COAI Proposes Resolution Models in White Paper on Large Traffic Generating Platforms

Cellular Operators Association of India (COAI) has been vocal representing Telecom Service Providers (TSPs) who have been urging for a fair share from LTGs (Large Traffic Generators), given the escalating infrastructure expenses and increasing costs of network deployment and maintenance by the TSPs. COAI has released a white paper today addressing the issue of fair sharing of costs by LTGs in the telecom sector.

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Also Read: COAI Highlights 2023 Year-End Perspective for Indian Telecom

LTG Contribution

Commenting on the launch of White Paper, Lt. Gen. Dr. S P Kochhar, Director General of COAI said, “The debate on whether the Large Traffic Generating (LTG) platforms/applications – which put a disproportionate amount of data traffic on the networks – should contribute towards the associated network costs, is a prevalent topic across the world today, including India.”

“While these LTGs consume a significant portion of internet bandwidth, leading to increased network costs for operators, they currently pay no direct fees for utilising this infrastructure. This disparity hinders the operators’ ability to invest in network upgrades and expansion such as launch of 5G services in India – ultimately impacting service quality for consumers.”

COAI’s Consumer-Centric Approach

“Against the misconceived suggestions by the LTG advocates to the Telecom Service Providers (TSPs) to raise consumer tariffs to recover the network expenses for the sector’s sustainability, the telcos have adopted a clear, unambiguous and consumer-centric approach, not to burden the end-user for the purpose.”

S. P. Kochhar said that instead, a more practical approach, using statistics and facts to arrive at conclusions logically, has now been adopted through a White Paper titled “Addressing Rising Data Traffic and Associated Infrastructure Costs in Indian Telecom.” According to COAI, this paper studies the emerging scenario, the significance of responsible sharing of infrastructure development, maintenance and upgradation costs, and brings out the need for contribution by different stakeholders.