
Regulatory Body's Draft Spam Rules Face Criticism Over Potential Overreach and Compliance Concerns
Trai's Proposed Regulation of OTT Platforms Draws Fire from IAMAI
The Internet and Mobile Association of India (IAMAI) has expressed strong objections to the proposed regulation of over-the-top (OTT) platforms by the Telecom Regulatory Authority of India (Trai). According to IAMAI, the proposed regulation seeks to regulate the functioning of OTT platforms despite these services not falling within the definition or scope of telecommunication services. This creates a fundamental mismatch in regulatory jurisdiction, with Trai attempting to extend its authority beyond telecom networks into internet-based services.
The proposed changes, outlined in the Draft Telecom Commercial Communications Customer Preference (Third Amendments) Regulations, 2026, aim to strengthen the existing framework by introducing AI-based detection for spam and blocking unsolicited calls and messages. It also proposes deterrent charges for commercial voice calls. However, IAMAI argues that the framework seeks to regulate the functioning of OTT platforms, which raises concerns about jurisdictional overreach and potential violations of constitutional and legal safeguards.
IAMAI represents a broad cross-section of India's digital ecosystem, including internet companies, OTT platforms, e-commerce firms, fintech players, and technology startups. The association is concerned that the proposed regulation could lead to a "gross jurisdictional overreach" and undermine the fundamental rights of companies to carry on trade or business.
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Trai's proposed regulation has also drawn support from telcos, including Bharti Airtel, Reliance Jio, Vodafone Idea, and the Cellular Operators Association of India. They have called for a level playing field, urging that apps like WhatsApp and Telegram face the same regulations as SMS and voice. This, they argue, is necessary to prevent gaps in regulations that are increasingly exploited by spammers.
Comparison of Proposed Regulations and Existing Frameworks
| Regulation | Proposed Regulation | Existing Framework |
|---|---|---|
| Spam Control | AI-based detection | Strict spam controls |
| User Data Sharing | Mandatory sharing with access service providers | No mandatory sharing |
| Consent Provisions | Alignment with DPDP Act | Separate consent provisions |
The industry body has also flagged concerns over the proposed requirement for OTT platforms to share user data with access service providers. IAMAI argues that this mandate could amount to "unconstitutional expropriation" of proprietary data, given that the data is generated through significant intellectual and financial investments by companies.
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IAMAI has called for alignment between the consent provisions under the proposed TCCCPR amendments and the Digital Personal Data Protection Act 2023 (DPDP Act). It noted that under the DPDP framework, user consent remains valid until the intended purpose is fulfilled or withdrawn by the individual. Harmonising the two regimes would help avoid conflicting compliance requirements and ensure that legitimate communications can continue seamlessly until consent is revoked.
Investor Takeaway
Investors should be cautious of potential regulatory overreach and its impact on the telecom sector.
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