IPLC License

Overview of IPLC License

An IPLC License is granted to individuals or entities seeking to establish end-to-end International Private Leased Circuits (IPLCs) between India and another country. The license holder is require to procure the circuits from international long-distance service providers to ensure the delivery of services to end consumers.

  • Here are the key points regarding an IPLC license:
  1. Utilization of License: The IPLC license holder can only utilize the license to offer IPLC services to subscribers.
  2. Bandwidth Sale: The license holder is permitted to sell bandwidth to telecom service providers, excluding other IPLC license holders.
  3. Cable Landing Station: The location of the license holder’s cable landing station should comply with the ILDO rules (International Long Distance Operators).
  4. Infrastructure Rights: As an IPLC license holder, you have the right to establish your own infrastructure for multiplexing, de-multiplexing, and billing purposes.

Eligibility criteria for IPLC license in India

To obtain an IPLC license, the service provider must meet certain requirements set by the regulatory authority. These requirements may vary depending on the country in which the service provider operates. However, some common requirements include:

  1. Compliance with local laws: The service provider must comply with the local laws and regulations of the country in which it operates.
  2. Financial stability: The service provider must have a stable financial status and be able to meet its financial obligations.
  3. Technical expertise: The service provider must have the technical expertise to offer international private leased circuits.
  4. Infrastructure: The service provider must have the necessary infrastructure to offer IPLC services, including the required equipment, facilities, and personnel.

To obtain an IPLC license in India, the following eligibility criteria must be met:

  1. Incorporation: The applicant must be a company incorporate according to the Companies Act 2013.
  2. Capability: The applicant company should be capable of fulfilling the duties required by a licensee.
  3. Net Worth: The applicant company should have a net worth of INR 2.5 crores.
  4. Foreign Direct Investment: If there is foreign direct investment in the applicant company, details of the investment must be provided, along with a declaration of unconditional compliance with FDI rules.

Types of IPLC License

There are different types of IPLC licenses that service providers can obtain depending on their requirements. Some of the common types of IPLC licenses include:

  • National IPLC License: This license allows a service provider to offer IPLC services within the country where it is issue.
  • Regional IPLC License: This license allows a service provider to offer IPLC services within a specific region, such as Asia or Europe.
  • Global IPLC License: This license allows a service provider to offer IPLC services globally, connecting different continents and countries.
  • Cross-Border IPLC License: This license allows a service provider to offer IPLC services between two or more countries.

Each type of IPLC license has its own set of requirements, and service providers must comply with them to obtain the license.

Scope of an IPLC License

The scope of an IPLC license is defin as follows:

  1. IPLC Service Provider: The IPLC service provider establishes an end-to-end International Private Leased Circuit (IPLC) between India and the destination country by procuring international bandwidth from International Long Distance Service Providers (ILDOs).
  2. Arrangements with Subscribers: The IPLC service provider enters into arrangements for leased lines with access providers, national long-distance service providers, and international long-distance service providers to provide services to end subscribers.
  3. Purpose Limitation: The IPLC Licensee can only access subscribers for IPLC provision and not for any other purpose.
  4. Bandwidth Sale: The IPLC Licensee can sell bandwidth at a retail level, with or without value addition, to end subscribers.
  5. Restrictions on Resale: The IPLC Licensee is prohibite from selling bandwidth to another Licensee for the purpose of IPLC resale.
  6. Infrastructure Rights: The IPLC certificate holder can establish limited infrastructure for multiplexing, de-multiplexing, billing, and customer management systems.
  7. Exclusion of Services: The IPLC certificate holder should not engage with PSTN/PLMN/GMPCS/Internet Telephony Networks.
  8. Service Area: The resale of International Private Lease Circuit (IPLC) service must be limited to a national level.

Documents required to obtain IPLC license

The applicant must submit the following documents along with the license registration application in India:

  1. Certificate of Incorporation
  2. Memorandum of Association
  3. Articles of Association
  4. Net Worth Certificate verified and signed
  5. Audited Balance sheet
  6. FDI details (if any foreign direct investment is involv)
  7. Complete IPLC details

FAQ About IPLC License?

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