New Telecom Policy-2018

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Why in news?
The communications ministry is going to set up a working groups to deliberate on the new telecom policy which is expected in 2018.

What to expect from NTP-2018?

• The advent of high-speed data services and enhanced user expectation of getting real time on-demand band-width to run live applications has set the tone for new policy.
• It will be application driven as compared to connectivity driven at present.
• The focus will be on the end users and newer opportunities for expanding the availability of telecom services.
• Impetus for the development of next-generation technologies like 5G, Internet of Things (IoT) and Artificial Intelligence (AI) and seamless connectivity is envisioned.
• It has been proposed to align the new policy with various e-governance initiatives like Digital India, Internet for all, smart cities and and intelligent transportation systems, along with enhancing web based education & financial services.
• Facilitating more investments in the sector is being considered as a priority.
• The establishment of one pan-Indian telecom circle by integrating the various present regional circles is being considered.
• Skills development and security archetecture in the sector are being cosiderd.
• The ministry has promised “widest possible public consultation” involving the industry, local stakeholders & government regulators for finalising the contours of the NTP.

What is the current scenario in the industry?

• India is the second largest telecom market in the world with over one billion mobile subscribers.
• FDI equity inflow in the sector has been drastically increasing year on.
• However, the sector is now reeling under a staggering Rs 4.6 lakh crore of debt.
• The pressure on revenue and profitability due to intense competition in the market, and disruptive voice and data offerings of the newcomer ‘Reliance Jio’ has hit the industry hard.
• An inter-ministerial group has been constituted to suggest ways to ease the industry’s financial stress.
• The Telecom department is also considering setting up telecom Computer Emergency Response Team-CERT to enhance cyber & telecom security.
• Internet’s contribution to India’s GDP at about 5.6% in 2015-16 and is estimated to grow to nearly 16% of the country’s GDP by 2020.

Source: Economic Times

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