DOT ISP License

DOT ISP license in Bihar ISP License or better known by Internet Service Provider License is the consent to begin and ISP to give web admittance to individuals or organizations. The permit, in the entirety of its ISP License types is given by the Department of Telecommunication. This is on the grounds that can work assuming it complies with ISP License rules.

To place it in straightforward terms, ISP License meaning the permit to arrangement an ISP organization and give internet providers.

An ISP is an organization that goes about as an Internet Service Provider. It’s activity is to purchase data transfer capacity from the telecom organizations and furnishing web supporters with web access.

DOT ISP license in Bihar

To lead that activity, it needs to get given an ISP License in India from the Department of Telecommunication. The permit gave is the called the Unified ISP License, and the ISP License cost that it needs to pay contrasts from the classes of ISP License India.

One company can hold only one Unified License, but can apply for multiple ISP authorizations of different areas. However, the tenure of such authorizations will run concurrently with the tenure of the Unified License, which means that all authorizations will be valid only till the validity of the unified license.

The 3 categories of ISP licenses are:

In India, there are 3 different categories of licenses to become an internet service provider, depending upon the City/State/Town/District/Village you want to start your ISP business in. Choose a suitable ISP license category to apply under The next step to obtaining an ISP license is to know / decide which category of license you require – category A, B or C. 

  1. Class A (National Area)
  2. Class B (Telecom Circle/Metro Area)
  3. Class C (Secondary Switching Area)

Naturally, a Class A ISP license would be quite expensive, followed by Class B & C respectively.

Budgeting and Costing:

To promote internet access in smaller towns, cities & villages, the Government of India has made a conscious effort to ease prices of a Class C license compared to a Class A or B license.

The following table will explain the financial entry conditions you require to fulfill in order to obtain a Class A/B/C ISP license:

Service Minimum Equity Minimum Net worth Entry Fee (Rs.) Performance BG (Rs.) Financial BG (Rs.) Financial BG (Rs.) Total Capital Required (Rs.)
ISP “A” (National Area) Nil Nil 30 Lakh 2 Crores 10 Lakh 50 Thousand 2,40,50,000
ISP “B” (Telecom circle/Metro Area) Nil Nil 2 Lakh 10 Lakh 1 Lakh 15 Thousand 13,15,000
ISP “C” (SSA) Nil Nil 20 Thousand 50 Thousand 10 Thousand 10 Thousand 90,000

As you can see above, the total capital required for a Class C license is INR 90,000/- whereas for a Class A license is as high as 2 ½ crores.

Thus, in order to become a Class C-ISP Licence holder, you don’t require more than Rs. 3-4 lakhs, depending on the lawyer / ISP consultant fees.

Once you have selected the category of the ISP license you want to obtain, it is important to know how the entire application process goes.

Document Review:

  • Once you have submitted your application form along with the required documents & fees, the Department of Telecom will review your application & respond to you, the applicant, in under 60 days, as far as practicable i.e. in case there are any issues with your application, there may be a delay in the issuing of a response from the DOT.
  • If there is no problem with your complete application, the DOT will issue a ‘Letter of Intent’ in your favor.
  • However, there are chances that your application may be rejected or delayed due to non-compliance with legal, security, hardware, commercial and contractual compliance and human errors such as incomplete form submission.
  • Therefore, it is important to get an ISP consultant / lawyer to review your application before you submit your application form for obtaining the ISP authorization under the Unified License.

Confirmation:

If everything goes smoothly, you will be issued an ISP authorization under the Unified License for a period of 20 years. The DOT will contact you / mail you directly to inform you whether you have been issued the ISP License.

Need for Expertise:

The process of ISP licensing is technical and lengthy for a common person to comprehend. There have been quite a few instances where the application is rejected because of an incomplete submission, missing information, non-compliance, missing documents etc. Thus, it is advisable to get your documents & forms reviewed by a professional ISP consultant or lawyer to make sure you don’t lose out on time & money.

Frequently Asked Questions:

Q. What is ISP networking?

An ISP (Internet service provider) is a company that provides individuals and other companies access to the Internet and other related services such as Web site building and virtual hosting.

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