The Nepal Telecommunications Authority (NTA) is considering closing down the Free WiFi Mobility service currently offered by internet service providers (ISPs), particularly WorldLink. NTA Chairman Bhupendra Bhandari shared this update during an event hosted by the Society of Economic Journalists Nepal (SEJON).
The potential shutdown stems from complaints by telecom companies, which argue that the free WiFi service is negatively impacting their revenues. Bhandari confirmed that NTA has been monitoring the situation, stating, “We are receiving complaints from the industry that Wi-Fi mobility has lowered our revenues. Currently, 200,000 people are using Free WiFi Mobility service and consuming thousands of gigabytes of data.”
As a result, NTA plans to analyze the effects of discontinuing the service before making any final decisions.
Free WiFi Mobility Service Under Threat
The Free WiFi Mobility service, mainly provided by WorldLink, allows users to connect to WiFi hotspots in public areas like restaurants, shopping malls, gyms, hospitals, airports, and hotels. The service is available in over 14,000 locations, including key areas in Kathmandu, providing seamless connectivity without using mobile data.
However, telecom companies argue that the availability of free WiFi creates unfair competition, as ISPs don’t have to pay for licenses and spectrum, unlike telecom companies that make significant payments for such resources. The NTA’s potential move to close the service aims to address this issue and create a more level playing field between ISPs and telecom providers.
Impact on Telecom Companies and Consumers
The telecom industry in Nepal has faced declining revenues in recent years, with both Nepal Telecom (NTC) and Ncell seeing a steady drop in income. This has prompted the government to explore solutions to support the sector. Closing the free WiFi mobility service may be one step in tackling these financial challenges.
Bhandari also mentioned that telecom companies are considering a subscription model to grow their business. However, he emphasized that while addressing the declining income of operators, companies must also consider consumers’ rights.
WorldLink’s WiFi Express hotspots have been especially beneficial for smartphone users who need internet on the go, without using mobile data. However, if NTA decides to end the free WiFi service, users may face inconvenience.
On the other hand, mobile data packs in Nepal have become more affordable compared to a decade ago. Plans like Ncell’s Sadhain ON Pack and NTC’s data packs offer cost-effective solutions for staying online. Moreover, NTC has recommended that people avoid free public WiFi and instead use mobile data for better security and speed.
