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Congratulations! TRAI Bans Differential Pricing; Rules In Favour Of Net Neutrality.

byStorypickers
8th February 2016
2 minute read

The long battle between Net Neutrality and Facebook’s Free Basics has been put out after TRAI (Telecom Regulatory Authority of India) ruled in favour of Net Neutrality.

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According to TRAI, allowing service providers to charge differently for different services or data usage could “compromise the entire architecture of the internet”.  In addition to that, TRAI has also prohibited the launch of any new data plans or vouchers.

 

TRAI, in a statement, said, “No service provider shall enter into any arrangement or contract that has the effect of discriminatory tariffs for data services”.

They also added, “Prohibition of discriminatory tariff is necessary to ensure that service providers continue to fulfill obligations in keeping internet open and non-discriminatory”.

 

The regulations will be implemented on immediately and TRAI has also said that if violated, companies might have to pay fines starting from Rs.50,000 to a disincentive of Rs. 50 lakhs.

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Yes, that means Airtel’s Zero and Facebook’s Free Basics will not be allowed!

 

Based on all the 24 lakh responses TRAI received in December over their Consultation Paper on ‘Differential Pricing for Data Services’, it has issued the following mandatory regulations:

a.) No service provider shall offer or charge discriminatory tariffs for data services on the basis of content.

b.) No service provider shall enter into any arrangement, agreement or contract, by whatever name called, with any person, natural or legal, that has 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.

c.) Reduced tariff for accessing or providing emergency services, or at times of public emergency has been permitted.

d.) Financial disincentives for contravention of the regulation have also been specified.

 

Twitter is already abuzz with the victorious verdict

 

In case you’re still figuring out, why this is such a huge blow to Facebook, they have spent a whopping Rs. 300 crores to advertise for and encourage people to sign up for their Free Basics.

TRAI Chairman RS Sharma added, “Anything on the internet cannot be differentially priced.”

Awesome work TRAI.
We #SavedTheInternet

News Sources: Moneycontrol, Next Big What
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