The Telecom Disputes Settlement & Appellate Tribunal has held that Over-the-Top platforms are governed by the IT Rules, 2021, and are outside the spectrum of the Telecom Regulatory Authority of India.
The order pertains to a case against Star India Pvt. by the All India Digital Cable Federation. AIDCF claimed that Star was being unfair by letting people watch ICC World Cup matches for free on mobiles using Disney Hotstar, their online service.
They argued that this broke TRAI rules because you can also watch these matches by paying for the Star Sports channel. However, the court disagreed with AIDCF and didn't stop Star from offering Star Sports for free on mobiles.
TRAI rules don't cover online platforms like OTT because they're not considered "distribution platforms" under those rules, the tribunal said. It was also observed that the OTT platforms follow the IT Rules, 2021, and that they are not TV channels because they don't need a licence from the central government.
It is important to note that the telecom regulator suggested a plan this year to control OTT platforms that offer services like voice calling and messaging, which are typically offered by telecom companies.
The regulator pointed out that there's an imbalance in the current rules for OTT platforms and telecom service providers. TSPs have to pay significant fees for licences, but OTT platforms providing similar services don't have to pay any such fees, according to TRAI.
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