The telecom sector continues to haemorrhage, but instead of trying to fix this by lowering government levies on the sector or injecting much-needed rationality into spectrum pricing, the Telecom Commission\u2014the country\u2019s highest decision-making body in telecom\u2014has decided to endorse the Trai\u2019s view on net neutrality that, while very high-profile, is of much lesser importance. Indeed, going by the economic affairs secretary's interview the other day, the government seems to have no plans to meaningfully lower these levies anytime soon. While activists projected net neutrality as a burning issue for the sector, and both the government and the regulator bought into this, it was never clear what problem it was trying to solve. Even now, after Trai has come out with its recommendations that, for instance, ban a Free Basics, it has not spelled out how this hurts anyone. Both Trai and senior ministers have argued that India doesn\u2019t want \u201cwalled gardens\u201d and instead wants the \u201cfull internet\u201d, but surely the free access to a stripped-down version of various sites that Facebook was offering was better than no access? Activists argued that Facebook could design its specifications in such a way that not everyone could get their sites onto the Free Basics platform, but even if that were true, as people got richer, they could move to the \u201cfull internet\u201d and then access all sites. A Flipkart, similarly, could use an Airtel Zero to offer free access to its sites\u2014the telco withdrew the offer after the net neutrality campaign\u2019s onslaught, but it is not clear how this was an abuse of power. Net neutrality activists railed against telcos that wanted over-the-top (OTT) players like WhatsApp to pay for riding on their networks, but surely a service that ate into telco revenues\u2014SMS revenues have all but dried up as a result\u2014can\u2019t be good for the country? When three-fourths of Indians don\u2019t have access to the internet, the emphasis should be on rolling out the internet, not on ensuring those that have this access on their smart phones are able to get even cheaper calls\/messages\u2014till RJio\u2019s new phone was announced, only those that had smart phones could use their WhatsApp to send zero-cost messages or to make free long-distance calls. In that sense, the fight really boiled down to the rights of Indians who didn\u2019t have access to the internet versus the rights of those that already did and had smart-phones. Given that telcos have invested several lakhs of crore rupees in setting up their networks, anything that affects their revenues will slow the rollout of networks across the country. It got worse. The Trai\u2019s net neutrality views that have just been endorsed by the Telecom Commission didn\u2019t allow a telco to, for instance, negotiate a lower-rent Netflix subscription for its subscribers as this was seen to discriminate against the subscribers of other telcos. Nor could the telco increase internet speeds to provide better Netflix viewing for its subscribers. While much of this would be considered standard commercial contracting\u2014the larger the number of subscribers, the larger the Netflix discount\u2014in the developed world, the Trai banned it. And, having done this, for reasons best known to it, Trai decided to find a way out. It did this through what it called the \u2018intranet\u2019. So, if the telco had an agreement with Netflix and hosted all its movies\/shows on its own server, these could even be offered free to subscribers! Instead of coming down against commercial innovation, Trai would have done well to let various deals happen and, in case there was rampant abuse of monopoly powers, then come up with restrictions on this\u2014without having done this, Trai\u2019s net neutrality recommendations are nothing but a solution looking for a problem, especially now that both data and call rates have plummeted.