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Wrong connection: Trai's position on predatory pricing defies logic

The problem lies in Trai's interpretation and description of predatory pricing

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Business Standard Editorial Comment
The latest tariff order issued by the telecom regulator to curb predatory pricing has set off another me-versus-you battle in the industry. Tariffs have been under forbearance for more than 15 years, thereby letting market forces determine how much a telecom company will charge its customers. Although the forbearance regime continues, the regulator has ceased to be hands-off on tariffs with this order. However, the order, which comes into effect immediately, looks faulty for its full dependence on the definition of “significant market player”, or SMP, to pin down predatory pricing in the sector. Any service provider with more than

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