BTRC Proposes Restructuring of Licensing Framework
The Bangladesh Telecommunication Regulatory Commission (BTRC) has announced a proposal to overhaul its licensing framework, introducing three distinct categories that aim to adapt to technological progress and promote tech-neutrality. This initiative, outlined in the draft of the “Telecommunication Network and Licensing Regime Reform Policy 2025,” also includes two types of enlistment designed to accommodate small internet service providers and minor telecom services. Currently, there are 3,573 licenses distributed across 27 categories within the country, and the BTRC plans to phase out existing licenses such as IGW, IIG, ICX, and NIX once they expire.
Distinct License Categories for Complementary Services
BTRC Chairman Major Gen Md Emdad Ul Bari (retd) emphasized that this reform aims to ensure clear distinctions between license categories, promoting a complementary rather than competitive relationship among them. The draft policy is open for public consultation, inviting feedback from stakeholders, professionals, and the public until April 30. The newly proposed categories consist of: Access Network Service Provider (ANSP), National Infrastructure and Connectivity Service Provider (NICSP), and International Connectivity Service Provider (ICSP). Under the ANSP, there will be two specific licenses: Cellular Mobile Service License and Fixed Telecom Service License.
Overview of License Categories
According to the draft, the Cellular Mobile Service Provider category will encompass a range of voice, broadband internet, data, and digital services utilizing GSM/IMT/3GPP/LTE technologies and their future iterations. This category will feature a limited license structure. Conversely, the Fixed Telecom Service Provider will cater to all types of voice, internet, data, and digital services delivered via fixed wired (e.g., optical fiber) or wireless (Wi-Fi) technologies, and its licensing will remain unrestricted. The international connectivity category will include services like submarine and terrestrial cable-based international connectivity, IP transit, carrier contracts, and call termination, with IGW and IIG licenses being phased out by 2027.
Changes to National Infrastructure and Connectivity Services
Under the NICSP category, companies will be tasked with providing services such as domestic transmission via optical fiber and high-speed radio internet through telecom tower leasing and facility sharing. Existing interconnection exchanges (ICX) and national internet exchange (NIX) licenses will also be discontinued after their current terms expire, although current license holders can apply for broader licenses. To streamline operations in the access network layer, which interfaces directly with end users, BTRC plans to consolidate separate fixed broadband internet service licenses into one comprehensive fixed telecom service license.
Provisions for Smaller ISPs and Other Services
Smaller internet service providers that do not fulfill the new criteria will have the opportunity to register as small ISPs through an enlistment process. Furthermore, BTRC has suggested eliminating licensing requirements for services such as call centers, vehicle tracking, and telecommunications value-added services. After the public consultation phase, the proposed reforms will be submitted for government approval.
Goals for a Streamlined Network Topology
BTRC aims to simplify the current complicated and multilayered network structure by transitioning to a more streamlined, service and technology-neutral model. This new configuration is designed to enhance service quality for users while promoting operational efficiency for providers. It will facilitate both vertical and horizontal integration of new services, allowing for adaptability to the sector’s evolving landscape.
Encouraging Foreign Investment in Bangladesh’s Telecom Sector
The new policy opens avenues for foreign investment, permitting up to 70 percent foreign ownership under the NICSP license and 49 percent under the ICSP license. These reforms are anticipated to attract greater international investment and facilitate technology transfer within Bangladesh’s telecommunications industry. Additionally, the policy outlines plans for special connectivity support to foster the establishment of local Content Delivery Networks (CDNs) and data centers.
Future of Mobile Number Portability
Mobile Number Portability (MNP) will continue to operate under a separate license for the time being. However, once the new licensing categories are implemented, there is potential for MNP to transition into the NICSP framework.
