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DCIP Authorization -Telcos can monetize assets by sharing with other operators

In its comments on TRAI’s Introduction of Digital Connectivity Infrastructure Provider (DCIP) Authorization under Unified License (UL), Consumer Protection Association, Himmatnagar, Gujarat, says. “Digital connectivity infrastructure providers likely result in increased common sharable DCI and network resources, reduction of cost, attract investments, strengthen the service delivery segment, and can also prove to be catalysts in the proliferation of 5G services for industry 4.0, enterprise segment, and various other use cases. This will encourage new entrants who would seek investments in this sector. This will also allow existing telecom operators to restructure or demerge their active infrastructure undertakings and monetize these assets by sharing it with other operators without incurring license fees on those revenues while also attracting substantial investments in the demerged entity. All such efforts would optimize the use of resources, enabling telecom service providers to divert their capital into infrastructure upgradation and network expansion, opening even more avenues for investments.

This will encourage the new entrant who would seek investments in this sector. This will also allow existing telecom operators to restructure or demerge their active infrastructure undertakings and monetize these assets by sharing it with other operators-without incurring license fee on those revenues while also attracting substantial investments in the demerged entity. All such efforts would optimize the use of resources, enabling telecom service providers to divert their capital into infrastructure upgradation and network expansion, opening even more avenues for investments.

This is likely to result in increased common sharable DCI and network resources, reduction of cost, attract investment, strengthen the service delivery segment, and can also prove to be catalyst in proliferation of 5G services for Industry 4.0, enterprise segment and various other use cases.

One other aspect on which we see “big tech”, “big data” and many other industry players (especially those dealing with high volumes of data traffic) voicing their preference is for a freer framework allowing the autonomy and direct control over the ICT infrastructure, including for captive use. Presently these entities remain dependent on “Licensed” or “Registered” service providers (burdened by heavy compliance and/or license fees) to commercially own, operate or provide different categories of infrastructure and services.

A simplified regime may also provide a boost to investment in this sector and enable smaller payers and startups to trade in this industry 4.0’. Going by the current trend of TRAI and Governments efforts to boost the telecom sector and reduce the barriers for potential market entrants, we envisage the industry can expect a favourable outcome.”

For complete comments,
https://www.trai.gov.in/sites/default/files/
Consumer%20Protection%20Association_10042023.pdf

CT Bureau

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