COAI has objected to TRAI's recommendation that all internet service providers (ISPs) be permitted to offer internet telephony services.

According to COAI, such a move could give ISPs backdoor entry into voice telephony services at only a fraction of the licence fees that integrated telecom players are currently paying. This will result in a non-level playing field. Consequently, COAI has demanded that ISPs providing internet telephony services be subjected to the same revenue share, licence fee and other conditional ties that are applicable to existing telecom service providers.