Companies to take action against fake calls even without a complaint; TRAI issues new draft..

The use of Artificial Intelligence (AI) is growing rapidly within the country's telecom sector. Telecom companies are increasingly leveraging it to enhance their networks and services. However, this expanding technology also brings forth new risks. In light of this, the Telecom Regulatory Authority of India (TRAI) has taken a significant step by releasing a comprehensive draft framework—a set of draft guidelines—for the safe and responsible use of AI in telecom networks and services. This initiative will play a crucial role in curbing arbitrary practices by telecom companies and ensuring the protection of ordinary consumers.

Telecom companies to be held directly accountable for any malfunctions
It is often observed that companies distance themselves from responsibility when technical flaws arise. However, TRAI’s newly proposed framework clearly establishes accountability. Licensed telecom companies will be held directly responsible for the outcomes of any AI system deployed within their telecom networks. Crucially, the origin of the AI ​​system is irrelevant; whether the company developed the AI ​​system in-house or procured it from an external vendor, the telecom operator will bear the ultimate responsibility for any consequences resulting from its use.

Policy must be approved by the Board; a dedicated committee to be established.
Under the new regulations, every telecom company will be required to formulate an internal AI policy. It will not be sufficient to merely draft such a policy; it must be formally approved by the company’s Board of Directors or an equivalent governing body. Furthermore, companies will be required to establish a dedicated administrative and security committee. This committee will be tasked with overseeing the functioning of AI systems, ensuring their security, and maintaining human oversight.

AI-related malfunctions to be categorized into four levels
Strict protocols have also been established for reporting any issues that may arise within AI systems. TRAI has classified AI-related incidents into four categories based on their severity. These categories include 'extremely serious,' 'serious,' 'moderate,' and 'low' severity levels. If a case falls into the 'extremely serious' or 'serious' category, the telecom company must inform TRAI within a specified timeframe and in a prescribed format. Providing this information has been made strictly mandatory for the companies.

Immediate action against spam calls—no complaint required
The general public is most troubled by the daily influx of spam and fraudulent calls. TRAI has already directed all telecom operators to identify suspicious spam or fraudulent calls using Artificial Intelligence and Machine Learning (AI/ML). Now, the regulations in this area have been further tightened. Companies no longer need to wait for customer complaints; they must proactively take action against spammers. Numbers that are repeatedly flagged as suspicious will have their services terminated immediately. Furthermore, such numbers will be subject to a re-KYC (Know Your Customer) process.

Currently, there is no standalone law in India specifically for regulating AI. At present, this technology is governed through a combination of existing and new digital laws. However, in recent times, the government has implemented several stringent regulations to curb the misuse of AI, including the creation of deepfakes. The government is also currently working on a new, comprehensive AI law for the country.

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