Security concerns 'derail' 3G

Security concerns 'derail' 3G

NEW DELHI: The government will prevent telcos from offering non-voice 3G mobile services in seven days, unless they demonstrate that these facilities can be tapped live, a senior department of telecom (DoT) official said.

The 3G data services that could be impacted include high-speed internet, download of music and video clips, chat and internet telephony calls. So far, state-run telcos BSNL and MTNL and private players such as Reliance Communications (RCOM) and Tata Teleservices have launched 3G -- high-end data services on mobiles -- while Bharti Airtel was slated to begin offering them by the year-end.

DoT last week halted video-calling services citing security concerns at the home ministry's behest, as these can be traced only a few minutes after they have ended. While intelligence agencies complain that such calls cannot be monitored live, executives with telcos say there is no technology available globally for real-time tapping of video calls.

During a meeting on Monday among representatives of telcos, the home ministry and security agencies, the Intelligence Bureau had sought a temporary ban on all 3G data services, a DoT official present said.

First-mover advantage lost
But, operators have been given up to seven days to demonstrate that data services can be tapped in real time, failing which the services will be disallowed. IB officials too have said they will discuss internally some of the proposals suggested by telcos during Monday's meeting, and come back within the next couple of days, this official added.

Any temporary ban on 3G services will dent the firstmover advantage enjoyed by RCOM, Tata Teleservices, and the state-run companies. It might also force Bharti Airtel, Vodafone, Idea Cellular, and Aircel to delay their launch plans.

"If we need to go through an equipment retesting drill, services will be delayed for at least six to eight weeks," said an official at a telecom company, who did not wish to be named.

Private operators and state run companies together paid Rs 67,000 crore to the government for 3G airwaves after an auction held in May. In addition, companies have spent several hundreds of crores on infrastructure to deploy these services.

Companies bid aggressively for 3G airwaves as they want to target high-end customers who would be willing to pay premium rates for value added services. But if the government follows the ban on video calls and data services, the difference between 3G existing mobile services would virtually disappear.

Last week, the industry lobby representing CDMA and dual-technology operators such as RCOM and Tata Teleservices wrote to the telecom minister seeking that the ban on video calls be revoked. The industry body said interception of video calls was only possible when the call ended, and that it would take six to nine months for the live tapping system to be implemented. The industry body, AUSPI, also met telecom minister Kapil Sibal in this regard.