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On VOIP (Voice Over Internet Protocol) business
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Internet telephony refers to communications services — voice, facsimile or voice-messaging applications — that are transported via the Internet, rather than the public switched telephone network (PSTN). The basic steps involved in originating an Internet telephone call are conversion of the analog voice signal to digital format and translation of the signal into Internet protocol (IP) packets for transmission over the Internet; the process is reversed at the receiving end. Voice over Internet Protocol (VoIP) is a general term for a family of transmission technologies for delivery of voice communications over IP networks such as the Internet or other packet-switched networks. The VoIP calls are not covered by any law in our country, that’s why in Bangladesh, this business is illegal. Recently, on May12, the Bangladesh Telecommunication Regulatory Commission (BTRC) cancelled the licenses of five private land phone companies-Rangs Tel, Dhaka Phone, Worlds Tel, Peoples Tel and National Phone for their involvement in the illegal internet telephony. Before that, during March 15-23, the government was stopped the operational function of the mentioned five companies. According to BTRC, the numbers of customers are for Rangs Tel 3 Lac and 782, for Peoples Tel 1 lac 61,063, for National Phone 1 lac 37000, for Dhaka Phone 77,765 and for World Tel 14,261.
Like many others countries of the world, in Bangladesh, it is becoming increasingly common for telecommunications providers to use VOIP telephony over dedicated and public IP networks to connect switching stations and to interconnect with other telephony network providers. Due to lacking of any legal rules, the VOIP business can be operated in our country by avoiding taxes of the Government. During the last Caretaker Government tenure, Show Cause notice has been received by the MD of Foreign Mobile phone companies Grameen Phone, Aktel (Now Robi), Banglalink, Warid and Citycell with the allegation of involvement with illegal VOIP business from BTRC. With the threat of cancellation of license, all the companies were deposited taka125-800 crore to the Government fund without any delay.
How VOIP functions?
To and From any international voice call, every country have their own country code, given and regulated by International Telecommunication Union. ITU is run by United Nations. Every international voice call to or from Bangladesh has to go through +880, government registered country code. For this system, Bangladesh has the central controlling authority over all calls. Government can easily collect the taxes.
For VOIP technology, the old controlling mechanism is failed to operate the central controlling. By this system, voice calls are coming through Internet by avoiding the ITU provided country code. Before few years back, when Government was the only telephone provider to people, it was possible for T&T to work as central controlling authority. But at present time, this idea is unworkable because of existence of rival institutions in telepathy sector like Teletalk, GP, Citycell, Robi, Warid and Banglalink.
With the VOIP technology, any international incoming call can be terminated if there a contract exists with that company. Then the terminated call has to reach the desired receiver as a local call. So VOIP business is never possible without direct help from infrastructure of the local Mobile or Land Phone Company. For that reason, the operating Mobile companies in our country having strong network coverage are directly involved with illegal VOIP business.
Can VOIP to be a Small Industry?
Some people argue that, if VOIP to be open under legal framework, it would be very helpful for the local small invertors to operate business. It would be very beneficial so that it can be reach to a small industry level. In practical, this idea is inapplicable. In the whole process of VOIP business, there is not any extra role or importance of local small investors. Because this business is not possible to operate without a wide Cell Network, Cell Tower, Fiber Optics Cable Network- in a word, without a Mobile Phone Company. Local investors can terminate the VOIP calls but they are unable to reach the desired receiver. So there is no chance of such thinking that it would be a small industry.
If VOIP open for business, it would be very easy for Mobile Phone Company to make and start a central VOIP call termination process in its own office. They have already the infrastructure to reach to the desired receiver. It would also be very easy for them to make contract with the foreign mobile phone company for terminating their calls in comparison to local small investors. In last, VOIP business will be operated by Mobile Phone Company. In a competitive market, for the legal reason, the central controlling authority can not be given to any local mobile phone operators like Teletalk.
New Law: What should be?
Telecom minister Raziuddin Ahmed Razu said that by June there would be a new law that would open up the market for companies to freely make telephone calls over the internet. At present only five companies - Novotel Limited, Bangla Trac Communications Ltd, Mir Telecom, M & H Telecom and Getco Telecommunications – have a license that allows them to use VoIP (Voice over Internet Protocol). The revenue collected by the five licensed operators is however taxed by 54 percent, making illegal operations lucrative.
Whole matter is a technological one, so, before making new law, it should be discussed freely so that the revenue of the government can be collected easily. Telecom Minister said, the government will rent out E1 (an all-digital communications line that allows transmission of voice, data, video, and graphics at high speed compared to standard communication lines) connections to the interested VoIP operators once the entire process is complete.
In this regard, during the last caretaker government, a nice attempt was taken by then Telecom Advisor Major General (Rtd) Monjurul Kader. The work was started to aim at making BTRC as a central controlling authority. A central technological gateway was started to build, without that, no incoming and outgoing calls from Bangladesh can terminate or receive. Every incoming or outgoing international call of any private or public company either PSTN or VOIP has to terminate through the Gateway. All the companies have to attach their own exchange to the gateway. For making this infrastructure, an open tender was invited. After a 33 hours auction bid, the highest bidder was announced as winner. The work was started, but after the Nation Election, it’s unknown to us about that good initiative.
BTRC was made mandatory for all the Mobile and PSTN Phone Company to connect with the central gateway so that the revenue of the government can be collected easily. And the central controlling of the government over telepathy sector can be established.
Some factors must have to keep in mind while making new law for opening up the VOIP business. Technological matter must have to deal with technology. Only the central gateway system can be the solution for open up VOIP business. The Government and the general people both can be benefited by this system and law. The central gateway system will help the government to collect taxes all incoming and outgoing calls. Also the controlling mechanism of the government remains in its hand. For the general people, the BTRC can fix the lowest cost rate of incoming and outgoing calls.
writer can be reached @ zimusa@ymail.com |
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| http://www.sonarbangladesh.com/articles/ZIMusa |
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