'Unless the government addresses key issues, achieving broadband target may be a Herculean task'

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What is the future objective of National Internet Exchange of India (NIXI)?
There is a need for setting up more NIXI nodes in different parts of the country. At least we should target to cover every state capital by 2010. For effective utilization of NIXI, it should be interconnected so that even smaller ISPs can be connected to NIXI and will be able to save international bandwidth and get better quality of services for their users. Content providers and data centers should be mandated to connect to the NIXI through ISPs so that domestic traffic remains within the country. As the content gets hosted in the country, scope for disruption in information flow would reduce due to any hostile situation and sanctions, etc.

Haw can NIXI match up with other SAARC Internet Exchanges?
India should also take a lead in connecting with various SAARC Internet Exchanges into different NIXI Nodes. It will help all the SAARC countries to save expensive international bandwidth, as there is substantial traffic exchange amongst these countries.

With the presence of independent NIXI nodes in various places in India the interconnection of all NIXI nodes will reduce the international bandwidth usage if the traffic of other SAARC countries is also passing through the NIXI nodes. Talks with countries like Nepal, Sri Lanka, Bhutan, Bangladesh and Pakistan are in progress and we hope that very soon they will get connect to our NIXI nodes.

Do you think entry of foreign players is a threat to the Internet telephony market in India?
As per the guidelines for issue of permission to offer Internet telephony services, only ISP licensees were permitted, within their service area, to offer such Internet services. However, the UASL license conditions allowed ITSPs (Internet Telephony Service Providers) specifically permitted to do so and UASL licensees to offer Internet telephony services with effect from January 1, 2006.

Some overseas service providers like Infoglobal, Net 2 Phone, Vonage, Novanet, Skype, Yahoo, MSN, Google, etc. are providing Internet telephony to the corporate, call centers, BPOs and people of India. These service providers don't charge 12.24% service tax on the Internet telephony minutes nor 6% AGR imposed by the Government with effect from 1 January 2006.

What are the solutions to solving the foreign player issue?
Either 12.24% service tax and 6% AGR (proposed) should not be applicable on Indian ISPs offering Internet telephony services or foreign service providers should be brought under the Indian licensing regime. DoT should put a notice on its websites as well as in the print media clearly indicating the names of operational ISPs with Internet telephony licenses so that ISPs can educate the users not to use the services of un-authorized service providers. While issuing new OSP licenses DoT should take an undertaking from the call centers, BPOs and KPOs to mention the name of authorized service providers from which bandwidth and Internet telephony minutes will be taken.

By our senior correspondent
vadmail@cybermedia.co.in