A VNO license has given an opportunity to entrepreneurs to enter the telecom sector without spending a lot of money. And the most popular VNO license comes under category B. Allowing you to set up a VNO ISP in a metropolitan city or a state, this license has seen the most demand in recent times. But how to obtain it? In this article, we are going to look at the process, the eligibility requirements and the documents you need to obtain this certificate.
Realistically speaking, it is not the rural areas that are defining the quality of internet services in India. That crown goes to the urban regions. Now having more options than before, an urban internet consumer is always looking for the best internet service provider who can:
- Provide high quality internet services,
- And, facilitate the same at less cost
Thankfully, the government of India listened, and in 2018, came up with the concept of Virtual Network Operator.
What is a Virtual Network Operator?
Like the name suggests, it is one who operates a virtual network. Within the telecommunication context, it is the operator who uses VNO to provide internet services to the customers.
A Virtual Network Operators works in the following ways:
- It first establishes a contract with an NLD(National Long Distance Operator) for supply for bandwidth.
- The NLD, in addition to delivering the required bandwidth, also provides the VNO operator the network to provide internet services.
- The Virtual Network Operator that integrates that network with its virtual network to distribute internet services to the subscribers.
As you can see, VNOs don’t have to:
- Establish their own infrastructure
- Spend a lot on hardware,
- And produce their own bandwidth.
This trifecta of benefits is the reason that VNOs have become the primary source of internet services in urban regions.
VNO ISP and the metropolitan sector
In the metropolitan regions such as Delhi, people rely on Internet Service Providers more than they do on VNO ISPs. And the reason is simple, there are more ISPs than those who use Virtual Networks to provide internet services.
However, with time, internet costs have risen and maintaining the hardware to provide them has also become expensive. It has caused a chain reaction where on one hand you have people who are looking for affordable internet services. And on the other hand, you have those who wish to affordably provide internet services.
As a result, service providers and service seekers are now gravitating towards category B VNO ISPs.
Consequently, there is a rise in VNO License in India.
Also Read: Direct and Indirect Trademark Infringement in India
How to apply for VNO License in Category B?
Before you can apply for the unified license to set up a VNO ISP in metropolitan regions (because that’s what category B VNO license is for) , you need to take meet the eligibility criteria:
Thankfully, there are only two:
- Firstly, your business entity must be a private limited company,
- Secondly, you must have the technical ability to provide internet services
After you have introspective and realized that you can provide the internet services, you can go ahead and furnish the following documents:
- Certificate of Incorporation
- Memorandum of Association
- Articles of Association
- Shareholding pattern of the company
- List of directors of the company
- Description of the business
- Literature covering the equipment you have set up in your VNO service center to provide internet services
After furnishing the documents, follow the steps given below to get the license:
- Firstly, Go to the SARAL SANCHAR portal and apply for the Category B VNO License
- Secondly, When filling the application form for this unified license, make sure to provide all the details correctly.
- Upload the furnished documents.
- Wait till the Department of Telecommunication picks up your application for analysis.
- After thoroughly assessing your documents and application, DOT will issue you the letter of intent if you have not made any errors.
- Deposit the financial bank guarantee and entry fee for the VNO license per the details in the Letter of Intent.
- Sign the final unified license agreement.
After signing the agreement, send a copy of it to the DOT. It will attest that copy and send it back to you via email.
And with that, you will procure the VNO license to set up a ISP License in a state or a metropolitan area.
Conclusion
It is worthwhile to establish a VNO ISP in metropolitan regions or a state. And for that, you require the category B VNO license. We have explained to you the documents you need, the eligibility you must adhere to, and the procedure to get the license.