India's parliament has successfully passed a new Telecommunications Bill aimed at modernizing connectivity and embracing new services, including satellite broadband. With over 1.17 billion telephone connections and 881 million internet subscribers, the country is taking significant steps to upgrade its telecommunications infrastructure just months before the general elections.

The upper house of the Indian parliament approved the Telecommunications Bill, 2023 through voice votes on Thursday, following its clearance in the lower house. The bill, which replaces century-old rules dating back to the telegraph era, grants the government led by Prime Minister Narendra Modi the power to utilize and take control of telecom services and networks. In the interest of national security, the bill also allows for the monitoring of traffic data and intercepting communication.

One noteworthy provision in the newly passed bill is the allocation of spectrum for satellite-based services. This amendment enables companies like OneWeb, Starlink, and Amazon's Kuiper to operate their satellite broadband services in India without participating in auctions. These companies have long advocated for an "administrative process" for spectrum allocation. However, India's Jio initially opposed this method, as it seeks to compete with these global players using its own satellite broadband service despite limited resources.

In a bid to attract foreign investors and expand private participation, the bill introduces amendments to the Telecom Regulatory Authority of India Act, 1997. These amendments allow individuals with over 30 years of private sector experience to serve as the regulator's chairperson, while those with over 25 years can become members. Previously, only retired government employees were eligible for such positions.

The term "OTT" (over-the-top) messaging apps, such as WhatsApp, Signal, and Telegram, was notably excluded from the bill's final version. This decision has been appreciated by industry bodies, including the Internet and Mobile Association of India, which counts Google and Meta among its members. However, the extent of regulation for these apps remains unclear in the document. Concerns have been raised by digital rights activists and privacy advocacy groups regarding the lack of clarity and absence of public consultations for the bill's final version.

The bill now awaits approval from the Indian president to become an officially enacted law. However, digital rights organizations like Access Now have called for its withdrawal, emphasizing the need for a new draft developed through consultation. These organizations argue that the bill enhances the government's powers to intercept communications and shut down the internet, while undermining end-to-end encryption crucial for privacy.

Overall, the Telecommunications Bill signifies India's commitment to embracing technological advancements, modernizing connectivity, and expanding services as it strives to position itself as a leader in the telecommunications sector.