Light Reading
AT&T receives first long distance licenses in India offered to a foreign carrier

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
Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Documentaries
Paul Bunyan's Giant Gigabit Plans

12|22|14   |   03:26   |   (0) comments


Gary Johnson, the CEO and GM of Minnesota rural operator Paul Bunyan Communications, discusses the company's 5,000-square-mile gigabit network rollout.
LRTV Interviews
CenturyLink: Building the Case for NFV

12|19|14   |   02:14   |   (0) comments


At the 2020 Vision Executive Summit, James Feger, VP, Network Strategy & Development at CenturyLink, talks about how the US operator is approaching virtual network functions from an operational and business case perspective.
LRTV Interviews
Liberty Global Sees Business Goldmine

12|18|14   |     |   (0) comments


Steen Sorensen, VP of business services for Liberty Global, explains where the giant international MSO sees growth potential.
LRTV Documentaries
EE: The Road to 5G

12|16|14   |   16:02   |   (1) comment


Andy Sutton, the principal network architect at UK mobile operator EE, explains how his company is using Wembley stadium as a wireless test bed and how that's helping EE to plan the evolution to 5G.
LRTV Huawei Video Resource Center
Highlights of Huawei's NFV Open Cloud Forum 2014

12|16|14   |     |   (0) comments


Huawei hosted its inaugural NFV Open Cloud Forum during the SDN & OpenFlow World Congress 2014 in Düsseldorf, Germany. The Forum brought together technology thought leaders, senior executives and telecom professionals from global carriers, industry associations, as well as other partner companies in the ecosystem, to exchange views on and collectively explore how ...
LRTV Custom TV
Realizing Operators' Digital Vision

12|16|14   |   5:23   |   (0) comments


Leveraging technology is fundamental to digital transformation but understanding customers and serving them really well is at the heart of digital businesses. TM Forum lists the following as the strategic pillars of the digital business: business agility and rapid innovation, operational agility and effectiveness, IT and data centricity, plus customer centricity. ...
LRTV Documentaries
US Cellular Injects Analytics Into LTE

12|16|14   |   2:57   |   (1) comment


US Cellular's Mario Vela explains how the operator uses analytics for network planning and what comes next as the carrier looks to eke more value out of its metrics.
LRTV Interviews
How Cox Biz Plans to Keep Growing

12|15|14   |     |   (2) comments


Steve Rowley, SVP of Cox Business, details how the third-biggest US MSO intends to boost its revenues to $2 billion and beyond over the rest of the decade
LRTV Huawei Video Resource Center
Interview With Bill Zhang, Director of SoftCOM Product Management, Huawei

12|15|14   |   2:50   |   (0) comments


Bill Zhang elaborated on Huawei's open philosophy in NFV solution development and network architecture design at the SDN & OpenFlow World Congress 2014.
LRTV Huawei Video Resource Center
Event Highlights: Huawei at SDN & OpenFlow World Congress 2014

12|15|14   |   3:43   |   (0) comments


Huawei joined the 2014 SDN & OpenFlow Congress as one of the key sponsors and contributors. At the event, Huawei reinforced the openness and flexibility of its network infrastructure strategies, and provided updates on its SDN and NVF innovations. Through participations at the exhibitions, forums and speeches, Huawei encouraged the industry to "think bigger and ...
LRTV Interviews
How Cable Biz Services Hit $10B Mark

12|12|14   |     |   (1) comment


Cable operators reached $10 billion in annual business services revenues by delving deeper into their vertical markets and expanding beyond the smallest firms.
LRTV Documentaries
Mediacom Aims to Test Connected Tractors

12|11|14   |   05:07   |   (3) comments


Cable business service provider is taking its services to the 'agribusiness' sector in partnership with farm equipment specialist John Deere and is getting involved in Gigabit Cities developments.
Upcoming Live Events
February 10, 2015, The Westin Peachtree Plaza, Atlanta, GA
March 17, 2015, The Cable Center, Denver, CO
April 14, 2015, The Westin Times Square, New York City, NY
May 6, 2015, McCormick Convention Center, Chicago, IL
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 9-10, 2015, Chicago, IL
Hot Topics
T-Mobile, BlackBerry Flirt With Reuniting
Sarah Reedy, Senior Editor, 12/17/2014
1-Gig: Coming to a Small Town Near You
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 12/17/2014
Comcast Launches 4K Streaming Service
Alan Breznick, Cable/Video Practice Leader, 12/18/2014
US Carriers, You're Going to Cuba!
Mitch Wagner, West Coast Bureau Chief, Light Reading, 12/18/2014
T-Mobile Lights Up 27 Wideband LTE Cities
Sarah Reedy, Senior Editor, 12/15/2014
Like Us on Facebook
Twitter Feed
Webinar Archive