Archive · 17 Dec 2025
Industry Split on Telecom Interconnection Reforms
Two big groups in India's telecom industry, COAI and BIF, are talking about changing how phone networks connect.
COAI wants to switch to a new way of connecting networks using the internet, and they want to charge more for calls coming from other countries.
BIF agrees with the new connection method but wants more flexibility.
They also both think there should be better ways to stop spam calls.
COAI believes higher charges for international calls will help stop scams and bring more money into the country.
The government is listening to these ideas to decide what to do next.
COAI and BIF agree on moving to IP-based interconnection but differ on enforcement and flexibility.
COAI seeks a mandatory shift to IP-based interconnection at the LSA level to eliminate redundant infrastructure and lower costs.
BIF supports LSA-level interconnection as default but advocates for flexibility in sub-LSA interconnection.
COAI proposes raising International Termination Charges (ITC) to ₹4.5 per minute to deter fraud and improve forex inflows.
BIF suggests stronger interconnection-level controls for spam and fraud prevention.
- Who
- Cellular Operators Association of India (COAI) and Broadband India Forum (BIF)
- What
- Debate on telecom interconnection reforms and International Termination Charges (ITC)
- When
- During submissions to TRAI
- Where
- India
- Why
- To address operator costs, foreign exchange flows, legacy network revenues, and spam control mechanisms
- Organizations Involved
- Cellular Operators Association of India (COAI), Broadband India Forum (BIF), Telecom Regulatory Authority of India (TRAI)
- Key Issue
- Transition to IP-based interconnection and International Termination Charges (ITC)
- COAI's Proposal
- Mandatory shift to IP-based interconnection at LSA level and raising ITC to ₹4.5 per minute
- BIF's Proposal
- Flexibility for sub-LSA interconnection and stronger interconnection-level controls for spam
- Current ITC
- ₹0.35–₹0.65 per minute
- Proposed ITC
- ₹4.5 per minute
- Impact of Low ITC
- Attracts international robocalls and scam traffic, results in net forex outflows
Sources
IAMAI urges DoT to withdraw SIM-Binding directions, says rules exceed Telecom Act’s scope
SIM binding rule splits tech firms and telecom companies down the middle
Industry bodies split on interconnection reforms as TRAI weighs IP shift, ITC hike
SIM-Binding Standoff: Telcos Vs Apps
Telcos ask TRAI to separate personal calls from bulk spam traffic