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Voice services: RIL says it did not get any favor from government
TT Correspondent |  |  08 Mar 2013

Mukesh Ambani controlled Reliance Industries Ltd (RIL) has rubbish the charges made by Industry lobby Cellular Operators Association of India (COAI) that the company got undue favors from the government which allowed permission to offer voice services.

COAI had criticized the government for favoring Reliance Industries by allowing 4G operators with ISP licences to offer voice services. They can do so after paying Rs 1,650 crore to the government.

Currently 4G operators can only offer non-voice services. The decision will now be approved by the telecom mister. 4G is a successor to the 3G and 2G families and is expected to be five times quicker than the 3G services in the country.

Terming the charges misleading and frivolous RIL in a letter to Department of Telecommunications (DoT) secretary R Chandrashekhar, said that COAI is attempting to block the implementation of unified licensing regime with a hidden intention of getting the UAS licences of their association members, which are bundled with the spectrum, extended for another ten years without paying any charge to the government

Lashing out at  COAI the letter went on to say that the telecom lobby  has two main motives – “One, it wants to maintain monopoly of its members over the voice market so that they can increase prices. Two, it wants to delay implementation of the new licensing regime so that its members can continue services without paying market prices for spectrum”.

RIL said that the exit of competition from the cellular market has been exploited by incumbents to increase the tariff arbitrarily to the huge disadvantage of the consumers at large. In our opinion, the current unfolding of events clearly show that incumbent cellular operators and their association, COAI, are scared of the new competition," according to the letter written by Reliance Jio Infocomm Ltd (RJIL).

Meanwhile as reported by Economic Times the government has also denied favoring RIL saying it was on the recommendations of Trai and the telecom commission that the decision to allow 4G spectrum winners to offer voice services was taken.

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08 Mar 2013(IST)  
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