Facebook disappointed with Trai’s differential tariff decision

While not ruling explicitly on net neutrality, the TRAI said in a statement that “No service provider shall offer or charge discriminatory tariffs for data services on basis of content”.

In giving priority to major websites and services, some also anxious that Free Basics could lock smaller companies out of the market, stifling innovation in India.

No service provider can offer or charge discriminatory tariffs for data services on the basis of content.

India’s telecoms regulator has blocked Facebook’s Free Basics over concerns that the Internet service violates net neutrality. These are also seen as ways to control the internet by the telecom providers and falling against the spirit of net neutrality.

The Telecom Regulatory Authority of India (TRAI) previously put a temporary ban on the free Web service back in December.

The move comes as a blow to Facebook and its founder Mark Zuckerberg who is the driving force behind Internet.org, an effort to empower 4bn people through access to the internet.

They said that since most Indians weren’t online yet, these programs had the power to shape the understanding of the internet for newcomers.

“Our goal with Free Basics is to bring more people online with an open, non-exclusive and free platform”, a Facebook spokespersons told IANS. “It (Free Basics) was a tool to connect the billion of unconnected people in India”, Mathews contended.

The TRAI says it will order service providers to withdraw such tariff and will penalise the service provider with Rs 50,000 for each day of contravention.

Facebook has been working on various projects to try and expand internet access throughout India including a program which brings cheap Wi-Fi into rural villages.

A spokesman for mobile operator Reliance Communications, Facebook’s partner for Free Basics, declined to comment.

In their statement, TRAI said the ruling was created to ensure that consumers would get “unhindered and non-discriminatory access to the internet”.

There are exceptions, such as in the case of providing emergency services, or “at times of grave public emergency”, TRAI said in the ruling, which the agency said it would review in two years.