Free Basics by Facebook: Breaking barriers to connectivity or an attempt to create a walled garden?

Abstract

Facebook launched the Free Basics initiative in India in February 2015 by partnering with Reliance Communications. The objective as promoted by Zuckerberg was to enable more people access free basic internet service including content such as news, employment, health, education and local information. For the content providers however, Free Basics threatened the openness of internet by allowing only selective access to few partner websites and app services to its users. Therefore, various net neutrality advocacy groups emerged representing a significant opposition to Free Basics. In this backdrop, the Telecom Regulatory Authority of India (TRAI) in consultation with service provider associations, other organizations and institutions prohibited discriminatory tariffs for data services and directed Reliance Communications to discontinue Free Basics. Given that Free Basics continues to operate in many other developing countries, this case attempts to explore if the welfare from reducing the digital divide could outweigh the cost of selective access to content.