The US wants India to recognise internationally accredited labs, harmonise labelling requirements and the validity period of test reports and certification with global practices, and eliminate retesting requirements.
The Union Cabinet on Friday extended the period of compliance with the conditions of Press Note 5, 2005, by three months to December 31, 2006.
Huawei, the other big Chinese vendor, is yet to decide on the issue.
The department is planning a complete overhaul of the archaic Indian Telegraph Act.
The government, in the wake terror threats, is planning to set up a centralised system to monitor communications on mobile phones, landlines and the Internet.
The aim was to skill 1 crore by 2020.