By Indrani Sen
Last week, TRAI released a consultation paper on how a sustainable service of providing free Wi- Fi to the general public can be introduced in India. I read the report published in exchange 4media (http://www.exchange4media.com/digital/trai-moots-ad-based-models-for-free-wi-fi;-estimates-cost-at-less-than-2p-per-mb_65238.html), which described the consultation paper as a summary of the various models of deployment and monetisation which are being practised around the world and does not include any specific guideline for how the same structures can be adopted in India or what kind of rules and regulations will be applicable in each case.
It seems the TRAI paper merely indicates that the costs of access of free Wi-Fi may be borne by the end user, owner of the site where the access point is deployed, advertisers, sponsors or the government and lists the four types of models available globally: Paid Model, Freemium Model, Advertisement-based Model and Aggregators’ Model. It is surprising that the exchange4media report mentioned only under the advertisement-based model that personal data collected from the user at the time of sign-in could also be monetised to earn revenues, where as in reality such practices can be adopted by any of the four financial models described by TRAI, based on how they choose to develop their financial models.
Free Wi-Fi services are a privacy paradox as generally they come at the cost of the users sharing valuable information on their personal, locational and behavioral data. Companies providing the services can collect, store, analyse and sell the same information to earn revenues. Indian consumers who often agree to accept the rules which allow them access to internet services without going through the fine prints need to be aware about the price which they are paying for the services including free Wi-Fi. Does TRAI plan to have any guidelines for collecting, analyzing and selling personal data of the users by the service providers?
Some time back, I read an interesting article in Forbes magazine by Alex Konrad, (http://www.forbes.com/sites/alexkonrad/2014/01/22/airport-wifi-free/#777e90b311cd) titled “Who is paying for your free Airport Wi-Fi?†Konrad observed about the situation in US in that article “As ad-supported Wi-Fi has taken off, the biggest partner to airports has remained Boingo Wireless, which has traditionally paid for the equipment and installation and split its monthly and daily access fee revenue with the airports in multi-year contracts.†Needless to mention that we will also need investors/ access providers who will be prepared to sink in the money required for setting up the infrastructure. Boingo sells advertising on its Wi-Fi platform, through landing page access and display advertising and provides information on their users across airports to marketing companies for better targeting of their products and services.
The Aam Admi Party promised availability of free Wi-Fi in public places across Delhi in their election manifesto. There was an interesting analysis by Pravin Prashant early last year “Who will pay for free Wi-Fi in Delhi†(http://www.teleanalysis.com/analysis/who-will-pay-for-free-wi-fi-in-delhi-12917.html) where he mentioned “According to experts, the capex (only capital expenditure and not RoW cost) cost for free Wi-Fi in Delhi would cost around Rs 500 crore if one plans Wi-FI in government buildings and tourist places and Rs 1000 crore if one plans street based Wi-Fi in Delhi. On top of this, government needs to pay any agency who provides Wi-Fi service which would be around Rs 100- Rs 200 crores.†No wonder that Arvind Kejriwal has not been able to fulfill this promise made to Delhites. The construction of the Wi-Fi networks is a significantly large part of their overall cost. In India the process is bound to create some public-private partnerships. Does TRAI plan to have any guidelines for such partnerships? Can TRAI safeguard the privacy of Indian people while detailing their rules and regulations?
Indrani Sen is a veteran media agency and marketing services professional. She is currently an Independent Consultant and Adjunct Faculty, Media Management at Symbiosis Institute of Media & Communication, Pune. This column MediaSENse will appear fortnightly. The views expressed here are her own.



