& cplSiteName &

AT&T Goes Long Distance in India

Light Reading
News Analysis
Light Reading
10/11/2006
50%
50%

AT&T Inc. (NYSE: T) has secured the first long distance licenses in India offered to a foreign carrier, even as the country’s government investigates it for illegally operating services there.

The operator set up AT&T Global Network Services India, a joint venture with Mahindra Air Services, in the spring to apply for national and international long-distance licenses. AT&T India plans to offer Virtual Private Network (VPN) services to the corporate enterprise segment by the end of the year. (See AT&T Granted India License.)

The U.S. carrier isn't the only international operator looking to break into a market populated by growing multinationals, IT services and software companies, and business process outsourcing (BPO) providers. British incumbent BT Group plc (NYSE: BT; London: BTA) has set up a local subsidiary to pursue licenses and acquisition opportunities. (See BT, AT&T Set Sights on India and BT Plans Further Global Push.)

Orange Business Services and Cable and Wireless plc (NYSE: CWP) have also expressed interest in entering the long distance market.

The Indian government has been doling out national and international licenses in a move to open up the market to competition, which has been dominated by four carriers -- Videsh Sanchar Nigam Ltd. (VSNL) (NYSE: VSL), Bharti Airtel Ltd. (Mumbai: BHARTIARTL), Reliance Communications Ltd. (RCom) , and Bharat Sanchar Nigam Ltd. (BSNL) . It has granted entry to domestic carriers Mahanagar Telephone Nigam Ltd. (MTNL) , Railtel Corporation of India Ltd. , and PowerGrid in recent months, and is evaluating applications from virtually every other operator -- including the likes of Spice Telecom and Idea Cellular Ltd.

But the decision to award licenses to carriers from abroad has been held up as the Indian government investigates charges that AT&T, BT, Orange Business Services (formerly Equant), and Verizon Communications Inc. (NYSE: VZ) (MCI) have been offering services illegally.

Foreign carriers have customarily signed agreements with VSNL, Bharti, and Reliance for access to their networks to offer services to corporate customers in India. (See C&W Partners With VSNL.) But according to the government, these partnerships -- which allow the foreign partner to bill customers directly -- mean that carriers are evading applicable service taxes and license fees.

With international carriers showing interest in entering the market, India’s Ministry of Communications is stepping up its investigation, issuing notices to all seven companies involved. It reportedly advised the Department of Telecom against granting AT&T's license request, but a screening committee has decided to treat the inquiries as separate from its application process.

— Nicole Willing, Reporter, Light Reading

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Featured Video
From The Founder
The 'gleaming city on a hill,' Steve Saunders calls it. But who is going to take us from today's NFV componentry to the grand future of a self-driving network? Here's a look at the vendors hoping to make it happen.
Flash Poll
Upcoming Live Events
September 28, 2017, Denver, CO
October 18, 2017, Colorado Convention Center - Denver, CO
November 1, 2017, The Royal Garden Hotel
November 1, 2017, The Montcalm Marble Arch
November 2, 2017, 8 Northumberland Avenue, London, UK
November 2, 2017, 8 Northumberland Avenue – London
November 10, 2017, The Westin Times Square, New York, NY
November 30, 2017, The Westin Times Square
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Could 5G Have Found Its Glass Ceiling?
Dan Jones, Mobile Editor, 9/20/2017
1 Million Pirate Set-Top Boxes Sold in the UK
Aditya Kishore, Practice Leader, Video Transformation, Telco Transformation, 9/20/2017
Comcast Shuts Down OTT Again
Mari Silbey, Senior Editor, Cable/Video, 9/19/2017
Why Amazon May Be Cable's Biggest Threat
Mari Silbey, Senior Editor, Cable/Video, 9/22/2017
Photo Highlights: Operations Transformation Forum 2017
Ray Le Maistre, International Group Editor, 9/17/2017
Animals with Phones
Live Digital Audio

Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.

Like Us on Facebook
Twitter Feed