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 Internet service provider (ISP) License In India

An Internet service provider (ISP) is a company engaged in internet access, internet data  services to their Customer .Such Data is provided through various technologies, dial-up, DSL, cable modem, wireless or high-speed interconnectors. 

Choose a Company :-

A company registered in India under the Companies Act, 1956/2013  will be eligible to submit the proposal for providing Internet Service. Company under the Memorandum Should mention the clause of Internet Services mandatorily new Company can Easily take the license within 30 Working Days and need not have any prior Experience for taking the License by the Promoter and Director.   Foreign equity shall be as per the Government policy and guidelines issued from time to time. At present, the foreign equity is permitted to the extent of 49 percent.



Choose License Types:-

ISP (Internet Service Provider) License to run the business of Broadband in India. UL License is given by Department of Telecommunications and it is valid for 20 Years. Following are various type if License , An ISP should choose according to their Business Plan:-

  • Category A ISP: Covers the entire country.
  • Category B ISP: Covers one of the 20 major states in India.
  • Category C ISP: Covers one secondary switching area i.e. a small town, a village, a colony or a district.

Validity Of License :-

License issued will remain valid up to 10 Years once issued and Five year extension also can be provided after completing the terms and Conditions.  Licensee have to renew also Bank guarantee as well time to time as well.

License Fees

Once License issued, Checker and Maker Password will also be issued by the Department through these one can pay the License Fees quarterly with the Submission of Required papers time to time.


Licensee (Internet Service Provider) has no restrictions with the Government to Fixed tariff , Company can decide Suo-Moto To fix their tariff Location-wise. However, the Telecom Regulatory Authority of India (TRAI) may review and fix a tariff at any time during the validity of the license which shall be binding on the Licensee.

Advantages of ISP License over VNO license:-

ISP license has the freedom to run their own network instead of taking with others as like under the VNO license, Due to cost effective and better down time control Customers always like to prefer only ISP licensee .

Disadvantages of ISP license over VNO license:-

ISP license need some initial capital for the various things like setup cost, Bank guarantee and material cost as well , if a person has no experience in this field may choose VNO license instead of ISP as it is cheaper option and also allow to work As ISP as well.

For VNO License you may read our article with this link :-

For any further query related to ISP license you may reach us to +91-9654831210 or

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