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September 24, 1997

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Gokak still tightlipped on ISP rules

Department of Telecommunications Secretary A V Gokak reiterated today that the policy guidelines for throwing open Internet services to the private sector of the economy would be evolved within a month.

Speaking after inaugurating the Cybercity conference of the National Association of Software and Service Companies in Bangalore, he said the government would, during the first two years, treat the Internet operators in the private sector as being in a development phase.

He suggested that a meeting comprising the secretaries of various departments
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including electronics, science and technology, human resources development and telecommunications and the Planning Commission would be held before the guidelines are framed.

These guidelines need to be comprehensive, realistic and progressive and should take into account all those who would receive Internet services, whether they were commercial, educational or other kinds of consumers, he said.

Gokak revealed that during the Ninth Plan period DoT, from its internal accruals, would spend Rs 7 billion to set up a nationwide information backbone using fibre optics so that the ISPs are not bothered with setting up of the infrastructure from a scratch.

Gokak said the information backbone that would provide access to Internet would be ready by 2000. The government is not bothered about the excess capacity that would be available initially. But the sole intention is to provide greater access to service providers.

Referring to the policy guidelines, he said, the department had to play a judicious role to avoid abuse of the Internet without impairing the gains from it. He did not rule out the possibility of DoT seeking the guidance of the Telecom Regulatory Authority of India also in this regard as it is an advisory body besides being a regulating agency.

On tariff for Internet service providers he said it would be considered at the appropriate time. However, the possible ISPs wanted it to be indicated as early as possible.

He said the DoT would ensure a level a level playing field while evolving the set of rules which would take a balanced view on both advantages and disadvantages of the system.

He saw the Internet bringing a revolution to the country which would have a wider ramifications than the green and white revolutions, which made the country's agriculture and dairy industries self-sufficient. This revolution will link India with the rest of the world, he said.

Admitting that the DoT has been weak on customer service, he said its long distance network is modern and competition is a good solution. Besides, the exercise to open Internet has just begun, he said.

Videsh Sanchar Nigam Limited Chairman and Managing Director B K Syngal said VSNL would further reduce the Internet service cost to Rs 10,000 from the present Rs 15,000. Ever since Internet services were provided from 1995, VSNL has cut rates four times, he added.

He said when compared to the services provided in the United States and Europe, the cost of services in India are cheap taking into consideration the exorbitant porting charges the VSNL has to pay for connections to the United States and Europe.

He said VSNL is planning to broaden the connectivity bandwidth and emphasised the need for a regulatory authority which can keep pace with the changes in technology.

He said the VSNL would soon get the necessary infrastructure to meet the requirements of private ISPs. It is already supporting 50,000 Internet connections through 20 nodes spread across the country, he pointed out. Despite the small number of connections, the number of people who log on to the Internet is as high as 150,000.

NASSCOM Excecutive Director Dewang Mehta said VSNL plans to provide 100 Internet connections to schools in Bangalore through a subsidiary.

NASSCOM President K V Ramani told the software industry in India that it could not afford to miss the Internet revolution as the business expected to be generated by it by the turn of the century is $120 billion. Even 1 per cent of the software business coming to India would enable it to earn a revenue of $12 billion, he added.

The three-day conference would, among other things, discuss the opportunities, challenges and issues for ISPs, Internet commerce, opportunities for India in the new cyber landscape and development of realistic Web sites.

UNI

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