OTT providers and network operators share a collective interest in ensuring investments in high speed networks

According to a report by Rajat Kathuria, Vatsala Shreeti and Parnil Urdhwareshe for The Financial Express, in the two years that have passed since the first consultation paper on ‘Over the Top’ (OTT) services was released by the Telecom Regulatory Authority of India (TRAI), an incredible amount of noise has been generated in the system.

Disruptive technologies cause disruptions and spread short run pain in the system. Having emerged from very large payouts for the purchase of spectrum in 2010 and 2012, Telecom Service Providers (TSP) were looking to stabilize their businesses and bump up data services when Schumpeter struck.

The dynamism of ‘creative destruction’ embodied in OTT services that can be provided over the internet—including mobile and WiFi—has meant greater access to the internet, but at the cost of disturbing the structure of telecom markets.

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