DOT OSP License Registration in India for BPO and Call Centers

How to Get DOT OSP License for Call Center in India

According to the New Telecom Policy (NTP) 1999, companies providing services like telebanking, telemedicine, 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 businesses are required to take an OSP license in India. The process for obtaining the DOT 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, telebanking, telemedicine,-education, and other IT enabled services) NTP 1999 categorized by Telecommunication Department to gain a license. OSP registration is mandatory for service providers in India providing services like telemedicine, tele-education, telebanking, teletraining, call centers, e-commerce, network operation center, and other IT Enabled Services and using telecom resources.

After the approval of an OSP Registration, the license 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 telebanking, telemedicine, e-commerce, etc will be allowed to operate by using infrastructure provided by various access providers for non-telecom services.

Considering technology development call centers BPOs set 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. OSPs 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 telebanking, call centers, and other IT-enabled services.

Before applying for this DOT OSP License, the firm requires to be a Private Limited Company.

DOT OSP Registration in India

OSP is the short form for “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 telebanking, tele-education, telemedicine, 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

1) 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.

2) Domestic DOT OSP License:

Entities that are involved in providing services within national boundaries are needed to apply for Domestic DOT OSP License.

3) 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 operates both domestic and international telecom services from a single premise, then Bank Guarantee is also needed.

Registration Validity:  The validity of the registration License is for about 20 years. In case a company 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 licenses can be issued in 20 working days from the date of acknowledgment of all the documents. 

Cost of the DOT License Registration Process

What Types of Companies Require DOT OSP License

• An organization that renders Tele-Banking Services
• Organization Involved in Tele-Medicine
• An organization that runs a business of Tele-Trading
• A company that runs a Call Centre/ BPO/KPO
• The organization involved in E-commerce Business
• The Organization that runs the Network Operation Centre and Other IT-Enabled Businesses.

Who Can Obtain DOT OSP License/Registration?

A Private Limited Company or One Person Company (OPC) that is registered under the Companies Act 2013 can obtain DOT OSP License. The following are the documents required for Private Limited Registration. The following is the list of documents required to apply for a DOT OSP License.

Documents Required for DOT or OSP License

To obtain a DOT or 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 a private limited company. The documents required for DOT or OSP License are listed below:

• Certificate of Incorporation of Private Limited Company.
• MOA, AOA, and COI of the company.
• Board Resolution for director authorization to file an application.
• The details of the 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 the last three years, latest Telephone Bill or MSEB Bill of registered office address
• Networking Chart
• Details about the Proposed Business Activity.

Note that the above-mentioned documents should be certified by a Director of the Company Company Secretary Statutory Auditor or Public Notary.

Mandatory Documents are 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)”

Most important conditions that need to be checked :

1. Registration may be approved for any firm which provides Application Services. These service providers should not violate 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 to 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 annexure to the Application
Form).

The Registration Procedure for the DOT OSP  License is as follows:

• Establish a Business Organization
  Nobody can register for an OSP as a person or a partnership. Prior to starting their firm, they must register it as a private limited company.
• Gather the Required documents
  There aren’t many documents needed to obtain a DOT License for BPO. But keep in mind to sign, scan, and save them in the proper filing system.
• Online Submission of the DOT OSP Registration Form
  The SARAL Sanchar site is the only place to submit an OSP registration application. additionally, send in the DOT BPO registration fee. Although the entry price is consistent, there may be problems with the guarantees.
• Obtain your OSP DOT Certificate.
  The agency will designate an assessment officer to review your application once you’ve submitted it. You will be alerted to any problems with your application if he discovers any, and you will have a chance to fix them. You will be given the OSP registration number if you obey.

Registration Compliance

Once the registration process of an OSP is approved, it holds about 20 years of validity, unless otherwise expressly mentioned.  Regarding the compliances, each of the OSP’s registration processes is 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 the annual return for the OSP License should be submitted within 6 months of the time of the financial year completion.

In 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.

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 / nonvoice traffic flow between them.
• Interconnectivity of the Domestic OSP with the International OSP is not authorized or permitted.

What’s the Need for a DOT OSP License in India?

The need for telecommunication allied service providers. If you are in a mindset to start with the IT-enabled service or BPO or call center or e-commerce services.

The important definition in regard to

• Application services are defined as telebanking, telemedicine, 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 services.

• The infrastructure of the center provides application services. The telecom services include facilities utilized by OSP with no restriction for public switched telecom network, integrated service digital network service. Or telecom bandwidth provided by the authorized service provider with a license that is valid under the act Indian Telegraph Act, of 1885.

• A 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 the international boundaries that are the company that is inside the national boundaries.

• International OSP is the service provided across countries.

• The point of presence is the location placement to act as an extension of the OSP center to carry and collect telecom traffic-related services. Authority is the telecom department or the concerned unit.

FAQs on DOT OSP License