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This is an archive article published on January 16, 1998

Pvt internet players free to fix tariffs

NEW DELHI, January 15: The government today announced a three-tier licence agreement and eligibility criteria for private internet service p...

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NEW DELHI, January 15: The government today announced a three-tier licence agreement and eligibility criteria for private internet service providers (ISPs) and also allowed them freedom to fix tariff subject to the TRAI’s directions. The TRAI would be free to intervene to review or fix a tariff which would then be binding on all licencees.

An official statement issued by the Department of Telecommunications (DoT) here said that direct interconnectivity between two separately licensed ISPs has been permitted. However, voice over internet has been declared illegal.

So far as international traffic flow is concerned, the

DoT has clarified that this would be allowed only through DoT’s internet node – DoT’s Internet Access Services (DIAS) or Videsh Sanchar Nigam’s (VSNL) Gateway Internet Access Services (GIAS). Any company registered under the Companies Act of 1956 would be eligible to provide internet service, though foreign equity would be restricted to 49 per cent.

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