Reliance Jio Claims Airtel 'Misleading' TRAI Over Loss From Call Connection Charges

Advertisement
By Press Trust of India | Updated: 12 September 2017 10:27 IST
Highlights
  • Jio has accused Airtel of misleading TRAI over IUC norms
  • Airtel had earlier said because of Jio, it lost about Rs. 6,800 crores
  • Jio has added that Airtel is profitting from false claims of loss

Reliance Jio on Monday alleged that Airtel misrepresented facts purposefully to create a smoke-screen and hide its ill-gotten profits to support its false claim of loss from call connection charges.

Last week, Bharti Airtel had accused Jio of "misleading" the Telecom Regulatory Authority of India (TRAI) and public over the interconnect usage charge (IUC) and claimed it suffered a loss of Rs. 6,800 crores in the last five years due to low mobile call connection charges fixed by the regulator.

Advertisement

The Mukesh-Ambani led telecom firm said that Airtel's representation on loss due to prevailing IUC rates is "grossly incorrect and fallacious".

"We submit that all the contentions of Airtel are fallacious, not based on true facts and are misleading in nature. We request that the authority may take appropriate action against Airtel for such mischievous and frivolous submissions," Jio said in a letter to TRAI Chairman R S Sharma.

Telecom operators levy IUC on incoming calls from other networks and the charges are passed on to subscribers.

At present, IUC of 14 paise is levied on call made from mobile phones. Incumbents have claimed that IUC should in the range of 30-35 paise while Jio and small operators have demanded to make it nil.

Advertisement

"It is obvious that this misrepresentation of facts and wrong interpretation of data has been carried out purposefully to create a smoke-screen to hide its ill-gotten profits and to support its false pretence of loss under the existing IUC regime," Jio said.

In a presentation before TRAI, Reliance Jio had earlier said that telecom operators gained to the tune of Rs. 1 lakh crore from the IUC. In the presentation, without naming telecom firms, Jio said that operator 1 gained Rs. 46,958 crores, operator 2 Rs. 28,904 crores and operator 3 Rs. 28,752 crores.

Advertisement

Jio in the letter said that Airtel made calculation by representing mobile call connection charges as 30 paise per minute using a method which TRAI has never accepted and world over the methodology has been abandoned.

The RIL's telecom venture alleged that Airtel's outgoing tariffs for calls on network of other telecom operators "clearly show a premium" that it charges from customers to compensate for the IUC that it would need to pay to other operators while it does not charge the same amount for calls made within its network.

Advertisement

"Airtel has purposefully endeavoured to confuse the issue by adjusting this excess recovery against its IUC pay-out of around Rs. 24,750 crores, which Airtel has already recovered as part of tariff from its subscribers...(and) cannot be again adjusted against total IUC receipt made by Airtel. Clearly, this subterfuge is created to reduce the impact of true excess recovery," Jio said.

Countering Jio's allegations, an Airtel official said that Reliance Jio has added IUC on calls made within Airtel network in its estimation.

"Therefore Jio's calculation are blatantly misleading with false calculation to inflate the numbers. Which operator pays IUC charge on the on-net calls," the Airtel official said.

Jio has said the IUC on Airtel's on-net calls have been included in the calculation based on the latter's statement at TRAI workshop that the cost of work done by the Sunil Bharti Mittal-led firm in terminating a call is agnostic to the originating operator.

"Therefore it is only appropriate that the recovery be calculated on all incoming traffic handled by Airtel," Jio added.

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. Best Phones With Telephoto Cameras Under Rs. 40,000
  2. OnePlus 16 vs iQOO 16: Price and Specifications Compared
  1. Samsung Galaxy F70 5G With 5,000mAh Battery, 50-Megapixel Camera Goes on Sale in India: Price, Offers
  2. Apple ‘Pro and Tell’ Event Set for Next Week; First MacBook With Touchscreen, New iPad Mini and More Expected to Launch
  3. Cysic Shuts Down Bridge After Attacker Illegally Creates 10 Million CYS Tokens
  4. JPM Coin Arrives on Ethereum as JPMorgan Expands Institutional Payments
  5. Vivo V80 FE Reportedly Spotted on BIS Certification Website, India Launch Seems Imminent
  6. Airtel’s New Recharges in India Announced: Rs. 185, Rs. 203 and Rs. 206 Voice-Only Plans Details
  7. Vivo X500 Ultra Leak Reveals Launch Timeline, Chipset, Display and Key Specifications
  8. iQOO Neo 12 Launch Date Announced; Design, Colour Options Teased
  9. Qubic Halts Chain as Attacker Exploits Weak Seeds to Drain 1,400 Wallets
  10. iPhone Duo Battery Capacity Revealed Days Before Foldable Goes on Sale
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.