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MOBILE NUMBER PORTABILITY - The Revolution Which Touched The Most

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1 MOBILE NUMBER PORTABILITY - The Revolution Which Touched The Most
Gauraan 3rd year Rajiv Gandhi National University of Law, Punjab

2 NUMBER ADDRESSING SERVICE
Signaling network is the nerve center of communication From PSTN to NGN, from GSM/CDMA to 3G, from fixed IN (Intelligent Network) to mobile IN Number Addressing Services are enabled via the signaling network MNP (Mobile Number Portability) Users rely more and more on their communication numbers FNR (Flexible Number Routing) For redundant numbers which cannot be otherwise used in different HLR SMR (Short Message Routing) For load sharing and safer SMS It is generally understood that the signaling network is called the nerve center of communication networks, hence, it is considered to be of vital importance to telecom networks. From PSTN to NGN, from GSM/CDMA to 3G, from fixed IN (Intelligent Network) to mobile IN, the signaling network plays an important role. In such a background, an important consideration for carriers is: How to further explore the potentiality of the signaling network, while at the same time maintaining its existing functions? NGN - A Next generation network (NGN) is a broad term to describe key architectural evolutions in telecommunication core and access networks. The general idea behind the NGN is that one network transports all information and services (voice, data, and all sorts of media such as video) by encapsulating these into packets, like it is on the Internet. NGNs are commonly built around the Internet Protocol, and therefore the term "all-IP" is also sometimes used to describe the transformation toward NGN. PSTN - The public switched telephone network (PSTN) also referred to as the plain old telephone service (POTS) is the network of the world's public circuit-switched telephone networks. Originally a network of fixed-line analog telephone systems, the PSTN For operating in these microwave frequencies they all need some access methods. And these methods are: 1. Frequency division multiple access (FDMA) 2.Time division multiple access (TDMA) 3.Code division multiple access (CDMA) Code division multiple access (CDMA) - Thus CDMA is one access technology which cell phones uses to transmit and receive data. You can understand the meaning of FDMA, TDMA and CDMA eazily by just noting the word meaning for ezch letter. That is FDMA puts each call on a separate frequency and TDMA assigns each call a certain portion of time on a designated frequency for the above mentioned purpose. But CDMA gives a unique code to each call and spreads it over the available frequencies. All these are multiple access systems because more than one user can use the specified CELL ( not cell phone!) at a time. But GSM or Global System for Mobile uses the above mentioned TDMA ( Time Division Multiple Access ) for mobile communication purposes ! In other words GSM is a global standard based on TDMA and a very popular one in the entire Europe, Middle East, Asia and Africa and not an access code as CDMA but one global standard.( Remember it always....CDMA vs GSM is really misleading! it is CDMA vs TDMA..!) The developments of communication networks have led to many new services such as, MNP (Mobile Number Portability), FNR (Flexible Number Routing), and SMR (Short Message Routing). These services are all processed via signaling equipment and related to number addressing, so we refer to them as number addressing services. How can we quickly enable these services in a cost-effective way? In each communication network, service flows are carried via certain service networks, while signaling is carried, transmitted and analyzed via a signaling network. This makes it possible to efficiently enable number addressing services via the signaling network. Suppose that a carrier is serving 5 million mobile users and using two pairs of independent signaling network equipment for signaling processing. To enable a number addressing service, the carrier can use existing signaling equipment. No additional signaling is added, and existing service processes and the network structure are not changed. Services can be efficiently deployed, and their TCO (Total Cost of Operation) can be greatly curtailed. MNP: quick and efficient, attracting more users MNP, mobile number portability, allows a mobile user to change the subscription network in the same country without changing the number. This service will become a trend as users gradually rely more and more on their communication numbers. Telecom administrations in many countries have released policies urging carriers to provide MNP service. By the end of 2006, inter-carrier MNP had been established and enabled in about 50 countries worldwide. Currently, Asia and Eastern Europe have become hotspot areas for deploying MNP, following the EU and the United States. In-depth considerations and lively discussions concerning MNP are currently being conducted in Singapore, Pakistan, Turkey, Romania, Bulgaria, as well as many other countries. As cost-effectiveness and efficiency are major requirements for MNP deployment, it is now considered a mainstream solution to enable MNP via the signaling network. The signaling network MNP solution is also referred to as the SRF (Signaling Relay Function). Its basic principle is: The signaling network equipment is located in front of the HLR (Home Location Register); all signaling messages must pass through the signaling network equipment before reaching the HLR. The signaling network equipment intercepts call-related and call-unrelated signaling messages and queries the NPDB (Number Portability Database), according to the obtained mobile number. Then, the equipment processes signaling messages according to the query results. In this way, signaling messages from ported users can be normally routed to correct the HLRs, hence, enabling number portability. This solution has some very attractive features such as, few network changes, no need for terminal office upgrading, and a simple signaling process. It also enables MNP in a quick and cost-effective mode. Moreover, this solution can easily solve non call-related services such as, SMS. With all of these advantages, it's no wonder that this solution has become a prime choice defined by the 3GPP. The signaling network solution can enable MNP among GSM, CDMA, 3G and PSTN networks. It provides MNP users with basic services, which would include: post-paid voice service, prepaid voice service, short message service, and multimedia SMS services. It also supports some enhanced functions, for example fixed-network NP, anti-route cycling, and anti-SMS fraud. These functions enable carriers to smoothly implement MNP, improve the network QoS, and increase customer satisfaction and operation competitiveness. FNR: simple and flexible, more reasonable number usage Mobile carriers often face the following situation: After distributing numbers to different areas, some areas might quickly use up all their numbers, while other areas might have a significant amount of redundant numbers that cannot be used by the formers. If this is the case, then carriers will have to answer two questions: How to improve the utilization of number resources, and how can a user get the SIM card of his original remote number if he loses his SIM card in a remote area? Many carriers have provided a solution for the above issues, which is FNR, flexible number routing. The FNR enables carriers to flexibly allocate numbers to users, breaking down the restriction for number locations in the HLR. FNR is a typical number addressing service and is implemented via the signaling network. The procedures of FNR are similar as the procedures for MNP, which enables number portability via the signaling relay mode. However, FNR enables more flexible number processing. Via analysis and queries on the signaling network equipment, the carrier's MSISDN (Mobile Station International ISDN Number) does not correspond to IMSI (International Mobile Subscriber Identity) number; in this way, MSISDN numbers can be flexibly distributed, and number correspondence is not a necessary consideration. Thus, this can reduce the waste of number resources of carriers and enable the portability of user numbers between HLRs. In summary, by using the signaling network solution to enable the FNR, service processes and existing network structure will be altered very little, and implementation costs will be curtailed. After implementation, number resources can be fully used, and the area restriction of numbers is broken down. The signaling network solution supports portability of user numbers between the HLRs, and it also supports number resource management and flexible number inheritance, which can help carriers to further improve QoS and network profitability. SMR: load sharing, SMS getting safer As mobile networks and SMS services continue to develop, traffic from SMS has also been increasing sharply. For instance, during holidays, SMS traffic might rise for tens of times. Hence, there is an urgent need for carriers to enable SMS load sharing and improve the disaster tolerance capability of the SMC (Short Message Center) without affecting user experiences. SMS services are carried via the signaling network. In addition, each signaling network has to enable load sharing and SMC number sharing functions. This can be made via the SMR (Short Message Routing) service in the signaling network. In the signaling network, the SMR routes SMS services to corresponding SMCs, according to sending and receiving numbers. This is like establishing a virtual SMC. The signaling network balances loads and distributes services to different SMCs. At the same time, only one SMC address is stored in users' mobile phones. The SMR enables load sharing among SMCs without changing users' operation habits or adjusting routes to new SMCs. The SMR can also enable SMS disaster tolerance. In the event that a SMC fails, then the signaling equipment can reroute SMS services towards the failed SMC to other SMCs. This can minimize losses and guarantee network security. The signaling network solution can also be used to offer many other number-related services such as, CRBT (Colorful Ring Back Tone), SMS filtering, SMS forwarding, SMS website browse, and IMEI catch. So far the signaling network solution to implement number addressing services has become the first choice with many carriers, and is enjoying much success. In Brazil, the solution was adopted for MNP between CDMA and GSM networks; in Europe, the solution was widely adopted for MNP between 2G and 3G networks; in Pakistan, the solution was used to enable MNP among networks throughout the country; in Brazil, Pakistan and Hong Kong, the FNR has been widely applied; in Indonesia and Argentina, the SMR service was deployed to cater to the quick developments occurring in SMS. All these cases show that more and more carriers are using signaling networks to provide number-related services, hence, fully effectively exploring the potentiality of signaling networks and improving overall network profitability. To summarize the above, the signaling network can quickly deploy number addressing services without adding signaling or changing network structure and service processes. Therefore, the most recent development trend in the telecom industry is to use signaling networks to improve QoS and profitability, reduce comprehensive investments, and satisfy present and future service requirements.

3 WHAT IS IT? “MNP” Enables the mobile phone end-user
Switch from one mobile operator to the other, Or from one cellular mobile technology to another of the same service Provider Within a telecom circle, Without compromising on quality, reliability and operational convenience While retaining the same mobile number Irrespective of the mobile technology Mobile Number Portability (MNP) allows you to switch from one mobile operator to the other, within a circle, without changing your mobile number. With Mobile Number Portability you can switch to Videocon Mobile Services while retaining your old number and enjoy the best combination of superior services and great value on an un-crowded network. Mobile Number Portability enables the mobile phone end-user to retain their telephone number without compromising on quality, reliability and operational convenience when they change their service provider in a service area. It requires the originating network to determine the correct destination for a given number and forward the call to the destination network.

4 TELECOM CIRCLE IN INDIA
TELCORDIA: • Kolkata • Tamil Nadu including Chennai • Andhra Pradesh • Karnataka • Kerala • Madhya Pradesh • West Bengal • Assam • Bihar • North East • Orissa SYNIVERSE: • Delhi • Mumbai • Maharashtra • Gujarat • Haryana • Punjab • Rajasthan • UP (East) • UP (West) • Himachal Pradesh • J&K LSAs (License service areas) The Indian Authorities have split the country into two regions – north and west of the country in one, south east in the other. Each region includes 11 of the total 22 local license area for the mobile phone operations – circles, in Indian telecom jagrons. Syniverse will handle the north and west; Telcordia the south and east

5 HOW TO PORT Two ways : 'Recipient-Led' porting and 'Donor-Led’ porting. 'Donor-Led’: The customer wishing to port his/her number is required to contact the Donor to obtain a Porting Authorisation Code (“PAC”) which he/she then has to give to the Recipient. Once having received the PAC the Recipient continues the port process by contacting the Donor. 'Recipient-Led’: The international and European standard is for a customer wishing to port his/her number to contact the new provider (Recipient) who will then arrange necessary process with the old provider (Donor). UK is the only country to not implement a Recipient-Led system. Position in India: We follow UK though with a Unique Porting Code (“UPC”) which is very similar to PAC MNP [Mobile number portability]is implemented in different ways across the globe. The international and European standard is for a customer wishing to port his/her number to contact the new provider (Recipient) who will then arrange necessary process with the old provider (Donor). This is also known as 'Recipient-Led' porting. The UK is the only country to not implement a Recipient-Led system, where a customer wishing to port his/her number is required to contact the Donor to obtain a Porting Authorisation Code (PAC) which he/she then has to give to the Recipient. Once having received the PAC the Recipient continues the port process by contacting the Donor. This form of porting is also known as 'Donor-Led' and has been criticised by some industry analysts as being inefficient. It has also been observed that it may act as a customer deterrent as well as allowing the Donor an opportunity of 'winning-back' the customer. This might lead to distortion of competition, especially in the markets with new entrants that are yet to achieve scalability of operation.

6 THE TECHNICAL ASPECT Routing of calls or mobile messages (SMS, MMS) to a number once it has been ported Two ways: via central database (“CDB”) and via Indirect Routing CDB Network operator makes copies of CDB and queries it to find out which network to send a call to. This is also known as All Call Query (“ACQ”) and is highly efficient and scalable. Majority of the established and upcoming MNP systems across the world are based on this ACQ/CDB method of call routing. INDIRECT ROUTING The calls to a number once it has been ported are still routed via the Donor network. It is highly inefficient as it is wasteful of transmission and switching capacity. Because of its Donor dependent nature, Indirect Routing also means that if the Donor network develops a fault or goes out of business, the customers who have ported out of that network will lose incoming calls to their numbers. A significant technical aspect of MNP (Mobile Number Portability) is related to the routing of calls or mobile messages (SMS, MMS) to a number once it has been ported. There are various flavours of call routing implementation across the globe but the international and European best practice is via the use of a central database (CDB) of ported numbers. Network operator makes copies of CDB and queries it to find out which network to send a call to. This is also known as All Call Query (ACQ) and is highly efficient and scalable. Majority of the established and upcoming MNP systems across the world are based on this ACQ/CDB method of call routing. One of the very few countries to not use ACQ/CDB is the UK where calls to a number once it has been ported are still routed via the Donor network. This is also known as 'Indirect Routing' and is highly inefficient as it is wasteful of transmission and switching capacity. Because of its Donor dependent nature, Indirect Routing also means that if the Donor network develops a fault or goes out of business, the customers who have ported out of that network will lose incoming calls to their numbers.

7 WHY PORT? Benefits to mobile network providers and the mobile industry: Updated technology and latest sophistication prevent stagnation of resource up gradation Healthy competition between providers Benefits to subscribers: Better quality & bouquet of value-added services offered by any operator Exercise choices and get products and services in accordance with preference Competitive tariff package will be offered by all providers Stiff competition leading to better facilities Enhanced customer satisfaction Growth of Telecom Sector Affordable portability

8 COMPETITION “Competition enhances the efficiency of businesses and improves the availability and quality of products and services. The telecom sector is a prime example where the fruits of competition are visible to all.” - Dr. Manmohan Singh “The competition in the telecom sector has intensified in the last 10 years, with rates reaching the lowest level.” - Communications and IT Minister Kapil Sibal Role of VAS and MNP “It is believed that MNP will trigger competition.” [write about importance of competition] Though our PM has very rightly stated that Competition enhances the efficiency of businesses and improves the availability and quality of products and services, but as kapil sibal has mentioned that competition in telecom sector has reached its max limit regarding the tarriff rates, the role of VAS and MNP gets automatically highlighted.

9 VALUE ADDED SERVICES (VAS)
Not a part of the basic voice offer Are availed off separately by the end user It allows the mobile operators to develop another stream of revenue Contributes around 9-10% of the revenues of different Telcos FACTORS DRIVING VAS Booming economy Increasing comfort levels with basic mobility services Personalization of the digital world and digital devices Reduction in call rates & CPP initiation Focus on movies & music SMS contests Mobile value-added services (VAS) are those services that are not part of the basic voice offer and are availed off separately by the end user. They are used as a tool for differentiation and allow the mobile operators to develop another stream of revenue. The nature of value added services change over time. A VAS may become commoditized and becomes so common place and widely used that it no longer provides meaningful differentiation on a relative basis. For example several mobility operators & other stakeholders in the industry no longer consider P2P SMS as a form of VAS. Environmental factors driving VAS Booming economy India has maintained its position as the second-fastest growing major economy after China, as rising consumer and government spending taking place. Consumption and infrastructure spending are driving the growth. This booming economy has created job opportunities and increased the spending power of an average Indian. This has resulted in higher disposable incomes and faster acceptance of new technologies with a willingness to spend for them. Increasing comfort levels with basic mobility services There is now a critical mass of users in the Indian mobile telephony market who are experienced mobility users. These users are very comfortable in using their phones and want to exercise the option of doing more on them beyond basic voice applications. The first phase of growth for VAS has come in from these converts; and these users will continue to drive the market and evolve into more advanced applications. At the same time the basic VAS applications will also continue to appeal to the new mobility category initiates. Personalization of the digital world and digital devices With increasing pressures and stress on individuality, mobility users also want to carry forward their individuality to their mobile device. Thus for a large number of users the mobile phone has become a truly personal device and VAS has become an extension of persona. The enormous success of Caller Ring Back Tone (CRBT) is an excellent example which illustrates that users are ready to adapt to any service which offer them the option of personalization. Reduction in call rates & CPP initiation CPP (Calling Party Pays) was an important initiative which unshackled the mobility market and allowed many more subscribers to enter the mobility category. This initiative, in conjunction with the gradual reduction in call rates has ensured that the expenditure on voice for a typical user has gone down over the years. As a result more users have become comfortable in spending on VAS as it does not significantly impact their overall outlay on mobility. Focus on movies & music Movies & Music are the passion of India. Most of the rich content available to the end users revolves around these two, with Ringtones of popular Bollywood songs, Wallpapers of movie leads and games developed around movie themes. Given that Youth account for a large segmentof users & also dominate the pre-paid category, the focus on entertainment has been a strong hook to develop the VAS category and operators & content aggregators have been sharply focused in their efforts to pluck this low hanging fruit. It has been helpful that the film industry in India is very prolific and there are endless options to develop content around. SMS contests Television is another culturally entrenched constant in the life of the average Indian. Typically TV viewing has been a passive affair, however following the global trend TV channels have been focused on making programming interactive. Thus programs, especially music & contest shows have started giving the option to their viewers to participate through SMS. A popular show like Kaun Banega Crorepati (KBC) generated 58 million SMS over a 3 month period. These shows have also been a key driver in increasing familiarity with basic SMS for traditional low user segments like non-working women. BASED ON NATURE OF SERVICE Entertainment VAS Info VAS Transactional services

10 THE LEGAL ASPECT Anti – Competitive Behavior:
Anti-competitive agreements Abuse of dominant position Combinations (Mergers and Acquisitions) ABUSE OF DOMINANT POSITION Dominance means acquisition of significant market power, which enables the enterprise to increase the price or limit production independently of competitors as well as customers. Dominant position has to be determined in the relevant market and the factors for such determination are provided in the Act. Dominance is not treated bad per se; it is the abuse of dominant position which is prohibited. The list of abuses is expressly mentioned in the Act. If a dominant player is found to be indulging in a behaviour listed as an abuse, such behaviour is not permitted. The list of abuses is exhaustive. Predatory pricing is one of the abuses which can be established against a dominant player if the selling price is below cost and there is intent to oust competitors.

11 SOME FACTS COUNTRY TIME TAKEN Other remarks United Kingdom
5 working days Does not use ACQ/CDB United States of America 2 hours Republic of Ireland 20 minutes Australia 3 minutes New Zealand Few seconds Canada 10-20 minutes India 7 days Service Disruption is only for 2 hours Customers can port between prepay and post pay options and from CDMA to GSM and vice-versa. Pakistan 4 days Customers can port between prepay and post pay options. The UK telecoms regulator Ofcom completed its extended review of the UK MNP process on 29 November 2007 and mandated that ACQ/CDB be implemented for mobile to mobile ported calls by no later than 1 September 2009[dated info], Prior to March 2008 it took a minimum of 5 working days to port a number in the UK compared to 2 hours only in USA, as low as 20 minutes in the Republic of Ireland, 3 minutes in Australia and even a matter of seconds in New Zealand. On 17 July 2007, Ofcom released its conclusions from the review of UK MNP and mandated reduction of porting time to 2 working days with effect from 1 April On 29 November 2007, Ofcom completed its consultation on further reduction to porting time to 2 hours along with recipient led porting and mandated that near-instant (no more than 2 hours) recipient led porting be implemented by no later than 1 September 2009. In a decentralised model of MNP, a FNR (Flexible Number Register) may be used to manage a database of ported out/ported in numbers for call routing

12 REGULATION TELCORDIA and SYNIVERSE
TELECOMMUNICATION MOBILE NUMBER PORTABILITY REGULATIONS, 2009 (8 of 2009) Second amendment on 24 November, 2010 100-day agenda of the Telecommunications and IT Ministry New Telecom Policy (NTP)-2011 Telecom Regulatory Authority of India (TRAI’s) recommendations Recognition of telecom as infrastructure and as an essential service Encouraging green telecom aim to balance low rates, robust industry and government’s share of revenues. The Department of Telecommunications (DoT) plans to set up a committee to initialise the process of formulation of New Telecom Policy (NTP)-2011, which will override the existing policy announced 11 years before. DoT will also finalise its internal view on the Telecom Regulatory Authority of India (Trai’s) recommendations, which was given in May last year, on mergers and acquisitions, spectrum allocation, spectrum sharing and other licencing aspects by the end of this month, a senior official from the department said. It had also recommended linking the price of 2G spectrum beyond 6.2 MHz with the price discovered in the 3G auction last year. DoT’s view will be important as it will decide the important issue of pricing of 2G spectrum. TRAI’s recommendations had met strong opposition from the major industry players. DoT will finalise the terms of reference for the committee by the end of January, which will kick off the process for formulating the new policy, the official added. The department will also have a meeting with the industry soon to have a clearer idea about what the industry wants in the new telecom policy. The department will also consult stakeholders to evolve a transparent mechanism on key issues including spectrum allocation, trading and sharing of spectrum, tariffs, mergers and acquisitions among others. The consultations will be held after considering recommendations of Trai in May last year. The current mergers and guidelines stipulate a three-year lock in period for the firm before selling out. Second, a service provider cannot have more than 10 per cent stake in another operator in the same circle. On January 1, communications and IT minister Kapil Sibal had announced the new policy 2011 was on the anvil. This was part of the 100-day agenda, to be taken up by the ministry. “11 years have passed since NTP 1999 and many changes have taken place since then. We will initiate action to formulate a comprehensive ‘National Telecom Policy 2011’, including recognition of telecom as infrastructure and as an essential service, encouraging green telecom,” Sibal had said. The new framework will aim to balance low rates, robust industry and government’s share of revenues. There are operators in every circle with a total subscriber base of 700 million. The competition in the telecom sector has intensified in the last 10 years, with rates reaching the lowest level.

13 WINDING UP BY EMPHASIZING ON THE NEED OF A CHECKING MECHANISM

14 Eligibility 6. Eligibility Criteria for making a porting request.-- Every subscriber shall be eligible to make a request for porting his mobile number: Provided that--- (a) a period of ninety days has expired from the date of activation of his mobile connection in the case of a mobile number not ported earlier; or from the date of activation of his mobile number after its last porting, in the case of a mobile number which has been ported earlier, as the case may be; (b) there are no outstanding payments due to the Donor Operator by way of pending bills or bills, as the case may be, issued as per the normal billing cycle but before the date of application for porting; (c) there is no pending request for change of ownership of the mobile number ; (d) the mobile number sought to be ported is not sub-judice; (e) porting of the concerned mobile number has not been prohibited by a Court of Law.

15 Criteria for rejection
12. Grounds for rejection of porting request by Donor Operator.--- A request for porting of a mobile number shall not be rejected by a Donor Operator on any ground other than the following grounds, namely:- (a) there are outstanding payments due from the subscriber by way of pending bill or bills, as the case may be, issued as per the normal billing cycle but before the date of application for porting; (b) the porting request has been made before the expiry of a period of ninety days from the date of activation of a new connection; (c) a request for change of ownership of the mobile number is under process; (d) the mobile number sought to be ported is sub-judice; (e) porting of the mobile number has been prohibited by a Court of Law; (f) subscriber has applied for inter-service area porting; (g) the unique porting code mentioned in the porting request does not match with the unique porting code allocated by the Donor Operator for the mobile number sought to be ported; (h) there are subsisting contractual obligations in respect of which an exit clause has been provided in the subscriber agreement but the subscriber has not complied with such exit clause: Provided that where the Donor operator rejects a porting request on the ground of subsisting contractual obligations, he shall indicate the full details of such contractual obligations.

16 MOBILE NUMBER PORTABILITY
highly consumer-friendly initiative acts as a catalyst for the service providers to improve their quality of service available only within a given licensed service area The Subscriber who wishes to port his mobile number should approach the Recipient operator withdraw his porting request within 24 hours of its submission to the Recipient Operator Some experts are saying that MNP won’t be a game changer, it will just make a bit initial impact and everything will flatten out in the long run eventually “A lot was expected to happen on the first day when the mobile number portability India was launched but there hasn’t been much buzz seen around.”


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