Category: Communications

A group of US lawmakers and senators has urged Secretary of Commerce Howard Lutnick to ban the sale of TP-Link equipment in the nation, citing national security concerns. In a bicameral letter, the legislators allege that TP-Link maintains close ties to the Chinese Communist Party (CCP), engages in predatory pricing practices to undercut American competitors, and may be embedding foreign surveillance and potentially harmful capabilities into US networks. They warn that the company poses a “clear and present danger” to the nation’s security infrastructure.

“TP-Link is also subject to China’s National Security Law, which grants the Chinese Communist Party access to US systems—potentially even before American authorities are aware of vulnerabilities,” the lawmakers wrote. “Notably, TP-Link is the only router manufacturer that refuses to participate in industry efforts to remediate Chinese state-sponsored botnets.”

The letter to Commerce Secretary Howard Lutnick was signed by Senators John Barrasso, a Republican from Wyoming, Tom Cotton, a Republican from Arkansas, Ted Budd, a Republican from North Carolina, Bill Cassidy, a Republican from Louisiana, Josh Hawley, a Republican from Missouri, Jim Justice, a Republican from West Virginia, Cynthia Lummis, a Republican from Wyoming, Bernie Moreno, a Republcian from Ohio, Pete Ricketts, a Republican from Nebraska, James Risch, a Republican from Idaho, Eric Schmitt, a Republican from Missouri, Rick Scott,a Republican from Florida, and Tommy Tuberville, a Republican from Alabama.

In the House, the letter was led by Congressman Riley Moore from West Virginia, and co-signed by Representatives Gus Bilirakis from Florida, Abraham Hamadeh from Arizona, and John Rose from Tennessee.

The letter highlighted that Chinese state actors have exploited TP-Link small and home office (SOHO) networking devices, including Wi-Fi routers, cellular gateways, and mobile hotspots to wage cyber-attacks in the US CCP agents commonly exploit SOHO routers because those systems have ideal bandwidth and computing power for sustained cyber activities but lack additional layers of security common in enterprise networks.

“TP-Link’s pricing practices have triggered a Department of Justice criminal antitrust probe. TP-Link’s predatory pricing, coupled with its circumvention of tariffs, imminently threatens US competition in a market critical to our national security,” according to the letter. “TP-Link has rapidly captured nearly 60 percent of the US retail router and Wi-Fi system market while expanding the CCP’s cyber arsenal. The CCP uses SOHO equipment for ongoing espionage and targeting of critical infrastructure to pre-position itself for destructive attacks on Americans and communication channels with our allies.”

The lawmakers added, “For these reasons, Commerce should immediately prohibit future sales of TP-Link SOHO networking equipment in the United States. Each day we fail to act, the CCP wins while American competitors suffer, and American security remains at risk.”

Earlier this month, in response to the growing wave of cyber threats targeting public infrastructure, Cotton and Senator Ruben Gallego, a Democrat from Arizona, introduced the Water Cybersecurity Enhancement Act, a bipartisan bill designed to strengthen the cybersecurity resilience of US water utilities.

The Water Cybersecurity Enhancement Act would extend and expand the existing Drinking Water Infrastructure Risk and Resilience Program, strengthening its scope to address modern cyber threats. Additionally, the legislation would provide technical assistance and grants to community water systems, offering training and guidance to help them protect against and respond to cyberattacks.

The legislation follows rising concern over cyberattacks by foreign adversaries, including Russia, China, and Iran, that have increasingly targeted municipal systems across the country. Often underfunded and lacking robust digital defenses, water utilities have become a prime target for malicious actors seeking to disrupt essential public services.

The spotlight on TP-Link equipment underscores growing concerns over Chinese intrusions into US critical infrastructure. This week, a news report revealed that US energy officials are reassessing the risks associated with Chinese-made components in the renewable energy sector. Unexplained communication hardware was reportedly found in devices, such as power inverters, which are critical systems primarily manufactured in China that connect solar panels, wind turbines, batteries, heat pumps, and electric vehicle (EV) chargers to the power grid. Industrial Cyber

Worldwide spending on telecom services and pay TV services reached $1,510 billion in 2024, reflecting a 2.2% year-on-year increase, according to the Worldwide Semiannual Telecom Services Tracker published by International Data Corporation (IDC). In comparison, IDC expects worldwide spending on telecom and pay TV services to increase by only 1.6% next year, reaching a total of $1,535 billion.

In 2024, the global telecom services market recorded accelerated growth, a notable shift from the previous year. This surge was primarily driven by inflation, which triggered the increase of tariffs and compelled both residential and business customers to allocate more funds to telecommunications services. The impact of inflation was particularly pronounced in Europe and North America, where higher purchasing power resulted in lower pricing elasticity — i.e., fewer clients in these regions opted to switch to more affordable packages or discontinue services they deemed non-essential. Conversely, the Asia Pacific region saw a slower growth rate compared to the previous year, largely due to the robust post-COVID recovery observed in 2022 and 2023.

Our latest forecast for the telecom services market is slightly less optimistic compared to the version published in November last year, projecting slower growth in 2025 by 0.9 of a percentage point. As inflation has gradually weakened in most countries, its impact on telecom services spending is expected to diminish. Simultaneously, the telecommunications industry is undergoing significant technological transformation, aimed at increased productivity and higher competition. AI is enhancing customer experience and operational efficiency for service providers. Investments in 5G infrastructure are accelerating, with a focus on network densification and strategic partnerships to expand coverage. The rollout of fiber optic networks and Low Earth Orbit (LEO) satellite services is fostering competition and driving advancements in connectivity. Additionally, telecom operators are increasingly shifting their focus from traditional connectivity services to digital services, leveraging cloud-native technologies, AI, and edge computing to deliver innovative solutions.

A significant factor that could influence the market landscape includes the tariffs announced and partially imposed by the new U.S. administration. While the direct impact on the telecom services market is expected to be minimal, given that these services are domestic, essential, and recurring expenditures, the indirect effects could be more pronounced. According to Mark Walker, vice-president, Worldwide Telecoms Data and Analytics at IDC, “Tariffs on telecommunications equipment might lead to increased costs for telecom operators, potentially delaying 5G rollouts and AI projects; although, in the longer term, potential downsides may include further economic deterioration and reduced purchasing power due to a new wave of inflation.” However, since IDC’s baseline scenario includes only the tariffs that were in effect as of April and excludes those that have been postponed, this remains just one of the possible outcomes. IDC’s forecast accounts for a significant degree of uncertainty, which is reflected in the lower GDP outlook; nonetheless, the baseline scenario still presumes that a global recession will be avoided. IDC

Deutsche Telekom reported first-quarter core profit slightly above analyst expectations and nudged up its full-year guidance, helped in part by a stronger dollar.

The Germany-based telecoms group reported quarterly adjusted earnings before interest, taxes, depreciation and amortisation after leases (EBITDA AL) of 11.3 billion euros ($12.7 billion), up 7.9 per cent year-on-year.

Analysts had forecast core profit of 11.1 billion euros in a company-provided poll.

The group nudged up its 2025 core profit guidance to about 45 billion euros from 44.9 billion previously. It also expects free cash flow after leases of about 20 billion euros, from 19.9 billion earlier.

This comes after Telekom’s New York-listed subsidiary T-Mobile US in April raised its core profit guidance, even as it missed first quarter estimates for wireless subscriber growth.

“We are yet again proving our resilience in the face of a challenging environment,” CEO Tim Höttges said in a statement on Thursday.

The Bonn-headquartered company said its reported core profit was higher in part due to a stronger U.S. dollar over the three-month period ended March 31 compared with the previous year.

Its free cash flow jumped 52.4 per cent from the same period last year, more than one billion euros above analyst expectations.

In its home region of Germany, however, Telekom flagged strong competition in a slowing broadband market and reported a net loss of 7,000 customers.

UBS analyst Polo Tang said this might reflect Vodafone’s use of “indirect channels”, like price comparison site Check24.

“Investors might be surprised or uncomfortable with negative German broadband trends,” said ODDO BHF analyst Stephane Beyazian.

Outside Germany, Europe remained strong, Beyazian added, pointing to an organic 3.7 per cent revenue increase.

Deutsche Telekom shares were down 0.2 per cent at 0720 GMT, but have risen around 9 per cent year-to-date. Reuters

Vodafone Idea Ltd. has filed a fresh petition in the Supreme Court seeking relief of more than Rs 30,000 crore in connection with the adjusted gross revenue dues.

Senior advocate Mukul Rohatgi, appearing for Vodafone Idea, informed the court that the petition is in the process of being filed and requested an early listing, citing the significant impact of the issue on the telecom sector and consumers at large. NDTV Profit

Italy’s biggest phone group Telecom Italia is considering adding insurance, digital payments and energy to its business as described in its bylaws ahead of expanding the offering of those services.

Having sold its prized landline grid, TIM, the heir to Italy’s phone monopoly, is looking to reshape its consumer arm to offer clients more services beyond mobile and fixed broadband connectivity, to boost its average monthly revenue per unit.

TIM is considering the changes to its bylaws after Italian postal services operator Poste Italiane, which offers insurance, digital payments and energy services, earlier this year took a stake in TIM.

State-backed Poste is set to become TIM’s single biggest investor with a 24.8% holding, replacing France’s Vivendi.

TIM’s board of directors is expected to discuss the matter on May 23, at a meeting where TIM will decide which topics shareholders will be called to vote upon at its annual general meeting at the end of June, the sources said.

Under Italian laws, any proposed changes to the corporate purpose of a company in its statutory bylaws need shareholder approval. Dissenting investors have the right to withdraw by selling their shares back to the company.

TIM and Poste said last week they are evaluating partnerships to cross-sell services to their respective customers. Reuters

Airtel users across Tamil Nadu faced another bout of network disruption on Tuesday, May 13, 2025, with mobile services being severely affected in cities like Madurai and Coimbatore. The outage began in the evening and was not fully resolved until 11 PM, leaving users unable to make voice calls for several hours.

Voice Calls Down, Mobile Data Functional
While mobile data services remained active, users reported a complete breakdown of voice call functionality during the outage period. Many customers were unable to connect with others or reach Airtel customer service, prompting frustration and complaints online.

Downdetector Data Confirms Extent of Outage
Based on user reports on Downdetector:

• 66% of users complained of complete mobile signal loss
• 21% faced issues with calling
• 13% reported mobile internet outages

The scale of disruption has been significant, with users unable to make calls, access mobile data, or use broadband services across affected regions.

Airtel Yet to Issue Official Statement
As of now, Airtel has not issued a formal statement explaining the reason behind the disruption. The recurring nature of such outages in recent days has only added to user dissatisfaction.

Earlier on Monday, Airtel had faced a nationwide outage affecting mobile signals, calling, and broadband services in multiple cities, including Chennai, Thrissur, and NCR areas. That disruption was also widely reported on Downdetector.

Users Take to Social Media with #Airtel_down
The outage has triggered a surge of criticism on social media platforms like X (formerly Twitter), where users voiced frustration over the disruption’s impact—especially on digital transactions.

“It’s been over two hours and the network is still down. Airtel is quick to remind us about recharge deadlines, but where is the same urgency when there’s a service failure?” wrote one user.

Another posted, “Can’t contact anyone, Wi-Fi keeps dropping more than 20 times a day. Worst service. Planning to switch providers.”

In Chennai, users particularly noted how the outage hindered UPI-based payments and routine online transactions, with many calling for more transparency and quicker action from the telecom giant.

“Airtel Down. With UPI being widely used for payments, this network issue is seriously affecting daily life,” another user complained, adding that such unannounced drops have occurred multiple times in recent weeks.

With no official updates from Airtel at the time, frustrated consumers turned to X (formerly Twitter) to express their concerns. Hashtag #Airtel_down started trending, with users from Madurai, Coimbatore, and other cities sharing their experiences.

“Can’t even make a simple phone call. What’s the point of recharging if this keeps happening?” wrote a user from Madurai.

Another from Coimbatore posted, “Calls not going through for hours and no one at customer service is answering.” NewsX

Chinese e-commerce platforms are offering discounts of up to 2,530 yuan ($351) on Apple’s latest iPhone 16 models, an effort to spur sales as first-quarter shipments by the US tech giant fell further in its second-largest market.

The step comes as Chinese online retailers increasingly vie for cost-conscious consumers in a slowing economy, with price cuts taking centrestage ahead of the annual “618” shopping festival on June 18, one of the country’s largest.

JD.com, is selling the iPhone 16 Pro with storage of 128GB at 5,469 yuan, down 2,530 yuan from Apple’s official price of 7,999 yuan, Reuters checks showed on Wednesday.

The iPhone 16 with 256GB storage is listed at 5,469 yuan, or a drop of 1,530 yuan from its official price of 6,999 yuan, including government subsidies.

Alibaba’s Tmall marketplace is offering comparable discounts, selling the iPhone 16 Pro with 128GB at 5,499 yuan, or 2,500 yuan off Apple’s official price, after applying coupons that include government subsidies.

Reuters was unable to ascertain if the discounts were being offered by Apple itself or the platforms.

Apple has previously cut prices on its latest models to boost sales during the “618” festival, said Will Wong, a senior smartphone analyst at IDC.

“Apple is repeating its sales promotion strategy for the shopping event last year,” Wong added. “It’s cutting prices on iPhone 16 Pro so that it can enjoy China’s state subsidies on digital products.”

Selective discounting has featured in the company’s China pricing strategy, whether through its own promotions or independent cuts by online platforms and authorised resellers.

In January, Apple offered rare discounts of up to 500 yuan on its own website and in past years Chinese e-commerce platforms have also rolled out similar deals.

The US tech giant’s smartphone shipments in China dropped 9% in the first quarter, while domestic competitors Xiaomi and Huawei Technologies posted gains of 40% and 10% respectively, market data from IDC shows.

Smartphones are among the key targets of China’s broader consumption stimulus plan, with local governments in major cities such as Beijing, the capital, offering subsidies of up to 500 yuan for handsets cheaper than 6,000 yuan. US News

US President Donald Trump said he spoke with Apple Inc. Chief Executive Officer Tim Cook earlier on Monday, just as the iPhone maker was reported to be considering price increases later this year.

Apple is weighing whether to raise prices for an iPhone lineup coming in the fall, the Wall Street Journal reported, citing people familiar with the matter whom it didn’t identify. The company is exploring whether to “couple” price increases with new features and designs, while trying to avoid the perception that any hikes are tied to US tariffs, the Journal reported. Apple didn’t respond to Bloomberg’s request for comment.

A few hours after the Journal report, Trump said he had spoken to Cook. He didn’t address the potential price increases, instead focusing on how he thinks the company will end up raising its US spending plan beyond the $500 billion that it had pledged in February. “He’s going to be building a lot of plants in the US for Apple,” Trump said.

Consumers and analysts have been bracing for Apple price increases for more than a month. Bloomberg News reported in April that the company stocked up on inventory to prepare for the tariffs and that price increases were growing more likely.

Shares of Apple climbed 6.2% to $210.79 in New York after the US and China moved to de-escalate their trade dispute, spurring a broader rally across markets.

Apple hasn’t changed the starting price of its flagship iPhone model since it debuted the iPhone X in 2017 — keeping it at $999. But the company was widely expected to weigh hikes after Trump announced sweeping tariffs against several nations that Apple relies on for manufacturing. In February , the company went with a higher price for the iPhone 16e, which replaced the budget iPhone SE in its lineup, signaling its willingness to raise costs when needed.

Cook said during a recent earnings call that Apple could incur costs of about $900 million this quarter due to tariffs. He was asked about potential price increases during the same call but promptly shut down the question, saying: “We have nothing to announce today.”

Cook had successfully lobbied Trump during his first administration to exempt some of the company’s products from tariffs.

High-end phones, including the Pro and Pro Max models, will be produced in China, even as Apple builds up capacity in Indian factories, the newspaper reported. Apple is seeking to import most of the iPhones it sells in the US from India by the end of next year, accelerating a shift beyond China to mitigate risks related to tariffs and geopolitical tensions, Bloomberg News has reported. Bloomberg

Increasing internet adoption and data consumption by rural subscribers are emerging as structural drivers for growth in average revenue per user (ARPU) of Indian telecom companies (telcos). To capitalise on the trend, telcos are strengthening rural connectivity, which should help expand their data subscriber base and returns.

Over the four calendar years ended December 31, 2024, internet penetration in rural India surged from 59% to 78%, outpacing urban areas, which grew from 77% to 90% (chart 1 in annexure). Internet penetration in rural areas is expected to further increase by 4-5% by the end of fiscal 2026, supported by continued adoption of online communication, digital payments as well as increasing usage of social media, content streaming services and e-commerce.

Despite being more price sensitive, rural internet user base stayed resilient over the past year even in the face of tariff hikes introduced in mid-2024, reflecting high dependence of rural users on mobile internet.

Surge in per-user data usage in the rural areas is also being supported by network expansion, competitively priced plans and better affordability of smartphones. Much of this momentum is visible in circles B and C (chart 2 in annexure), which form nearly 70% of the rural subscriber base in India. Data consumption in these circles has clocked a compound annual growth rate of 19–22% over the past four years – outpacing the 17–19% growth seen in metros – highlighting the penetration of mobile data services and steady demand for it. This growth trend should sustain with the expansion of the 4G networks in the underpenetrated areas and will drive up the ARPU, going forward.

Says Anand Kulkarni, Director, Crisil Ratings, “The industry ARPU is expected to rise by Rs 20-25 to reach Rs 225-230 by the end of this fiscal, assuming tariffs remain stable. Around 55-60% of the incremental ARPU is expected to come from rural subscribers. Relatively lower internet penetration in rural regions will drive migration of subscribers to data plans. Additionally, uptrading of plans due to higher data consumption will also drive ARPU growth. Here as well, rural areas will play a key role as mobile phones serve as the primary gateway vis-à-vis metro users, who have alternatives such as wi-fi.”

In keeping with this trend, telcos have also been aligning their offerings with varied data-centric plans and investing in spectrum acquisition and tower densification in rural areas. In the auction held in June 2024, telcos acquired bulk of the spectrum in circles B and C. Further, a sizable portion of the planned capex of Rs 8,000-9,000 crore to be undertaken by independent telecom tower companies in fiscal 2026 will be directed towards rural areas.

Says Mohini Chatterjee, Team Leader, Crisil Ratings, “The targeted network and spectrum investments in rural areas, along with growth in ARPU, will help increase telcos’ return on capital employed to ~12% in fiscal 2026 from ~10% in fiscal 2025. With ~75% of the cost being fixed in nature, even a modest hike in ARPU can materially benefit earnings.”

That said, affordability of data plans will remain essential for the growth in rural data subscribers. Crisil

Vodafone Idea (Vi) opened over 100 new flagship stores in metro and Tier-1 cities in the last six months, expanding its physical retail footprint to over 2,500 Vi stores and Mini stores across 600 cities.

Vi Stores, operated directly by the company, serve as flagship customer experience centres. November Vi has opened more such stores in Delhi-NCR, Mumbai, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad, and Kolkata. Additional outlets have been launched in multiple cities in Gujarat, Maharashtra, Tamil Nadu, Kerala, Uttar Pradesh, Uttarakhand, Madhya Pradesh, Chhattisgarh, and Punjab. Vi now boasts over 500 flagship stores nationwide.

The rest of the 2,000 Vi Mini Stores are partner-run outlets in Tier-2 and Tier-3 cities. Together, the stores employ more than 9,000 people directly and indirectly. The company supports new partners with set-up and operational guidance. Retail stores serve over 50,000 customers, while a large share of its customers resolve issues via the Vi App.

Stating that the focus on customer experience is delivering results, Vi said there has been consistent growth in the retail post-paid segment, possibly driven by its in-store service experience and sharper value propositions. Further, latest data from the Telecom Regulatory Authority of India (TRAI) shows that Vi recorded its lowest customer churn in February 2025, post merger of Vodafone and Idea Cellular. The Hindu BusinessLine