Telecom Operators Seek Govt. Subsidy to Deploy LBS Infra in India

LBS is the next killer app in 3G & mobile broadband ready India and while it hasn’t really taken off yet, operators are blaming the lack of activity to monetary hurdles in setting up the infrastructure for LBS deployment in India.

At a recently held LBS conference, operators unanimously stated that a government subsidy will help them accelerate the LBS deployment process. Curated quotes from operators:

“Mobile operators can earn high revenue from Location Based Ads. The elections are approaching and this opportunity can give an immense amount of revenue through the Location Based Ads, leave the rest” – Sivarama Krishna, Executive Director, Consulting, PricewaterhouseCoopers

“In India we follow a mantra ‘High value low price’. We can tackle to the problems if govt. subsidizes us on monetary basis. Government needs to encourage competition rather than regulating it” – Rajan S Mathews, Director General, Cellular Operators Association of India

Costumers understand the value of LBS but they are very concerned about the privacy issues and even they are not willing to pay for the service. We as service providers have to ensure that the information is secured and is not misused. To successfully deploy the service, we require to minimizing CAPEX, deploy adequate technology in CDMA and define the target group for LBS apps.” – Rajesh Gandhi, AVP VAS Technologies & Enterprise Solutions, TATA Teleservices

“Main problem in LBS deployment is intra-circle limitations. We need a third party, who can establish infrastructure compliant to both operators. In India, we have an infrastructure which is not secure in wake of changing future requirements”. He further added, “With the mobile phone enabling legal agencies to locate individuals and events it is necessary for government, service operators and DoT to enter into workable arrangements and protocols to fix legal onus to prevent avoidable legal complications to dog service providers.” [A K Bhargava, ED Wireless Services MTNL]

So in short, no action in the interim?

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