National Long Distance Service (NLD)

National Long Distance (NLD) licenses for Virtual Network Operators (VNOs) in India allow them to provide long-distance telecom services within the country by leasing network capacity from existing Network Service Operators (NSOs) or Telecom Service Providers (TSPs). VNOs don't own the core long-distance network infrastructure and operate as an extension of NSOs/TSPs. To obtain an NLD license, applicants must be Indian registered companies and meet financial criteria. The application is submitted online, and the license is valid for 10 years. NLD VNOs are subject to regulations by the DoT and TRAI.

Details of Service

A National Long Distance (NLD) license for Virtual Network Operators (VNOs) in India operates under the framework of the Unified License (UL) guidelines introduced in 2013. This allows companies to offer long-distance telecom services across different Licensed Service Areas (LSAs) within India without owning the underlying network infrastructure. Instead, they lease capacity from existing Network Service Operators (NSOs) or Telecom Service Providers (TSPs).

Key Details of NLD Licenses for VNOs:

Authorization under UL: NLD service is one of the authorizations that can be obtained under the Unified License for VNOs. This means a company first needs to obtain the basic UL VNO license and then apply for NLD authorization as an additional service.
Scope of Services: With an NLD authorization, a VNO can provide various inter-circle telecommunication services, including voice, data, text, fax, video, and multimedia. They can also offer leased circuits and Virtual Private Network (VPN) services on a national level.
Infrastructure Model: Unlike traditional NLD operators, VNOs do not establish their own core long-distance network infrastructure (like major switching centres). They rely entirely on the capacity leased from NSOs/TSPs, acting as service delivery operators.
License Validity: The NLD authorization's validity is co-terminus with the underlying UL VNO license, which is generally 10 years from the effective date. This is different from standalone NLD licenses issued before the UL regime, which had a 20-year validity.
Regulatory Framework: NLD VNOs are governed by the regulations and guidelines issued by the Department of Telecommunications (DoT) and the Telecom Regulatory Authority of India (TRAI). This includes aspects like tariff regulations, interconnection agreements with other operators, quality of service standards, and security conditions.
Interconnection: NLD VNOs need to establish interconnection agreements with other licensed telecom operators to seamlessly route traffic across different networks and service areas.
Restricted Infrastructure Ownership: While VNOs can set up certain customer premises equipment and access network elements, they are generally prohibited from owning or installing core infrastructure equipment used for long-distance switching and transmission.

In essence, the NLD license for VNOs provides a framework for companies to enter the national long-distance telecom market with lower capital expenditure by leveraging existing infrastructure, fostering competition and innovation in service delivery. However, they must adhere to the specific regulations and guidelines set forth by the Indian telecom authorities.