ISP License: How to choose the right category in India?

isp license

Getting ISP License and providing internet service in India is not just a noble business, it’s also the most profitable one. As the population and the demand of constant connection to the world wide web has increased, the existing ISPs are having a hard time catering to all of them. It’s time to give them a fair competition through ISP License in India.

What is ISP License? Simply put, it’s the permission from the Department of Telecommunication to run an ISP in India. Without it, you can’t use the telecom resources required to provide internet services. However, without knowing the right category of ISP license, you can’t give the big companies a fair competition.

Which brings us to the purpose of this blog. We are here to tell you how to choose the right category of ISP License.

Importance of knowing the categories of ISP

You don’t provide a service until you know that you’re capable to provide them to the intended customers. For providing ISP services, you’d have to know the same because:

  1. The category of ISP you choose dictate that ISP License fees you’d need to pay.
  2. The category of ISP you choose will dictate the hardware budget you’d need to setup other than the ISP license cost.
  3. It’s the category that sets the tone for your business. Are you someone who is looking for expansion, or are you a novice service provider you wants to dip his toes in the sea of ISP.

Knowing the ISP category is the most important facet of ISP License India. It dictates the cost, dictates the hardware expenditure and sets the tone for your business.

But what are those ISP categories.

ISP License categories in India

The Department of telecommunication have put forth three categories depending upon the size of the service area in which the ISP provides its services. These are as follows:

  1. Category A ISP: The category A is an all encompassing category. It’s the type of internet service provider that has the power to provide internet services across India. He has the financial backbone to pay the ISP License price and has the power to bear the cost of highest quality of hardware.
  2. Category B ISP: the category B is necessarily a concentrated version of category A. The quality of internet services and the hardware requirements are same. But, instead of providing access to world wide web to the entire country, this ISP focuses on one metropolitan state. Those who choose Category B are deemed the most courageous – for the market of state-wise ISP has the most competition.
  3. Category C ISP: The category C ISP is for those who see providing internet as a startup venture. the category C ISP License agreement gives the signee the power to provide internet in small regions.

Which one should you choose?

When someone asks how to get ISP License in India, they often don’t have a clear idea of which category choose from. If you face the same confusion among the above categories, ask yourselves the following questions.

What is the end goal for your business?

  • Are you looking for expansion or retain roots at one place?
  • Do you want to provide internet services to earn or to learn?

What is your budget?

  • What is the extent of ISP license cost in India that you are capable of handling?
  • How much hardware you can afford?
  • How big of an area is it in which you can provide your internet services?

Based on the above questions, here are the recommendations from Internet service provider License consultant:

  • If you want to expand your business, apply for unified ISP License for category B.
  • If you want to provide internet services to earn, then choose between A, B or C based on your budget. However, if learning is your motive, choose the ISP License category C.
  • If you are capable of handling this License cost AND possess enormous knowledge about providing internet services, you can choose category A.
  • In case you have the budget to meet the highest quality hardware requirements, choose category A. But, as you’d have the most freedom, try choosing category B.
  • Choose A to provide internet across India, choose B to provide internet state-wise; likewise, choose C to provide internet within a small region.
What’s the most profitable category among them all?

As per our research whose source we are not at the liberty to share, it’s the category B license that has peaked the most interest.

Make your choice. And once you’ve done so, our consultants would be ready to guide through the process of ISP License online registration.


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