IPLC License Process : Everything you need to know about
IPLC License enables you to establish end-to-end International Private Leased Lines between India and other countries. In other words, with this permission, you can resell the leased lines of an International Long Distance Service to the other countries to reach to the end consumers.
International Private Leased Lines are resources that connect India to the international network. However, one can’t just rent or lease these materials. International Landing Stations Operators have monopoly over them and thus, they are the only ones a service provider can reach out to if he wished to provide international connectivity.
It gives us the concept of Resale of IPLC. By reselling the IPLC – International Private Leased Cables – a service provider can affordably establish international connectivity.
However, one can’t just resell such resources without the approval. Thus, this article explores;
- The eligibility criteria the applicant must meet,
- The IPLC License Process,
- Cost to procure the license.
- Time it takes to procure the authorization.
Eligibility to obtain the IPLC License
Before you can file the online application for the IPLC License, you must first gain the eligibility for it. Its criteria you must meet are as follows:
- Company Incorporation: You must incorporate a business entity, preferably a company to show DOT that you have the infrastructural capacity to run the nuanced business.
- Dispensing the duties of the IPLC: Department of Telecommunication only issues the authorization to those who have shown inclination towards dispensing the duties of an IPLC service provider.
- Net worth requirement: The net worth of your company should be at least INR 2.5 Crore.
- Foreign Investment Eligibility: Government has changed its stance towards FDI in telecom services. For instance, you can now have 100% foreign direct investment. However, it does require a fair amount of oversight.
Terms of providing the services
If you meet the eligibility criteria, you must also meet the points below:
- Only IPLC services: As the holder of Resale of IPLC License, you only have the permission to provide IPLC services to the subscribers. You are not an ISP and thus, you must not try to conduct yourself as such.
- Selling bandwidth: You can sell bandwidth to other ISPs as well as other holders of the IPLC license.
- Location of the landing station: Your cable landing station should be in the location that’s as per the terms of the International Long Distance Operators.
- Create your own infrastructure: You must establish your own structure for the purpose of multiplexing, de-multiplexing and billing. Read Other Related Content: Telecom Consultant
What is the procedure to obtain the authorization
IPLC License process has you taking the following steps:
- Furnishing the requisite documents:
- Memorandum of Association of your company
- Certificate of Incorporation of your company
- Articles of Association
- Net Worth Certificate
- Audited balance sheet of the company, and
- Foreign Direct Investment Details, as well as
- The details of the International Private leased cables.
- Applying for the license online.
- Receiving the Letter of Intent
- Fulfilling the Bank Guarantee Requirements
- And finally, receiving the license agreement.
Monetary and Time Cost to obtain the authorization
Other than the net worth requirement of INR 2.5 Crore, IPLC license cost also entails the IPLC license fees for the applications’ processing and finally, the bank guarantee and entry fee requirement. You can only know about the latter IPLC license fees during the time of application filing.
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As for the timeline to obtain the license, if everything happens correctly, you can obtain the license within 3 months.
Conclusion
The license to resale the International Private Leased cables is as niche as they come. However, India’s new international desires are having a revival. It needs to be fed with internet connectivity that’s only possible if you have international network. In this article, we have tried to make the procedure as simple as possible.
For more details, you can consult with Registrationwala.
What is the license to resale International Private Leased Cables? Learn everything to you need to know about IPLC license and more with this fleshed-out blog.