the Department of Telecommunications
Although the MHA had clarified that telecommunications, IT and ITeS were exempted from the lockdown, there were instances of local authorities asking personnel of telecom service providers at NOCs (network operation centres) and call centres to shut down operations. In response, the Department of Telecommunications (DoT) had written to chief secretaries of states on March 21, urging them to allow movement of field staff of telecom companies.
It is therefore essential that appropriate instructions are received at the field level so that the services can continue without interruption. The DoT had also written to chief secretaries of all states on March 24, requesting them to designate a nodal officer who can be contacted by service providers and telecom licensees in the event of any difficulty.
This is critical given that on-ground staff need continued access to towers for maintenance, to identify potential risks, and refuelling (for towers using diesel gensets)[4]. This move may help mitigate some of the issues seen at the local level, in ensuring that there are no obstructions in the working of the telecom sector.
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Each move in the industrial landscape represents a way in which the previous standard was disrupted by new technology and advances. Because of the steady progress of smart technologies, artificial intelligence and machine learning, it is now widely agreed that we are currently living in the fourth industrial revolution. These new technologies will change all industries and disciplines by combining physical and digital worlds.
Smart machines are already in place in businesses across the world. They can collect a large amount of data and analyse it efficiently and precisely, saving time and costs for the human workforce. Other uses include autonomous equipment which streamline operations and optimising logistics by fixing real-time problems, to name a few.
In the event the sought relief is not granted by the Supreme Court, and the Telcos would be required to pay the AGR in full or without any deferment, the financial impact on Telcos could be severe. If the revenues and available cash are not sufficient to pay the license fees (based on the revised interpretation of AGR), Telecos may be forced to consider increasing debt to meet demand. But, given the precarious financial conditions, lenders willing to extend financial assistance will be scarce and cost of borrowing will be higher (as compared to the pre-COVID situation), given the impact on the sector, creating a vicious cycle.
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