Jio, Airtel, Vi To Move To Authorisation Model As DoT Notifies New Telecom Rules

India's telecom sector got a major regulatory shake-up on 24 June. The Department of Telecommunications (DoT) notified rules to put the Telecommunications Act, 2023 into effect, bringing to a close the licence-based system that has governed the sector since the 1885 Indian Telegraph Act.

Going forward, operators like Reliance Jio, Bharti Airtel and Vodafone Idea will hold government-issued authorisations rather than the traditional licences they currently operate under.

A Gradual Move, Not An Overnight Switch

Existing operators will not have to change overnight. The move away from legacy licences to the new framework will be phased. The DoT is expected to issue further guidelines to support this process. To make things easier, a single-window clearance system has been set up on the Telecom eServices Portal. Operators can use this portal for fresh authorisation requests as well as for migrating from existing licences.

One practical benefit of the new system is that the government can now update service terms through rule changes, without having to renegotiate individual licence agreements each time something needs to change. This leads to a more flexible regulatory framework that can keep up with the development of the industry.

What The New Rules Require

The rules introduce a number of new obligations. Telecom companies will need to use artificial intelligence and big data tools to detect and prevent fraud, alongside anti-spoofing and anti-fraud measures.

Data localisation is another new requirement. Entities operating under the new authorisation framework will not be permitted to move user data out of India.

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In-flight connectivity now has its own separate authorisation category, making it easier to offer these services in a regulated manner. The framework also formally recognises captive non-public networks, enterprise communications and machine-to-machine services. M2M authorisations can be obtained by companies, courts, government bodies and societies for use cases such as IoT deployments, smart meters and connected vehicles.

The broader goal of these changes is to reduce the regulatory burden, lower compliance costs and set up a more harmonised set of rules across the sector, setting India's telecom infrastructure for the next phase of growth.