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Posted on November 1, 2021
DOT OSP License Registration in India for BPO and Call centers
According to the New Telecom Policy (NTP) 1999, companies providing services like tele-banking, tele-medicine, tele education, tele trading, e-commerce, call center and any other IT enabled services using telecom resources come under “Other Service Providers”(OSP). The foremost thing anyone planning to start such a business is required to get his company registration done. So in short all call center related or peripheral services business are required to take OSP license in India. The process for obtaining the OSP registration is not that difficult
dot.gov.in – Registration under Other Service Providers (OSP) category service providers using telecom resources in the Telecommunication Industry (includes BPO/call centers, e-commerce, tele-banking, tele-medicine,-education, and other IT enabled services) NTP 1999 categorized by Telecommunication Department to gain license.
After the approval of an OPC Registration, the licence is valid for a period of 20 years – unless otherwise expressly mentioned. To maintain compliance, each of the OSPs must submit an “Annual Return” to the DOT mentioning the activities and the present status of the OSP.
As per New Telecom Policy (NTP) 1999, Other Service Providers (OSP), such as tele-banking, tele-medicine, e-commerce etc will be allowed to operate by using infrastructure provided by various access providers for non-telecom services.
In this Article, We Cover following topics
- Type of DOT OSP License
- The cost of DOT or Department of Telecom license Registration Process
- Companies that requires DOT OSP License
- Registration Requirements of the DOT OSP License
- Documents required for DOT or OSP License
- Restoration Procedure for OSP DOT license
- The Terms & Conditions to run OSP operations
- What’s the Need of DOT OSP license in India
- Mandatory Documents required to be submitted
- Most important conditions that needs to be checked
Considering technology development call centers BPOs sets a milestone. The impact is unexpected in India’s economy, the revenue crosses USD 710 million in the year 2018 alone. This has increased many multiple new start-ups on the same.
OSPs or Other Service Providers are Entities or companies that provide secondary or tertiary telecom services for various companies such as banks or hospital chains and so on.
OSP’s can take the work of telecom services from authorized Telecom Service Providers only and should not supply switched telephony. Furthermore, the Department of Telecommunication must draft OSPs using telecom assets for rendering a variety of telecom services such as, tele-banking, call center and other IT enabled services.
Applying for DOT OSP registration in India
OSP is the short form of “other service providers”, it is a license registration granted by the Department of Telecommunication India (DOT). AS per the New Telecom Policy (NTP) 1999, Company that falls under the category of service providers in India such as tele-banking, tele-education, tele-medicine, e-commerce, tele-trading, call center, network operation center and other IT Enabled Services, that uses telecom resources are named as “Other Service Providers” (OSP) Entity. Depending on the Location of the OSP Centre, the registration process is done by the respective Telecom Enforcement, Resource and Monitoring (TERM) Cells.
Type of DOT OSP License
Below are the types of DOT OSP License
International DOT OSP License:
Telecom related services that are engaged in providing services outside national boundaries are needed to apply for an International DOT OSP License.
Domestic DOT OSP License:
Entities that are involved in providing services within national boundaries are needed to apply for Domestic DOT OSP License.
Domestic & International DOT OSP License:
A company that is involved in providing services both within and outside national boundaries is needed to get this type of License. In case, a company operating both domestic and international telecom services from a single premise, then Bank Guarantee is also needed.
Validity: The validity of the registration License is for about 20 years. In case a company that shares infrastructure between Domestic and International Registration, then it is valid for 3 Years which can be extended further for 3 more years.
OSP and DOT licenses are nothing but the same. The DOT is a telecom department that grants the OSP or Other Service Provider license. The OSP and DOT License can be issued in 20 working days from the date of acknowledgement of all the documents.
The cost of DOT or Department of Telecom license Registration Process
|Type of License||Cost||Time period|
|Domestic OSP DOT License||Rs 15000||20 days|
|International OSP DOT License||Rs 15000||20 days|
|domestic and international license||Rs 180000||30 days|
Companies that requires DOT OSP License
- Organization that rendering Tele-Banking Services
- Organization that Involved in Tele-Medicine
- Organization that running business of Tele-Trading
- Company that runs a Call Centre/ BPO/KPO
- The organization involved in E-commerce Business
- The Organization that runs in the Network Operation Centre and Other IT-Enabled Business.
Who can Obtain DOT OSP License/Registration?
Private Limited Company or One Person Company (OPC) that is registered under Companies Act 2013 can obtain DOT OSP License. The following are the documents required for Private Limited Registration. The following are the list of documents required to apply for DOT OSP License.
Registration Requirements of the DOT OSP License
To obtain an OSP Registration in India, it is compulsory the applicant entity must be a Private Limited Company. To make it clear, the business owners who are planning to start a BPO or call center or e-commerce or other IT Enabled Services must register as private limited company. The documents required for OSP Registration are listed below:
- MOA , AOA and COI of the Private Limited Company
- Power of Attorney or Board of Resolution authorizing the authorized signatory
- List of Directors of the company
- Name of Business and Activities Proposed
- Present Shareholding
Note that the above mentioned documents should be certified by a Director of the Company or Company Secretary or Statutory Auditor or Public Notary.
Once the registration process of an OSP is approved, it holds about 20 years of validity, unless otherwise expressly mentioned. About the compliances, each of the OSPs registration process are required to submit an “Annual Return” to the respective DOT stating the activities and operations undertaken by the entity and the present status of the OSP. And the renewal of annual return for OSP License should be submitted within 6 months of time of the financial year completion.
Addition to all the above, OSPs must submit and maintain the required compliance with the Terms and Conditions stated by the Department of Telecommunication for OSPs.
Documents required for DOT or OSP License-
- MOA , AOA and COI of the company.
- Board Resolution for director authorization to file application.
- The details of List of Directors & Shareholders of the company
- Demand Draft
- Address Proof of the Company – INC-22 form
- List of Client
- KYC details of all Directors
- Income Tax Return of the company of last three years, latest Telephone Bill or MSEB Bill of register office address
- Networking Chart
- Details about the Proposed Business Activity.
Restoration Procedure for OSP DOT license is as follows:
- Fill the application form
- Submit the file and the needed documents
- Get the OSP/DOT license within 5 working days
The Terms & Conditions to run OSP operations
- The OSP entity can take the Telecom assets or Resources from an Authorized Telecom Service Provider only.
- The Authorized Telecom Service Providers can provide telecom resources to the OSP once after analyzing the network diagram of the network aimed to be set up by the Other Service Providers and after checking its bonafide use.
- OSPs should present a copy of the network diagram sanctioned or authorized by the Telecom Service Provider (TSP) to VTM Cells for records and verification services.
- According to the terms and conditions of the license/registration respectively, both the Authorized Telecom Service Provider and the OSP will be responsible if any violation of the terms and conditions occurs in the use of Telecom Resources.
- Other Service Providers must have Internet connectivity from the Authorized Internet Service Provider.
- OSP is allowed to share their Telecom bandwidth with other operations of the same Company or group of companies. However, the Other Service Providers should ensure that there will be a logical separation between the Telecom Resources for their other activities and the Telecom Resources for OSP. There should not be any voice / non voice traffic flow between them.
- Interconnectivity of the Domestic OSP with International OSP is not authorized or permitted.
Documents required for DOT OSP License
The following are the documentation required for OSP registration.
Certificate of Incorporation of Private Limited Company.
Memorandum of Association (MOA) and Articles of Association (AOA)
Board of Resolution or Power of Attorney authorizing the authorized signatory.
Name of Business and Activities Proposed.
List of Directors.
What’s the Need of DOT OSP license in India?
The need for telecommunication allied service providers. If you are in a mindset to start with the IT enabling service or BPO or call center or ecommerce services.
The important definition in regard to
Application services is defined as tele-banking, tele-medicine, tele-education, tele-trading, e-commerce, call center, network operation center and other IT Enabled Services by authorized telecom service providers.
OSP is the firm that provides application service.
Infrastructure of the center providing application service. The telecom services includes facilities utilized by OSP with no restriction for public switched telecom network, integrated service digital network service. Or telecom bandwidth provided by authorized service provider with a licence that is valid under the act Indian Telegraph Act, 1885.
Company that is registered under the company Act, 1956 in which the Part-XI (Section 591 to 608) is very specific.
Domestic OSP is for international boundary that is the company that inside the national boundaries.
International OSP is the service provided across countries.
Point of presence is the location placement to act as an extension of OSP center to carry and collect telecom traffic related services. services
Authority is the telecom department or the concerned unit.
Hot sites is the same or third party registered site under DOT. It constantly updates and operates on the site maintenance.
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Most important conditions that needs to be checked :
1. Registration may be approved for any firm which provides Application Services. These service providers should not violate from the jurisdiction of other Authorized Telecom Service Providers and they will not provide switched telephony.
2. Following shall apply to the OSP requiring registration:
(i) The entities entitled for OSP registration must be a company registered under Indian Companies Act,1956.
(ii) A Company may apply for registration to the Authority in the proforma prescribed by the Authority from time to time. (List of authorities annexured to the Application
Mandatory Documents required to be submitted at dot.gov.in
(1) Certificate of Incorporation issued by Registrar of Company
(2) Memorandum and Article of Association
(3) Board resolution or Power of Attorney authorizing the authorized signatory with attested signatures.
(4) A note on the nature of business / activities of the proposed OSP
Documents required to be submitted, if actual information is different from mandatory documents
(1) List of present Directors of the Company.
(2) Present shareholding pattern of the company indicating equity details (Indian Equity and Foreign Equity)”