliance Jio. TRAI also stated that all these three network providers tried to use their power in a bad manner in order to clear stiff competition.

In-Depth Analysis

The Telecom Regulatory Authority of India (TRAI) is an independent regulatory body established to keep a check over the telecommunications industry running in India. It came under working in 1977 under the Telecom Regulatory Authority of India Act 1997.

Now, the same has fined all the three prominent cellular network providers of India namely Airtel, Vodafone and Idea for not providing enough points of interconnections (PoI) to the new enterer in the game namely, Reliance Jio.

Airtel, Vodafone, Idea fined by TRAI for JIO’s Interconnection Point Loss

TRAI has also stated that all of the three operators showed “ulterior motive to stifle competition”. According to the watchdog it has recommended a penal regulatory fine of Rs 50 Crore per license service area (LSA) (except Jammu & Kashmir) where PoI congestion appeared to be exceeding than the allowed extend limit of 0.5 per cent as reported by Airtel/Vodafone/Idea Cellular through emails as on September 23.

So all those fines as per Rs. 50 Crore per license sum up to 21 LSAs, amounting to Rs 1050 Crore to both of the Airtel and Vodafone whereas for Idea it is much lesser amounting to Rs 950 crore for 19 LSAs.

TRAI fined Airtel, Vodafone and Indea

To recall previously it was in news that Reliance JIO had complained to TRAI about the same problem and on July 14 it mailed the watchdog for same stating that the incumbent players do not provide it with sufficient interconnection points.

When TRAI talked to all of the 3 network operators it didn’t found out anything against Reliance JIO and finally took a decision on JIO’s side and fined all the three incumbent cellular network players.

According to the regulator the incumbent operators were in “non-compliance of the terms and conditions of license and denial of interconnection to Reliance Jio appears to be with ulterior motive to stifle competition and is anti-consumer.”

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