TRAI just a while ago released draft recommendations on how to boost the growth of Value Added Services – VAS market in Mobile telephony. From the current 10% levels, the VAS revenues are expected to reach 30% in the next 5-7 years. The key recommendations are as follows,
- No separate category license for VAS
- VAS Providers or Content Aggregators, who wish to have common short code allotted by DoT will be registered as Other Service Provider. DoT may impose the concept of fees for allocation of common short codes – CSC.
- Telecom Operators should be able to provide fair access to telecom infrastructure to independent content providers and maintain transparency in their management information system relating to value added services. Reconciliation of MIS and access should be part of the negotiations between the two parties on mutually agreed terms. [ TRAI should have had some straight forward terms favoring content producers or OSPs, in my view, rather than leaving it to the negotiating table ]
- On-Deck Model by mutual negotiations and publication of charges for Off-Deck Model
The DoT and TRAI are locked in a battle for supremacy and DoT has written to the Cabinet Committee to direct TRAI to just provide views and try not to enforce them. It is likely that DoT will have its own rules.