VNO License: A Gateway to the World of Telecom
Telecommunications is one of the fastest-growing industries in India, with the market size projected to reach $100 billion by 2025. The government of India has taken several initiatives to promote the growth of this sector, including the introduction of the PM-WANI scheme, which aims to provide affordable and reliable internet access to every citizen. The scheme has opened up new opportunities for entrepreneurs and businesses to enter the telecom market by becoming Virtual Network Operators (VNOs).
VNO License: What is it?
A Virtual Network Operator (VNO) is an entity that provides telecom services like voice and data to end customers without owning any infrastructure. A VNO operates on the network of a licensed telecom operator by purchasing bulk bandwidth, which it then resells to its customers under its brand name. To become a VNO, one needs to obtain a VNO license from the Department of Telecommunications (DoT), which is responsible for regulating and licensing all telecom services in India.
VNO License: Benefits
The VNO license opens up a world of opportunities for entrepreneurs and businesses who wish to enter the telecom market without making huge investments in infrastructure. Here are some of the benefits of obtaining a VNO license:
- Lower Investment: A VNO does not need to invest in building or maintaining any telecom infrastructure, which significantly reduces the initial investment required to enter the market.
- Brand Building: As a VNO, you have the freedom to create your brand and offer customized services to your customers. This helps in building a loyal customer base and establishing a strong brand presence.
- Revenue Sharing: VNOs can earn revenue by reselling the bandwidth purchased from licensed operators at a higher price. This revenue-sharing model helps VNOs to generate profits without investing in infrastructure.
VNO License: PM-WANI Scheme
The PM-WANI scheme is a flagship initiative of the government of India that aims to provide affordable and reliable internet access to every citizen. Under the scheme, the government has created a public Wi-Fi access network that can be accessed by anyone with a Wi-Fi-enabled device. The scheme has opened up new opportunities for entrepreneurs and businesses to become VNOs and offer internet services to their customers.
VNO License: How to Obtain it?
Obtaining a VNO license is a multi-step process that involves several regulatory approvals and compliances. Here are the steps to obtain a VNO license:
- Incorporate a Company: The first step is to incorporate a company in India, as VNO licenses are issued only to companies registered under the Indian Companies Act.
- Apply for Unified License: The next step is to apply for a Unified License from the DoT, which allows the licensee to offer all telecom services, including VNO services.
- Apply for VNO License: Once the Unified License is obtained, the applicant can apply for a VNO license by submitting the required documents and paying the requisite fees.
- Comply with Regulatory Requirements: After obtaining the VNO license, the licensee must comply with all regulatory requirements, including security and privacy norms, customer grievance redressal, and quality of service.
VNO License: Conclusion
The VNO license is a gateway to the world of telecom, offering entrepreneurs and businesses the opportunity to enter the market without investing in infrastructure. With the introduction of the PM-WANI scheme, the demand for VNO services is expected to grow, presenting new opportunities for businesses to capitalize on. However, obtaining a VNO license involves several regulatory approvals and compliances, which must be fulfilled to operate legally in the market.