What is Other Service Provider Registration?

Other service providers refer to such companies which are engaged in the
providing Application Services. The Telecom services are to be provided by
the authorized telecom service provider having a valid license under Indian
Telegraph Act, 1885. You are required to obtain the OSP registration to
start the business as other service provider.

Now, this may keep you wondering what Application services are.
Application service pertains to the teleservices by using Telecom
Resources provided by Authorized Telecom Service Providers.

Application services include the following

 Telebanking,
 Telemedicine,
 Tele-education,
 Tele-trading,
 E-commerce,
 Call center,
 Network operation center and other IT Enabled Services,

What will be the registration process for Single Location

Registration?
For registration: General condition subject to which the OSP is
provided
 For OSP registration these service providers will not infringe on the
jurisdiction of other Authorized Telecom Service Providers and they will not
provide switched telephony must be a company registered.
 The application is required to be made before the authorities. The
List of authorities annexed to the Application Form.

Documents Required to be Submitted For OSP

Registration
For OSP Registration

 Certificate of Incorporation of the Company

 Memorandum of association and Article of Association
 Board resolution or Power of Attorney for the purpose of authorizing
the authorized signatory to attest the signatures.
 A note on the nature of business/activities of the proposed OSP
 List of present Directors of the Company.
 The shareholding pattern of the company about the equity details,
indicating the Indian Equity and Foreign Equity.

What will be the registration process for Multiple

Location Registration?
 The applicant is required to apply to a unit of Department of Telecom
(Head Quater) having jurisdiction, where one site of OSP is proposed to be
located.
 Once the registration certificate for the first location, is received, then
it may apply to other respective designated authorities for remaining sites.
 However, this time to apply only the copy of OSP Registration
obtained for the first site is required to be submitted along with the copy of
the certificate of incorporation issued by the registrar of companies for the
cases OSP has made the registration within one year and there is no
change in the status of previously submitted documents.
 On completion of one year, a complete set of the documents shall be
submitted.
 Any change in OSP registration must be intimated to the Authority.

Fees for registration:

As such, there is no money to be paid apart from the processing fee of Rs.
1000/- which is payable along with the application for OSP registration.
 The amount is paid in the form of a demand draft from a scheduled bank in
favor of the concerned Accounts Officer of registering authority.

The validity of the certificate:

The registration certificate is valid for 20 years from the date of issue
unless otherwise mentioned in the registration letter.

Extension to the validity period:

The validity of the registration may be extended, by 10 years at one time,

when a request for extension is made during the 19th year of the
registration period on the terms mutually agreed. The Authority has full
discretion power and its decision shall be final in regard to the grant of
extension.

The requirement to furnish information:

 The OSP on demand by the authority shall furnish the information

and documents such as details of the accounts, estimates, returns, reports
or other information including system passwords in accordance with the
rules/ orders as may be prescribed from time to time.
 The OSP is required to submit ‘Annual return’ to the registering
authority in the prescribed Performa within six months of completion of the
financial year. The Annual return must indicate the details of the activities
of the previous financial year along with the status of the continued OSP
operation.
 The operational OSPs are required to put in the Active OSP list.

The consequence of not filing the annual return:

After obtaining the OSP registration in case the OSPs in case of failing to
submit the annual return for consecutive three years shall be put in the
dormant list, followed by registration cancellation. The company is canceled
after keeping them in the dormant category for two years. Such a list is
made available on the DOT website.

Other regulatory requirement:

 The TRAI (Telecom Regulatory Authority of India) requirement for

OSP:
 The Telecom Regulatory Authority of India (TRAI) has published a set
of draftrecommendations with the intent of transparency and fair-play and,
as a consequence the consumers. In the recommendations, the concept of
OSP has been extended and certain conditions have been imposed on its
registration.

Given below are the Conditions for OSP registration :

 A Company is eligible to apply for more than one registration, which

is based on the location.
 No license fee is applicable for OSP registration, however a
processing fee of Rs. 1000 to the Department of the telecom (DoT) is
required to be paid.
 The registration so obtained is valid for 20 years, also it may be
extended by 10 years at a time.
 The registration for the operation of Value Added Services is made
on a non-exclusive basis
 They are required to use common short codes and consumer
practices in line with the DoT guidelines.
 An OSPs is not allowed to employ bulk encryption equipment; as the
encryption equipment will need the approval of the mobile operator. Note
that the  Encryption higher than 40 bits will need permission, and the
decryption key will need to be given to the DoT.
 The OSP is required to obey the Privacy Binding on OSP to maintain
the confidentiality of consumer data.
 Off-deck players are allowed to charge the only charge for content.
They are not permitted to collect charges/ revenue for access/carriage
charges related to telecom access services.

Revenue Sharing:

Now the question arises how the Revenue is shared for on deck and
off deck OSP?

 In the case of the On Deck, the revenue share pertains to the as

negotiated and decided between the operators and content providers/Value
added service companies. Basically based on the mutual decision between
the involved parties.
 In case of the Off Deck, the Telecom operators may be mandated to
publish their access charges for value-added services provided under “Off
Deck” model. It is recommended that the separation of content from
carriage is to be done, as previously the carriage charges have been
arbitrary, resulting in non-uniform fee.