TRAI probes Vi over alleged anti-competitive practices in customer acquisition

The Telecom Regulatory Authority of India (TRAI) has initiated an inquiry into allegations that Vodafone Idea employed unfair business practices to acquire customers migrating from rival networks. Bharti Airtel and Reliance Jio have lodged formal complaints accusing Vi of using deceptive calling tactics, blocking SMS delivery of porting authorization codes, and aggressive discount schemes to convert switching customers.

According to the allegations, Vi's practices have violated fair competition norms under the Telecom Tariff Order and the License Agreement framework. The complaints specifically cite instances of misleading promotional calls directed at customers contemplating network switches, alongside restrictions on the delivery of critical SMS messages required for the mobile number portability process.

The complaint further claims that Vi's discount offerings were designed specifically to capitalize on the vulnerabilities of customers during the porting window, when individuals are most likely to be receptive to switching incentives. Such practices, if substantiated, would constitute market abuse during a regulated process meant to ensure fair customer choice.

TRAI's investigation comes at a time when Vi faces significant financial pressure and declining subscriber numbers. The regulator is expected to examine call records, SMS logs, and promotional materials as part of its probe. Findings could result in penalties and directives to ensure compliance with competition and consumer protection guidelines in the telecom sector.

Vodafone Idea has not issued an official statement regarding the allegations. The outcome of TRAI's investigation may set important precedents for permissible conduct during mobile number portability transactions across the Indian telecom industry.