Jio (Reliance Jio Infocomm), the new telecom entrant, has recommended that the Rs 50,000 Crore sturdy amount—the fund of USO (Universal Service Obligation)—employed to bridge the digital gap between rural and urban areas, must not be distorted on marketing “obsolete techs” to power rural connectivity.
The Mukesh Ambani-controlled Jio that has raided in September 2016 into 4G telecom services on the support of freebies has resulted UK-located Vodafone India, Sunil Mittal-controlled market leader Bharti Airtel, and Idea Cellular of Aditya Birla group in a miserable place.
“I sincerely believe that the USO fund must not be spent on obsolete techs, it must be on up-and-coming techs since rural India requires it,” Mathew Oommen, the President of Jio, claimed to the media at the 2018 ETTelecom India Mobile Conclave in an interview.
In 1999, the Government of India had surfaced up with an amount for helping rural telephony by means of applying Universal Access Levy. In April 2002, a norm was passed to back for the Universal Service Obligation.
The DoT (Department of Telecommunications) is resting on a USO fund of Rs 48,549 Crore, while it has only distributed Rs 7,227 in fiscal 2016–2017 and Rs 4,993 fiscal of 2017–2018 for improving rural infrastructure so as to bridge the digital gap.
Telecom companies presently give 5% of the adjusted gross revenue (AGR) towards preserving USOF.
“With every IP network, do we require ILD network or PoI on NLD for access,” Oommen asked. He further added, “We require converged PoI as we are 1 country, and via CDR, we can though decide the nature of call if it is an ILD or NLD.”
Lately, Point of Interconnection (PoI) has turned out to be one of the most controversial problems between Reliance Jio on one side and Idea Cellular, Bharti Airtel, and Vodafone India on other.
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