The Telecom Regulatory Authority of India (TRAI) on Monday barred telecom service providers from charging differential rates for data services, effectively prohibiting Facebook's Free Basics and Airtel Zero platform by Airtel in their current form.
1. No service provider can offer or charge discriminatory tariffs for data services on the basis of content.
2. No service provider shall enter into any arrangement, agreement or contract, by whatever name called, with any person, natural or legal, that the effect of discriminatory tariffs for data services being offered or charged by the service provider for the purpose of evading the prohibition in this regulation.
3. Reduced tariff for accessing or providing emergency services, or at times of public emergency has been permitted.
4. Financial disincentives for contravention of the regulation have also been specified
5. TRAI may review these regulations after a period of two years.
The regulator and Facebook have been at loggerheads over the issue with the authority terming the social networking giant's attempt to lobby for its Free Basics initiative a "crude" attempt at turning the consultation over differential pricing of data services into an "orchestrated opinion poll" on Free Basics. Facebook had partnered with Reliance Communications in India to offer Free Basics service. However, the services were put in abeyance, post a TRAI order to this effect.
