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| Edited By: Praveena Sharma |Source: DNA |Updated: Mar 30, 2018, 04:14 AM IST
After being dragged to the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) by telecom chipmaker Qualcomm Inc for refusing to grant an internet service provider (ISP) licence to its subsidiary, the Department of Telecommunication seems to have finally given in.
The department on Tuesday reportedly agreed to grant ISP licence to the US wireless broadband major’s subsidiary, paving the way for the launch of its services in India.
Qualcomm had bagged broadband wireless access (BWA) licence for $1 billion in Delhi, Mumbai, Haryana and Kerala circles through a bidding process last year.
However, its project was briefly thrown off the rails after the government decided to cancel its licence for missing the deadline to apply for a licence. The ministry said the US firm had violated the notice inviting application, or NIA, norms by not applying for licences within three months of being issued the letter of intent.
In its view, Qualcomm had also breached another NIA rule by nominating four companies instead of one for the ISP licence.
From the beginning, Qualcomm has maintained that it has fully complied with the application process and was willing to work with the Indian authorities to resolve the matter.
The BWA services market is expected to heat up with all licence holders — Reliance Industries, Bharti Airtel, Aircel, Netherland’s Augere and Tikona — gearing up to launch services next year.
Qualcomm last year sold a 26% stake in its India broadband venture to Global Holdings and Tulip Telecom to comply with Indian rules, which allow a maximum of 74% foreign holding in local telecom companies. The company, which is pushing for the deployment of long-term evolution broadband technology, has said it is looking for more operator partners in the venture and plans to eventually exit the business.
