Infrastructure Sharing _Telecom

Embed Size (px)

Citation preview

  • 8/8/2019 Infrastructure Sharing _Telecom

    1/44

    1

    InfrastructureSharing:InfrastructureSharing:

    CaseStudyIndiaCaseStudyIndia

    ITU ASP COE Workshopon

    Infrastructure Sharing

    31 August -3 September 2010Bangkok, Thailand

    ITU ASP COE WorkshopITU ASP COE Workshoponon

    Infrastructure SharingInfrastructure Sharing

    31 August31 August --3 September 20103 September 2010Bangkok, ThailandBangkok, Thailand

    RakeshKumarGujral,DeputyAdvisorTelecomRegulatoryAuthorityofIndia

  • 8/8/2019 Infrastructure Sharing _Telecom

    2/44

    Overview

    Overview

    2

    Overview

    BriefonIndianTelecomIndustry

    Infrastructure

    Sharing:

    Need

    &

    Scope

    InfrastructureSharinginpractice

    Policyand

    Regulatory

    initiatives

    PresentStatus

    Conclusions

  • 8/8/2019 Infrastructure Sharing _Telecom

    3/44

    Ind

    ianTelecomS

    cenario

    (June

    10)

    3

    SnapshotIndia

    Population 1.17billion1.17billion

    3.28millionSq.3.28millionSq.KmsKms

    671.69million671.69million

    56.83%56.83%

    36.18million36.18million

    635.51million635.51million

    17.98million17.98million

    9.45million9.45million

    Teledensity

    Fixedline

    subscriber

    Wirelesssubscriber

    Monthlymobileadditions

    Geographicalarea

    Telecomsubscribers

    Broadbandsubscribers

  • 8/8/2019 Infrastructure Sharing _Telecom

    4/44

    Telecom

    Licens

    ingFra

    mework

    4

    LicensingFramework

    India is divided into 22 Service

    Areas/Circles

    Access Providers licensed on thebasisofCircles

    Inter Circle calls to be routedthrough National Long Distance

    Operator.

    International Calls to be routedthrough International Long

    Distance

    Operator

    (ILDO)

    directly

    orindirectlythroughNLDO

    METRO Circles

    Gujarat

    Rajasthan

    MaharashtraOrissa

    Andhra

    Pradesh

    Karnataka

    Tamil

    NaduKerala

    Madhya

    Pradesh

    Uttar

    Pradesh E

    Bihar

    West

    Bengal

    Punjab

    Himachal

    Pradesh

    Haryana

    Jammu &

    Kashmir

    Uttar

    Prade

    sh W

    CHENNAI

    MUMBAI

    DELHI

    KOLKATA

    C Circles

    B Circles

    A Circles

  • 8/8/2019 Infrastructure Sharing _Telecom

    5/44

    TelecomLi

    censingFramework(Con

    td.)

    5

    Licensor

    DeptofTelecom

    UnifiedAccessService

    Basic Service

    InternetService

    Provider

    NationalLongDistance

    InternationalLongDistance

    Regulator

    TelecomRegulatory

    AuthorityofIndia

    Judiciary

    TelecomDispute

    SettlementAppellate

    Tribunal

    MainTelecom

    Licence

    Cellular Mobile

  • 8/8/2019 Infrastructure Sharing _Telecom

    6/44

    TelecomLic

    ensing

    Framework(Contd.)

    6

    Licence TelecomServicesProvided No.ofLicencees

    BasicService Wireline Telephony,

    WLL

    2

    CellularMobileTelecomService

    WirelessTelephony38

    UnifiedAccess

    Service

    AccessserviceincludingWireline,Wireless

    Telephony,Internetaccessservices,Triple

    PlayincludingIPTV

    240

    NationalLong

    Distance

    DomesticLongDistanceservice,IPVPN,

    DomesticLeasedCircuits

    29

    International

    LongDistance

    InternationalLongDistanceservice,IPVPN,

    IPLC 24

    InternetService

    Provider

    InternetAccessService,RestrictedInternettelephony 373

  • 8/8/2019 Infrastructure Sharing _Telecom

    7/44

    TelecomLicensingFramework(Con

    td.)

    7

    InfrastructureProvider

    Aug. 2000Aug. 2000

    IP-IIP-IIP-IIIP-II

    can provide assetssuch as Dark Fibre,Right of Way, Ductspace & Tower

    Permission through

    simple registration

    No License Fee

    100% FDI

    Scope Enhanced(March 2009)

    Can create activeinfrastructure, ifcreated on behalf

    of licencee

    can lease / rent out/sell end to end

    bandwidth

    Indian registeredcompanies are eligibleto apply

    74% FDI

    Issuance discontinued(Dec 2005)

    NLD entry fee reduced(Rs.1 billion to Rs 25 Mn)

    NLD Licence fee reduced(15% to 6% of AGR)

    IP-II allowed to migrateto NLD

  • 8/8/2019 Infrastructure Sharing _Telecom

    8/44

    TariffsandIUC

    8

    Tariffs

    Regulatedintheinitialdays.

    Afteremergenceofcompetitionbrought under forbearance except roaming, leased circuits and

    ruralfixedline.

    InterconnectionUsageCharges

    InterconnectionUsagecharges(IUC)werespecifiedbyTRAIfor

    interoperator

    payments.

    GovernedbyIUCRegulations. Recent amendment dated 9th March 2009 (effective from

    01.04.2009)

  • 8/8/2019 Infrastructure Sharing _Telecom

    9/44

    ExistingIUC

    9

    ExistingInterconnectionUsageCharge

    OriginationCharge UnderForbearance

    Uniformfor

    all

    types

    of

    domestic

    calls viz fixed

    to

    fixed,fixedtomobile,mobiletofixedandmobile

    tomobile.

    2020PaisePaise/minute(/minute(about4Cents/minute))

    Sameas

    2G

    voice

    calls

    40 paise perminute((about8Cents/minute))

    Ceilingof Rs 0.65perminute

    ((about13Cents/minute))

    UnderForbearance.

    Under forbearance. However, these charges

    should be transparent, reciprocal and non

    discriminatory.

    Termination charge for

    incoming international

    calls

    DomesticCarriagecharge

    International Carriage

    Charge

    TerminationCharge

    Terminationcharge

    for

    3G

    voicecalls

    IUCforSMS

  • 8/8/2019 Infrastructure Sharing _Telecom

    10/44

    ARPU&MOU

    10

    ARPU&MOU ofMobileServiceProviders (QEMarch2010)

    GSMSubscriber 82%

    18%

    INR131INR131

    (about2.79

    USD)

    INR76INR76

    (about1.62USD)

    410Minute410

    Minute

    307Minute307Minute

    AverageRevenuePerUser(ARPU)CDMA

    Minutes

    of

    Usage

    (MOU)

    GSM

    CDMASubscribers

    AverageRevenuePerUser(ARPU)GSM

    MinutesofUsage(MOU)CDMA

  • 8/8/2019 Infrastructure Sharing _Telecom

    11/44

    Mobile

    Network

    11

    ServiceProviderwisemarketshareofWirelessservices(Ason

    30.06.2010)

  • 8/8/2019 Infrastructure Sharing _Telecom

    12/44

    N

    eedforInfrastructure

    Sharin

    g

    12

    :

    Infrastructure

    Sharing

    The

    answer

    is

    Explosivemobilesubscribergrowth requires:

    NewInfrastructureliketowersetc

    Additionalspaceforhostingoftowers

    Additionalspectrum

    Moreinterconnection.

    Disturbesthetic

    of

    Cities

    Disturb

    esthetic

    of

    Cities

    Underserved areas coverage

    Infrastructure creation requires huge capital expenditure

  • 8/8/2019 Infrastructure Sharing _Telecom

    13/44

  • 8/8/2019 Infrastructure Sharing _Telecom

    14/44

    In

    frastructureSh

    aringinPractice

    14

    Infrastructure

    Sharing

    Modes

    Passive Mobile N/w(e.g. Tower)

    Domestic LeasedCircuits

    Collocation

    Fiber

    Spectrum

    Active Mobile N/w(Excluding Spectrum)

    Cable Landing

    Station

    Internet Exchange

    IN Platform

    National & Intra CircleRoaming

    Copper

  • 8/8/2019 Infrastructure Sharing _Telecom

    15/44

    SharingofCoppe

    r

    15

    SharingofCopper(Localloop)

    Subscribers in Million ason 31st March of the Year

    41.54 4 0 .7 5 3 9 .4 2 37.96 36.9652.22

    98.77

    165.11

    261.07

    391.76

    584.32

    41.43

    2005 2006 2007 2008 2009 2010

    W i re li ne W i re le ss

    % Market share

    as on 30th June 2010

    Reliance

    3%

    Tata

    3%

    Shyam

    0.1%HFCL

    0.5%

    Bharti

    9%

    MTNL

    10%

    BSNL

    75%FixedWirelineMarket

    Historically been dominated by

    theincumbents.

    Growthwassteadyovertheyears

    untilaround

    2004.

    Thereafter, Fixed mobile

    substitution setting in, there has

    been

    negative

    growth

    in

    fixed

    line

    connections.

    SharingofCopper(LocalLoop)

    NotMandated

    LimitedAvailability

    of

    copper.

    The growth in Copper network is

    dismal.

  • 8/8/2019 Infrastructure Sharing _Telecom

    16/44

    Mobile

    Network

    16

    MobileNetwork

    Physical Sites

    BuildingsSheltersTowersPowerBattery

    backup

    PassiveInfrastructure

    PassiveInfrastructure Active

    Infrastructure

    Active

    Infrastructure

    IntermediateLinks

    betweenthe Core &

    Sub networks

    BackhaulBackhaul

    Antenna

    FeederCablesNode-B

    Tx. eqpmtSpectrum

  • 8/8/2019 Infrastructure Sharing _Telecom

    17/44

    MobileNetw

    ork(Contd..)

    17

    Passive Site Sharing: Operators acquire and rent a common site to hostthe Base Transceiver Station (BTS) space in shelter or transmissionroom, real estate space etc.

    Active Site Sharing: Operators agree to share active equipments suchas antenna systems, cables, filters, etc.A common site is acquired for the purpose of housing the operators

    individual Node B along with the use of common antennas and feeders,masts and cables.

    TRAIs recommendations to the licensor (DoT) on

  • 8/8/2019 Infrastructure Sharing _Telecom

    18/44

    TRAIsRecomm

    endation

    sof2007

    18

    TRAI s recommendations to the licensor (DoT) onInfrastructure Sharing (11 April 2007)

    Passiveinfrastructuresharingnotmandatedthoughencouraged.

    Active infrastructure sharing facilitated by modifying restrictiveclausesintheexistinglicenses.

    TRAI recommended that Access providers to be allowed

    toshare

    active

    infrastructure,

    limited

    to

    antenna,

    feeder

    cable, Node B, Radio Access network (RAN) andtransmissionsystemonly.

    SpectrumSharingwasnotrecommendedatthattime.

    Financial support for creation of infrastructure in rural and farflungareaswasrecommended.

    Use of non conventional energy sources in areas where electric

    powersupply

    is

    erratic

    should

    be

    encourage.

    RecommendationsacceptedbytheGovernment

    GuidelinesreleasedinApril2008

  • 8/8/2019 Infrastructure Sharing _Telecom

    19/44

    TowerShar

    ing

    PROJECTMOST

    Toencouragetowersharingamongtheoperators,Govt.of India initiatedprojectMobileOperatorSharedTower(MOST) inMarch2006.

    FlagshipSight:DelhiHighcourt

    2RooftopTowersof15meterheight.

    FirstTower

    3OperatorSharing(GSM) Airtel,Hutch &Idea

    SingleTowersupporting9GSM&3Microwaveantenna.

    SecondTower

    3Operators

    Sharing

    (1

    GSM

    +2CDMA)

    (MTNL,

    Reliance

    &

    TTSL)

  • 8/8/2019 Infrastructure Sharing _Telecom

    20/44

    TowerShar

    ing(Con

    td..)

    PROJECTMOST

    GroundBasedTowersof40Meterheight

    6OperatorSharing

    (4GSM

    +

    2

    CDMA)

    Airtel,

    Hutch,

    Idea,MTNL,Reliance&TTSL

    Single Tower supporting 12 GSM, 6CDMA&6MicrowaveAntennas

    TowerDesign

    Certified

    by

    IIT,

    Delhi

  • 8/8/2019 Infrastructure Sharing _Telecom

    21/44

    Tower

    Sharing Source: IDBI Bank

    Level of Tower Sharing

    Shared

    Towers

    60%

    Unshared

    Towers

    40%

    TowerSharing

    Estimated requirement of towers is0.5millionby2015.

    Tower infrastructure is increasingly

    becoming

    independent

    of

    telecomoperators.

    At present there are about 0.3millionTowers.

    About60%

    towers

    are

    being

    shared.

    AverageTenancyisabout1.5.

  • 8/8/2019 Infrastructure Sharing _Telecom

    22/44

    TowerShar

    ing(Con

    td..)

    22

    BusinessmodelsusedforTowerSharing

    Captive

    Towersareowned&operatedbytelecomoperators.

    Operator Controlled entity

    Operatorconsolidatestowerinfrastructure& Transfertoaseparateoperatorownedentity.

    (WTTIL,BhartiInfratel,RelianceInfratel)

    Pool and share

    Operatorsjointly

    set

    up

    an

    independent

    company.

    Eachoperatorcontributes infrastructure to thejoint entity orventure.Indus(Bharti,Vodafone,Idea)

    Build and operate

    Independent tower companies builds & manages towerinfrastructure.

    Leasedtooperatorsunderlongtermcontracts.(e.g. Quippo,ATC,Towervision)

    Tower camouflaged as a tree

  • 8/8/2019 Infrastructure Sharing _Telecom

    23/44

    InnovationsinTowerDesigning

    23

    Tower Tube

    The Wall Street JournalTechnology Innovation Award 2008

    Tower camouflaged as a tree

  • 8/8/2019 Infrastructure Sharing _Telecom

    24/44

    TowerShar

    ing(Con

    td..)

    24

    Increasedlevelofsharing:Issues

    Largeno.

    of

    antennas

    on

    atower:

    concern

    of

    radiation

    LoadBearingCapacity

    Installedontherooftop:Safetyissues

    PermissionfromLocalCivicAuthorities.

    Right of way (ROW) for tower installation and laying of backhaul

    network. PollutiongeneratedthroughDGsets.

    TRAI is in the process of issuing consultation paper on the

    aboveissues.

    Withthepriorpermissionofthelicensor

  • 8/8/2019 Infrastructure Sharing _Telecom

    25/44

    SpectrumSharin

    g

    25

    SharingofSpectrum

    Existinglicenseconditions

    donotallowSpectrum

    sharing.

    TRAIin

    its

    recommendationsdated

    11thMay2010

    reconsideredthisissue.

    TRAIrecommendedthat

    spectrumsharingbe

    allowed(limited

    to

    access

    spectrumonly),subjectto

    p p

    Permissionformax.5years.Norenewal.

    Inthesamelicence servicearea.

    Only between the parties so long as each of

    whomdoesnotholdmorethan4.4/2.5MHz

    ofspectrum(GSM/CDMA).

    Only

    if

    there

    are

    at

    least

    six

    operators

    in

    the

    LSA,postsharingarrangement.

    Not permitted among licensees having 3G

    spectrum.

    Leasingnotpermitted.

    Will deemed to be considered sharing theirentirespectrum,forthepurposeofcharging.

    Boththepartieswillpaytheproratedcurrentpriceforspectrumbeyond6.2/5MHz, intheratio

    of

    the

    spectrum

    held

    by

    them

    individually.

    Spectrum usage charges will be levied onboth,butonthetotalspectrumheldbyboththeoperatorstogether.

  • 8/8/2019 Infrastructure Sharing _Telecom

    26/44

    National

    Roaming

    26

    NationalRoaming

    Roaming: Ability for a cellular subscriber to make & receive calls

    and

    have

    access

    to

    services,

    when

    travelling

    outside

    the

    geographicalcoverage

    area

    of

    the

    home

    network

    by

    means

    of

    using

    avisitednetwork.

    When

    home

    network

    and

    visited

    network

    are

    both

    in

    the

    same

    country,itiscallednationalroaming.

    National roaming is relevant for India as the licences are serviceareawise.

    Roaming arrangements between the operators are on mutualagreementbasis.

    Ceilinghas

    been

    specified

    by

    TRAI

    for

    roaming

    tariffs.

    http://www.trai.gov.in/WriteReadData/trai/upload/TariffOrders/61/torder24jan07.pdf

    http://www.trai.gov.in/WriteReadData/trai/upload/TariffOrders/61/torder24jan07.pdfhttp://www.trai.gov.in/WriteReadData/trai/upload/TariffOrders/61/torder24jan07.pdf
  • 8/8/2019 Infrastructure Sharing _Telecom

    27/44

    IntraCircleRoaming

    27

    IntraCircleRoaming

    IntraCircle

    Roaming

    is

    permitted

    since

    June

    2008.

    Service providers can enter into commercial arrangementsfor intra circle roaming facilities with other licences

    CMTS/UASlicense.

    Serviceprovidersaremandatedto informLawenforcementagencies(LEA)abouttheirintracircleroamingarrangements.

    Some

    of

    the

    service

    providers

    already

    entered

    into

    such

    agreements.

    SuchinitiativehasbenefitedNewlicencees:

    to

    quickly

    expand

    coverage

    and

    ininstanceswhereinitialcashflowislimited.

  • 8/8/2019 Infrastructure Sharing _Telecom

    28/44

    3G&

    BWA

    28

    3GandBWA

    In India, auctions for 3G and BWA has been recentlycompleted.

    Apart from State owned PSU, three private operators in a

    service area have been given spectrum of 5Mhz for 3G. For provision of BWA, two private operators and the Stateowned PSU were given 20 MHz.

    3G technology requires dense coverage and would require

    a number of base stations to deliver capacity as perdemand.

    Existing towers can be used.

    Proper infrastructure sharing can act as a better solution forfaster rollout.

    Inter operator Sharing of IN Platform

  • 8/8/2019 Infrastructure Sharing _Telecom

    29/44

    INPlatformSharing

    29

    InteroperatorSharingofINPlatform

    Intelligent Network: Telecommunication Network Architecture

    for provisioning of advanced Services which are not normallyavailable in the switching systems.e.g. Virtual Calling Cards (VCC), Free phone services,Televoting etc.

    Prior to issue of IN services Regulation, the subscribers wereable to access the IN services of their own Access ServiceProvider.

    To ensure that subscriber should be able to access, IN

    services of all other service providers, TRAI issued IntelligentNetwork Services in Multi Operator Multi Service ScenarioRegulations, 2006 (13 of 2006) in November 2006.

    For free phone services, most of the service providers have

    entered into arrangements on mutual agreement basis TRAI has specified origination charge for IN based free phone

    service on 5th December, 2007.

  • 8/8/2019 Infrastructure Sharing _Telecom

    30/44

    INPlatformSharing(Contd..)

    30

    CallingCardsbyLongDistanceServiceProviders

    To provide choice to the consumer to select long distance

    operator

    Tofurtherenhancecompetition

    TRAI has recommended to the DOT in August 2008 to allow

    NLDOs /ILDOs to

    have

    direct

    access

    to

    consumers

    for

    provision

    of national and international voice telephony services,

    respectively,throughcallingcards.

    Recommendationsaccepted

    by

    the

    Government.

    NLD/ILDlicenseamendedaccordingly(August2009).

    Collocation facilities

  • 8/8/2019 Infrastructure Sharing _Telecom

    31/44

    Collo

    cation

    31

    Collocationfacilities

    For the purposes of providing interconnection, certainequipment has to be placed or collocated at the one service

    providers exchange by the other service provider.

    Types: (a) Physical Collocation (b) Virtual Collocation

    The Collocation facilities include:

    Building Space Power

    Environmental Services

    Security

    Site maintenance To frame guidelines so that the fixation of Collocation

    Charges by service providers is not done arbitrarily and isbased on use of sound criteria, TRAI issued a consultationpaper on Collocation Charges (March 2010).

    OHD held on 6/8/2010, Service Providers assured todiscuss amongst themselves and come back withconsensus on charges.

    PoP of

    NLDO

    PoP ofNLDO

    PoP of

    Access

    PoP of

    Access

  • 8/8/2019 Infrastructure Sharing _Telecom

    32/44

    SharingofDome

    sticLeasedCircuit

    32

    Customer

    PoP

    NLDOAccess

    Segment

    Access

    Segment

    Trunk

    Segment

    Customer Site

    Local Lead Local Lead

    End-to-End

    Domestic Leased

    Circuit (DLC)

    Local Lead Local Lead

    Provider Provider

    Customer

    PoP

    DomesticLeasedCircuits

    Asondate,domesticbandwidthcanbeprovidedtoenduserbyAccess

    Provideror

    NLDO.

    TariffsforDLCareregulatedandprescribedinTTO.

    TRAIissuedDLCRegulationson14th September2007 :

    Toensuretransparency,reasonableness

    ToallowprovisionofDLC/localleadinanondiscriminatory

    manner

  • 8/8/2019 Infrastructure Sharing _Telecom

    33/44

    FiberSharing

    33

    OpticalFiber

    Advantages:

    Necessary to support high bandwidth requirement in Corenetwork.

    Alsodesirableinaccessnetwork Reliable,stableandlongtermsolution. CanprovideenormousbandwidthtosupportBroadband. Capacity

    of

    the

    Optical

    fiber

    to

    carry

    information

    can

    be

    enormouslyenhancedbyjustupgradingtheendequipments.

    Presently about 7,50,000 route Km of optical fiber network isavailableinIndia.

    It

    includes

    5,00,000

    route

    Km

    optical

    fiber

    network

    of

    stateownedBSNL.

    TRAIs consultation paper dated 10.06.2010 on NationalBroadbandplan emphasizedtheneedtobuildNationalOptical

    FiberNetwork,

    which

    extends

    up

    to

    village

    level.

    NationalOpticalFiberNetwork isproposedtobesharedamongoperators.

    Proposed National Optical Fiber Net ork

  • 8/8/2019 Infrastructure Sharing _Telecom

    34/44

    FiberSharing(Co

    ntd..)

    34

    ProposedNationalOpticalFiber Network

    Optionsforfunding

    TRAI

    estimated

    cost

    for

    covering

    all

    villages

    with

    optical

    fiber

    (excludingRoW Cost)Rs 323billion(Approx).

    Optionssuggestedforfundingintheconsultationpaper:

    Fundingthrough

    USOF

    (if labour cost

    can

    be

    managed

    throughotherongoingprojects).

    CreationofanAutonomousNationalLevelAgency.

    AllOpticalfibernetworkresourcesmaybehandledbythis

    agencyfor

    laying,

    maintenance

    and

    leasing

    purposes.

    SuchOFstructureshallbesharedbyallPublic/Privateusers.

    PPP

    Consortium

    IPLC &Resale

  • 8/8/2019 Infrastructure Sharing _Telecom

    35/44

    IP

    LC

    35

    TRAIhasprescribedtariffsforIPLCinTTO.

    Earlier,IPLC

    can

    be

    provided

    only

    by

    International

    Long

    Distance

    Operators

    (ILDOs).

    To promote competition and affordability in International Private LeasedCircuits(IPLC)Segment TRAIrecommendedforResaleinIPLCSegment.

    Resale isthe

    sale

    or

    lease

    of

    telecom

    services

    to

    an

    end

    consumer

    on retail basis after leasing from a telecom service provider oncommercialbasisatwholesaleprices.

    The Resellers can access the subscribers for provision of IPLC onlyand

    not

    for

    any

    other

    purpose.

    Promotenonfacility/minimumfacilitybasedcompetition

    RecommendationsacceptedbyLicensor

    LicenceagreementforResaleofIPLCServicemaybeseenathttp://www.dot.gov.in/Resale%20of%20IPLC/Resale%20of%20IPLCindex.htm

    SharingAtSubmarineCableLandingStation

    http://www.dot.gov.in/Resale%20of%20IPLC/Resale%20of%20IPLC-index.htmhttp://www.dot.gov.in/Resale%20of%20IPLC/Resale%20of%20IPLC-index.htmhttp://www.dot.gov.in/Resale%20of%20IPLC/Resale%20of%20IPLC-index.htmhttp://www.dot.gov.in/Resale%20of%20IPLC/Resale%20of%20IPLC-index.htm
  • 8/8/2019 Infrastructure Sharing _Telecom

    36/44

    CableLan

    dingSta

    tion

    36

    AnumberofsubmarinecablesarelandingorterminatinginIndiaatCLSoperatedandmanagedbyfewILDOs.

    Source: TRAI Consultation Paper dated 13th April 2007

    Capacities of Submarine Cables in India (October 2006)

    Sharing At Submarine Cable Landing Station

  • 8/8/2019 Infrastructure Sharing _Telecom

    37/44

    Cable

    Landing

    Station(Contd..)

    37

    SharingAtSubmarineCableLandingStation

    AccesstotheseCLSbyotherlicenseesisnecessaryfor

    creating

    aconducive

    environment

    &

    boosting competition in the international bandwidthconnectivity.

    TRAI issued Regulations on International Telecommunication

    Access

    to

    Essential

    Facilities

    at

    Cable

    Landing

    Stations

    Regulations,2007 on

    7th

    June

    2007.

    Theregulationsprovidesfor

    - Timelimitforprovisionofaccess,collocationandlandingfacilities.

    The

    owners

    of

    CLS

    are

    mandated

    to

    publish

    Cable

    Landing

    Station Reference Interconnect Offer (CLSRIO) with theapprovaloftheAuthority.

    Transparentchargesforaccess,collocationandlandingfacilities;

    This regulation has been enabling nondiscriminatory, fair andopenaccessatthecablelandingstations.

  • 8/8/2019 Infrastructure Sharing _Telecom

    38/44

    Internet

    Exchange

    38

    NationalInternetExchangeOfIndia(NIXI)

    Set up on the recommendation of TRAI by Department ofInformationTechnology(DIT),GovernmentofIndiain2003.

    Purpose :Tofacilitateexchangeof Internettrafficoriginatedand

    destined within the country among peering Internet Service

    Provider(ISP)

    members.

    ThekeyobjectiveofNIXIisto:

    enabledomesticbandwidthutilization for routingof thedomestictraffic.

    improvement

    in QoS in

    terms

    of

    lower

    latency

    andnumberofhops.

    help to effectively utilize International InternetbandwidthforroutingInternationalInternettraffic.

    TRAIalsorecommendedto improveeffectivenessofNIXI,on20th

    April2007.

    Presently 7 nodes of NIXI are operational and 2 are underway.(Moredetailsmaybeseenatwww.nixi.in ).

    USOFund&InfrastructureSharing

    http://www.nixi.in/http://www.nixi.in/
  • 8/8/2019 Infrastructure Sharing _Telecom

    39/44

    USO

    Fund

    39

    About71%ofthepopulationresidesinruralareas.

    Liberalization & Competition is not enough for rural areas

    penetrationdueto:

    ScatteredPopulation

    Lowincome

    Low

    Usage LackofIndustry/CommercialUser

    LackofInfrastructure,Road,Poweretc

    DifficultTerrain

    HigherCAPEX

    &

    OPEX

    and

    Low

    ARPU

    Constrainsinbothsupplyanddemandside

    Role of USO is to provide Access in rural and remote areas ataffordablerates.

    InIndia,

    USO

    Fund

    was

    setup

    in

    2002.

    EncouragesharingofInfrastructureatdiscountedratesisoneofthewayadoptedbyUSOAdministratorstofulfilltheirRole.

    Infrastructure Support For Mobile Services

  • 8/8/2019 Infrastructure Sharing _Telecom

    40/44

    SupportfromUSO

    Fund

    40

    InfrastructureSupportForMobileServices

    One of the project supported by USO is Infrastructure support

    formobile

    services.

    This project was started in October 2006 to createinfrastructureforrollingoutmobileservicesinruralareas.

    Projectconsistsoftwoparts:

    Ist part : Setting up of passive infrastructure sitescomprising of land, tower, electric power connection,power backup (generator) etc. in identified rural andremoteareas.

    IIndPart :Provisioningofmobilesservicesbyaccessserviceproviders by BTS equipments installation with associatedantennaandbackhaul.

    Initially

    the

    infrastructure

    created

    will

    be

    for

    voice

    telephonywhich

    can

    later

    be

    used

    for

    broadband

    services

    aswell.

    InfrastructureSupportForMobileServices

  • 8/8/2019 Infrastructure Sharing _Telecom

    41/44

    SupportfromUSO

    Fund

    41

    pp

    Part I

    TheInfrastructure

    Provider

    (IP)

    shall

    be

    solely

    responsible

    to

    set

    up,operateandmaintaininfrastructuresite.

    The infrastructure so created shall be shared by maximum 3USPs to provide mobile services by installing necessary

    equipments. Subsidy ispayable foramaximumperiodof5yearswithinthe

    validityperiodofagreement.

    IPshallenterintoSLAwiththe USPs for5yearsperiodtoensure

    continuedprovision

    of

    services.

    IPshallnotchargeanyrentalfromthe USPs duringthisperiod.

    Thenewtower/infrastructuresitesshallnotbeinstalledwithin

    3

    Km

    radius

    of

    already

    installed

    by

    any

    access

    provider

    for

    providingfixed

    wireless

    or

    mobile

    services.

    Conclusions

    I t i h th b f t

  • 8/8/2019 Infrastructure Sharing _Telecom

    42/44

    Conclusions

    42

    In countries, where the number of operators areconsiderably large, the environment is conducive for

    infrastructure sharing. Regulators and policy makers should encourage

    sharing of infrastructure.

    Passive infrastructure sharing among service providers

    on mutual agreement basis may be preferred ratherthan regulatory mandates.

    Infrastructure sharing is usually commercially driven,however constant regulatory watch and time to time

    appropriate broad guidelines are necessary. Facilitation of active infrastructure sharing is required

    however to allow sharing of some of the activecomponents like spectrum, requires more marketspecific analysis.

    Focus should also be on the nationwide infrastructurecreation like National Fiber Network. This will promotebroadband in uneconomic areas thereby reduce digitaldivide.

    Conclusions

  • 8/8/2019 Infrastructure Sharing _Telecom

    43/44

    Conclusions

    43

    Conclusions

    Use of non conventional energy sources must be

    encouraged. Financial support for creation of infrastructure in rural

    and far flung areas.

  • 8/8/2019 Infrastructure Sharing _Telecom

    44/44

    9/2/2010 TRAI 44

    R K GujralDeputy Advisor

    (Interconnection & Fixed Networks)Telecom Regulatory Authority of IndiaJ.L. Nehru Marg, New Delhi 110002

    Email: [email protected]

    R K GujralDeputy Advisor

    (Interconnection & Fixed Networks)Telecom Regulatory Authority of IndiaJ.L. Nehru Marg, New Delhi 110002

    Email: [email protected]

    ThankYouThank

    You

    44