Initial fears of Internet access charges rising by 6-12 per cent following the Telecom Regulatory Authority of India recommendations to impose an annual licence fee for Internet Service Providers appear to be unfounded.
Going by the guidelines issued in August 2007, the ISP licence was valid for 15 years and the one-time entry fee was Rs 20 lakh (Rs 2 million) and Rs 10 lakh (Rs 1 million) for Category-A and category-B circles, respectively. The new amendments will come into effect immediately.
The Telecom Regulatory Authority of India's (Trai) decision to stop issuing new licences for district-level operators or category 'C' players has effectively shut the door on smaller Internet service providers (ISPs) interested in setting up shop. Those who have moved on to category 'B' or state-level operations, too, are feeling the heat as they have to compete with the likes of Reliance, Bharti Airtel, BSNL, VSNL and Sify.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances