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Indian Operators Protest Against $5 Billion for Security Upgrades

03 июня 2011

India's mobile networks have responded to the recent regulatory changes by saying that the government should step into help fund the estimated US$5 billion cost of implementing them.

Citing national security, the government imposed import restrictions on telecoms equipment and will require the networks to support location based services for tracking subscribers.

"While we recognise that this is a matter of national security, the Government should also help us in balancing out the costs involved in implementing it. We have suggested a number of things, including reducing the USO contribution from 5 per cent at present to 1 per cent, or reducing some of the levies. This will enable us to reinvest the money into upgrading our network," Mr Rajan S. Mathews, Director-General, COAI, told Business Line.

The new regulations also require the network operators to install facilities to monitor their networks for hacking attempts by foreign spy agencies - within 12 months. The operators also face the prospect of fines if they are broken into, which creates a conflict between the requirement to report the attack, and the financial penalty arising from that report.

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