Camera + phone curbs

Indian parliamentarians are reportedly studying the need for putting curbs on camera phone use. Mobile phone makers are the largest digital camera makers owing to the enormous popularity of camera phones. Phone cameras have come some way since the grainy VGA cameras in the initial models and it is now possible to get digicam-esque specs on mobile phones. Nokia's top end N Series models the N96, N95 8GB come with 5 MP cameras with good video recording specs to boot. Sony Ericsson's high-end camera phones incorporate the renowned CyberShot technology to give digicam-like quality. Added with powerful new tools like Qik and ShoZu make it very easy for publishing these images. It typically takes a touch of a button to get your images published online. Such unprecedented ability to capture and share images has changed the way we communicate and group. It has obviously brought its set of problems too with its scams and scandals.

Privacy advocates would want legislation to be brought in to check the usage of camera phones in public. Some of the targeted areas are schools, universities and public offices. Handset vendors and telcos are wary that any punitive legislation could harm their margins as youth form the bulk of mobile phone users. They will no doubt be presenting their case to the legislators requesting a lenient regime. Some institutions particularly educational ones have curbs in place to  restrict or  altogether ban mobile phones in campus. In the corporate offices, barring some BPOs, camera phones are universally allowed. The lawmakers are expected to take a view on usage of mobile phones in public offices too, as it is perceived there is high potential of misuse here.

Elsewhere, California has banned texting while driving, an Australian school has allowed using mobile phones, internet and what not during exams. Japanese so picturesquely called it a handy phone, it'll be quite handy for the Australian students.

FCC to decide on the white space debate

In the coming weeks Federal Communications Commission (FCC) is expected to decide on the usage of white space spectrum that could change wireless communication in the U.S. in the years to come. Well, what is is white space spectrum ? White space spectrum are the unlicensed radio waves that are left unused by (analog) TV broadcasters. These frequencies typically lie between licensed frequencies and are used to reduced interference between channels. Currently these radio frequencies are not used for anything other than the said purpose.

There are companies like Google, Microsoft, Motorola, Intel and Dell that want white space spectrum to be allowed for mobile device usage arguing that white space spectrum would provide a cheap means of covering the entire U.S. with wireless broadband. They have an economic case about their cause of getting enhanced wireless case to everybody as well as an economic interest in boosting their revenues.

There are the television broadcasters who are equally opposed to having white space devices saying that the move would affect their quality of service. They reason that the wireless devices utilizing white space would interfere with the channels as the devices don't know yet about interfering channels. This is an old debate that may well be decided one way these coming weeks. That the TV broadcasts are wholly going to be digital soon would tip the balance in favor of the proponents but the opponents might be able to stall the move at least until the FCC deadline of the move to digital TV.

Microsoft, Google, Motorola and others have formed the wirelessinnovationalliance.org to promote the white spaces devices idea. NAB - the broadcasters' group presents the other view with interferencezones.com. There are a many recent developments like the geo-location database developed my Motorola which promises to solve the technical problems of mobile devices operating in the white space, but however the broadcasters do not want anything to do with it. This is going to be one hardfought debate for both sides and the outcome might be momentous for wireless access.

Calling cards are coming...

TRAI the Indian regulatory body has set in motion(ET report) the changes necessary for users to make long distance calls using calling cards. International travellers would be well aware of the indispensable calling cards which offer an optimal solution while on tour. The TRAI move is aimed at allowing users to choose their NLD (also called STD, NSD) providers by buying long distance calling packages through calling cards.

There are quite a few entities which have long-distance backbone like RailTel, PowerGrid Corp and GAIL. Currently their networks are not being used for public long distance calling since they cannot access the local loop to reach the end user. With the TRAI recommendation, telcos would have to upgrade their networks to provide interconnect with the long distance providers - potentially the RailTels and the PowerGrid Corps. Even some private players like Sify would be able to rollout effective long distance packages if this recommendation gets implemented.

Long distance call rates are going down the world over and TRAI move would suggest that they are keen to see India also following the trend. Coming to incumbent telcos, this move is seen to further erode their revenue stream as their have provide the interconnect facility as well as lower their tariffs to compete with long-distance-only operators. Some prudent deals between telcos and new long-distance players might benefit everybody.

P.S.: would highlight user issues on calling cards in a later post...

Entry of foreign telcos

If reports are to be believed the government is very keen on addressing the apprehensions of 3G spectrum bidders who had shown lukewarm interest in the 3G spectrum auction process initially. As per the policy change planned the foreign telcos that win a bid for the 3G spectrum can buy or merge with local players who have 2G spectrum. Whether they have to pay more for it or not, the door will be open for entering into 2G services as well. In the existing framework, winning foreign 3G bidders would have to wait for 3 years before they can get into 2G services which will have them at a disadvantage over local telcos who would have their 2G spectrum added with the 3G spectrum they would be allocated after the auction. This planned move is found to be advantageous to such players as AT&T who have been waiting for long to taste the 3G pie in India. This is also seen to be an opportunity for Indian non-telco majors to get into the scene through tieups with foreign players. Though we don't know at present how such entities will have a piece of the 2G spectrum very essential for a having a level field, we know of wishes of Mahindra and Videocon to
enter the Indian telco scene. It will be interesting to follow the spectrum sweepstakes...

Number Portability Directions

Mobile number portability has been introduced in the U.S. , the U.K., Australia, Korea, Japan, Canada, Pakistan and most countries in Europe. Introduction in India needs a push from the telecom department in terms of setting firm goals for the telcos. Telcos obviously are apprehensive about the move since they have to invest a lot all for opening the gates of churn. But they have to realize that number portability would make them more competitive and better organizations striving to meet the expectations of their subscribers and raise their levels.

Since number portability has been on the table for quite some time now, I am sure telcos would have had devised their strategies for it. The telecom department can go ahead on this front boldly as the move is after all a long overdue benefit due to the consumers. One opportunity for the telecom department is to mandate number portability for all new 3G service rollouts. This can be a given for the telcos so they do not have to complain at a later stage. This is good also as 3G with its focus on value-added-services has an inherent deterrence on churn.

There is one more point in favour of the telcos going in for number portability. What it is! Their new 3G services will take off well with number portability introduced across the spectrum of services. 3G adoption will be faster with number portability.

One more thing I can see is that telcos would start looking at new markets including rural hinterlands as part of their number portability strategy offsetting telecom department's apprehensions on this front.

To conclude this piece, I believe after the initial churn Indian telcos would learn to manage it quite well by building value and devising strategies.

CDMA player to foray into GSM space

The government has given the goahead for existing telecom providers to expand their services by using alternate technology according this ET story. What this means is that existing CDMA players can offer GSM services in all the circles they are currently serving and vice versa for GSM players.

Anil Dhirubhai Ambani promoted Reliance Comm's application for providing GSM services on a pan-India basis gets approved with this policy direction and Reliance Comm's spectrum needs are virtually assured.

Subscriber-based based spectrum allocation and spectrum auctions are currently not in favour. Existing players would be able to get additional spectrum in areas where they are not present, on a first-come-first-serve basis. Bharti Airtel which is the largest GSM player and is present in almost all circles would find this as a downside.

The need for existing pan-India GSM players is to increase their subscriber base and consolidate their positions. However the policy direction has an effect of opening the market in an unprecedented manner.

Cellular services are set to see fierce competition with this move. If the consumers are benefited then so be it.