In Short:
The Telecom Regulatory Authority of India (TRAI) suggests that new-age startups and innovators should be supported with funds to bridge the digital divide and bring socio-economic benefits. The funds from Digital Bharat Nidhi can be used for pilot projects, consultancy assistance, and new technology introduction. TRAI also recommends implementing a regulatory sandbox in the digital communication sector to allow testing new technology in real network environments for success and scalability.
TRAI Recommends Government Funding for New-age Startups and Innovators
The Telecom Regulatory Authority of India (TRAI) has suggested to the Department of Telecommunications (DoT) that new-age startups and innovators should be supported with funds. This recommendation aims to assist technologies that may struggle to attract private investment but have the potential to bridge the digital divide and bring socio-economic benefits.
Utilizing Digital Bharat Nidhi Funds
The funds under Digital Bharat Nidhi (Universal Service Obligation Fund) can be utilized to provide financial support for pilot projects, consultancy services, or the introduction of telecom services, technologies, and products.
According to TRAI’s consultation paper titled ‘Encouraging Innovative Technologies, Services, Use Cases, and Business Models through Regulatory Sandbox in Digital Communication Sector,’ TRAI stated that certain innovative products with the potential to benefit underprivileged sectors may struggle to secure adequate funding from traditional sources.
Implementation of Regulatory Sandbox
TRAI also emphasized the need for the government to promptly implement a regulatory sandbox in the digital communication sector. Regulatory sandboxes allow for regulated access to telecom networks and customer resources to thoroughly test new technologies beyond traditional lab testing and pilots.
Access to real network environments and telecom network data through regulatory sandboxes will greatly benefit innovators by ensuring the reliability and scalability of new applications before commercial release, ultimately increasing the chances of success in the market.
