TRAI has recommended measures to improve the effectiveness of the National Internet Exchange of India (NIXI). The issues include non-interconnected or standalone NIXI nodes and a few internet service providers (ISPs) failing to announce all their routes on the NIXI, as a result of which a substantial amount of domestic internet traffic is still being routed via the US and elsewhere overseas. Moreover, the cost of resources (leased lines) required to connect the ISPs' node to the NIXI node is holding back smaller ISPs in non-metro cities from joining NIXI nodes in the metros. TRAI has suggested some remedial measures, including interconnecting all four nodes of the NIXI with each other, mandating that all ISPs are connected to the NIXI to announce all their routes on it, establishing nodes in all state capitals and subsidising the cost of leased lines for Category B and C circles.

The regulator has also recommended restructuring of the board of directors of the NIXI.