ISP License myths that you should know about
An ISP License can last forever.
It’s one of the many myths believed by those who wish to start their ISP centre in India. If you are one of those, you shouldn’t blame yourself. The process of obtaining the ISP license is difficult. Even more difficult is understanding the different guidelines and terminologies of the license. As a result, many misinterpret the meaning of these terms and that’s when myths are born.
In this article, we have unveiled the shroud of myths and have explained the facts that it hides.
Myth 1: ISP License is a perpetual license
Perhaps because of the difficulty of obtaining the license, people believe that once they sign the ISP License agreement, they get to operate their Internet Service Provider company on a permanent basis. It can’t be farther from the truth. As per the actual regulations for Unified License for Internet Service Providers, an ISP License is valid for a span of 20 years. After which, the license has to be renewed for another 20 years.
Myth 2: ISP License gives you full control over the services
It’s one myth that has been the cause of the downfall of many ISPs. Once the license is issued, companies believe that they have free control over pricing and the policies of internet services. They don’t. While the DOT has given “some” control to ISPs over the pricing of internet subscriptions, there are limitations. As for the policies: No ISP is allowed to formulate his or her own service-providing policy. It has to follow the standard protocol designed by the Department of Telecommunication. Other Useful Content: FIFP Approval for Telecom
Myth 3: ISP License cannot be canceled
Unlike a VNO ISP License, where the licensee is reviewed after every 4 years, an ISP Licensee doesn’t have to go through any reviewing process. However, this factor has given rise to the misconception that the license can’t be canceled under any circumstances. That’s wrong. If you’re committing any fraudulent act, DOT would be duly informed of the same. When that happens, then as per the provisions mentioned in the Unified License regulations, your license can be canceled.
Myth 4: An ISP can produce its own bandwidth
Those with the ISP License don’t produce their own internet bandwidth. The reach out to telecom service providers who are bandwidth producers, buy the bandwidth from them, and then resell it to the internet subscribers. So, if you think that being an ISP let’s you produce your own internet bandwidth and provide internet services, you’re wrong.
Myth 1: ISP License is issued for free by DOT
Because we are currently in the throes of the passion for Start-Ups, people believe that the government is willing to just give away the ISP license….for free. That is as far from the truth as you can imagine. Yes, we have gained a lot of new start-ups and the government of India has relaxed several norms, but ISP regulations don’t fall into that category. To start an ISP, in addition to the ISP license fee, you’d need to deposit a Financial bank guarantee and a Performance bank guarantee. Additionally, the DOT also expects you to pay the Entry fees – a toll to just enter the Internet market.
Conclusion
Now that you’re aware of several myths around ISP License, are you ready to make the right choice? If you are, we are ready to help you support it. Contact registration for affordable, time-bound, and ethical ISP License services in India.
There are Myths about ISP Licenses that you should know about. Through this blog, we have tried to remove the cloak of myths and make the facts more clear to you. Read more to find out.
