Telcos Losing 1.5 Crore Daily After Suspending Services Following Citizen Amendment Act Protests

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The government has recently directed telecom operators to shut down their services in some areas due to the ongoing protest against the Citizen Amendment Act. Now, it has been reported that telcos are losing at least Rs. 1.5 crore a day in each state, as consumers are not recharging plans.

Telcos Losing 1.5 Crore Daily After Suspending Services

 

"A telco loses a minimum of ₹1.5 crore a day per state if its internet services are shut down. If the state holds a large population and the ban is for a longer duration, then the loss is larger," said Rajan Mathews, Director General of Cellular Operators Association of India was quoted by Economic Times. For the unaware, COAI represents all telecom players in India.

The report reveals that since December 15, the internet is shut down in many parts of Gujarat, UP, Delhi, Assam, Meghalaya, and West Bengal. Furthermore, the report states that private telecom operators are claiming that consumers are delaying recharges and top-ups which is really important for revenue.

"For the operator, the prepaid customers' delay hits them," the executive was quoted by the newspaper. Adding to that, "Over 90 percent of the customers are pre-paid." This is the first time Delhi has faced the same. In fact, this has been reported that India is leading in terms of internet shutdowns.

A report by Access Now said that when it comes worldwide India scores 67 percent of the overall shutdowns last year. All private players have already announced that they have been directed by the government to suspend their services due to the ongoing protest.

Apart from that, Deputy Commissioner of Police, Special Cell, New Delhi has issued a statement and said that "In view of the prevailing law and order situation, it is hereby directed that communication of all types i.e. voice, SMS and internet, be halted from 0900 hours to 1300 hours in Cell IDs/BTS (base transceiver stations)."

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