Telecom Authorisation Rules 2026: New DoT Compliance Guide

The Telecommunications (Authorisation for Telecommunication Network) Rules, 2026, notified by the Department of Telecommunications (DoT) on 20th July 2026, set out a brand-new authorisation system for anyone who wants to build, run, maintain, or expand a telecom network in India. If you are a telecom infrastructure company, an internet exchange operator, a satellite gateway provider, a cloud-hosted network provider, or a business exploring mobile number portability services, this notification changes how you apply for approval, what fees you pay, and what compliance obligations you must follow going forward. These rules have brought a change in the licensing procedure, and the new system of “authorizations” has been introduced based on the Telecommunications Act, 2023. Those businesses that fail to change their procedures and requirements in accordance with the new rules may face difficulties, as well as rejections of their applications. Expert advice on regulation compliance will ensure a smooth transition for you.

Key Highlights (Bullet Points)

• The Ministry of Communications, Department of Telecommunications, notified the Telecommunications (Authorisation for Telecommunication Network) Rules, 2026 vide G.S.R. 644(E), dated 20th July 2026.
• These rules are made under Section 56 of the Telecommunications Act, 2023 (44 of 2023), read with Section 3(1)(b) and 3(6) of the Act.
• A draft of these rules was first published on 9th October 2025 (G.S.R. 746(E)) inviting public objections and suggestions, which were considered before finalising the rules.
• The rules came into force on the date of their publication in the Official Gazette, i.e., 20th July 2026.
• Six categories of authorisation are created: Infrastructure Provider, Digital Connectivity Infrastructure Provider, Internet Exchange Point Provider, Satellite Earth Station Gateway Provider, Cloud-Hosted Telecommunication Network Provider, and Mobile Number Portability Provider.
• The first five authorisations apply to the national area (all of India); Mobile Number Portability authorisation applies to a zonal area (India divided into two zones).
• Applications must be submitted through a central government portal, accompanied by a processing fee and an auditor's eligibility certificate.
• Only Mobile Number Portability Provider authorisation carries an annual authorisation fee (1% of Adjusted Gross Revenue, or 30% of the applicable entry fee, whichever is higher); the other five authorisation types have no authorisation fee.
• Every authorisation is valid for a maximum of 20 years (10 years for Mobile Number Portability), and is granted on a non-exclusive basis.
• Entities cannot hold overlapping licenses or authorisations covering the same telecom network scope and area.
• The guidelines include strict security requirements such as the board’s majority Indian citizenship, foreigner security checks, data localization in India, and trusted source/trusted product criteria for telecommunications equipment.

These regulations outline the procedures for renewal, transfer, cancellation, and surrender of authorization.

The Regulatory Framework

Before going further, here are a few terms explained.

• Telecommunications Act, 2023 is the central law that governs how telecom networks and services are authorised, regulated, and controlled in India. It replaced the older telegraph-era licensing framework.
• Authorisation (as used in these rules) is the government's formal permission to establish, operate, maintain, or expand a telecommunication network. It is similar to what used to be called a "license" under the old system, but now covers a wider, more structured set of categories.
• New Authorised Entity means any company that has obtained authorisation under Section 3(1) of the Act, or has migrated its existing licence to the terms of an authorisation under Section 3(6) of the Act.
• Portal refers to the DoT's digital platform through which applications, reports, and communications under these rules are submitted and processed.
• Adjusted Gross Revenue (AGR), relevant only for Mobile Number Portability providers, is the revenue figure (after specific deductions like dividend income, interest income, and capital gains) on which the annual authorisation fee is calculated.

Applicable Act, Authority, and Purpose

These guidelines have been formulated by the Central Government (Department of Telecommunications) in terms of Sections 56(1) and 56(2)(a) and (d) of the Telecommunications Act, 2023, along with Sections 3(1)(b) and 3(6). They are formulated to prescribe the terms and conditions for granting authorisations to establish, operate, maintain and expand the telecommunication networks and also for providing a uniform process for transition from licences to authorisations.

Scope and Industries Covered

The rules apply to:

• Companies seeking to build passive telecom infrastructure (towers, ducts, right of way).
• Companies providing digital connectivity infrastructure (wireline networks, radio access networks, wireless LANs, transmission links).
• Internet Exchange Point operators.
• Satellite earth station gateway operators.
• Cloud-hosted telecom network providers (virtualised, software-based network functions).
• Mobile Number Portability service providers.

What Has Changed

Earlier, telecom networks in India were largely governed under the Indian Telegraph Act, 1885 and licenses issued under it. The 2026 Rules formally shift this to an authorisation-based system under the Telecommunications Act, 2023, with clearly defined categories, a digital portal-driven process, and updated fee structures.

Key takeaway: If your business held a pending application or letter of intent under the old Telegraph Act framework and the licence was not issued before 20th July 2026, that letter of intent has lapsed you now need to reapply under the new authorisation process. However, fees already paid can be adjusted.

Implementation Timeline 

• Effective Date: These rules came into force on 20th July 2026, the date of their publication in the Official Gazette.
• Background timeline: The draft rules were first published on 9th October 2025, with a 30-day window for objections and suggestions from the public, which the Central Government has now considered before finalising the rules.
• Renewal deadline: Entities must apply for renewal of authorisation at least 12 months before expiry, along with the prescribed processing fee.
• Reporting deadlines: Annual disclosures (equity details, controlling persons, compliance confirmation) must be submitted every year in the form and by the date specified on the portal shareholding changes must be reported within 15 days company name changes within 30 days.
• Guarantee renewal: Entities must extend the validity of their financial guarantee at least one month before its expiry, without waiting for a government reminder.
• Applicability trigger: Any new applicant for telecom network authorisation, and any existing licensee migrating from the old Telegraph Act regime, is covered from the effective date.
• Required action: Businesses should also identify which of the six authorisation categories applies to their operations, register on the DoT portal, and prepare the auditor's eligibility certificate before applying.

Why Was This Implemented?

The Government's objective behind these rules is to modernise and streamline telecom sector regulation under the new Telecommunications Act, 2023 framework:

Ease of doing business objective: Moving to a fully digital, portal-based authorisation system is intended to make applications, renewals, and reporting faster and more transparent compared to the older manual licence process.

National security objective: The rules also introduce structured security vetting for foreign nationals in leadership roles, mandatory data localisation, and a trusted sources/trusted products framework to safeguard India's telecom infrastructure.

Regulatory clarity objective: By defining six distinct authorisation categories with clear scopes, the rules reduce ambiguity about what activities each type of authorisation permits.

Fair competition objective: Non-exclusive authorisation, prohibition on overlapping licenses, and fair and non-discriminatory infrastructure-sharing requirements aim to promote healthy competition among telecom network providers.

Revenue and fiscal objective: The Adjusted Gross Revenue-based fee scheme applicable to the Mobile Number Portability service providers and the entry fees and guarantees as provided under Schedule A ensure the standardised revenue framework applicable to this particular category.

Migration objective: The provisions ensure a systematic approach to migration of the licensees licensed under the old Telegraph Act to the new licensing regime without affecting their existing rights and responsibilities.

Impact on Businesses

The notification will have varying implications across the industrial ecosystem, affecting business expansion plans, supply chains, investment decisions, and compliance strategies for multiple stakeholders.

• Manufacturers and Telecom Equipment Suppliers: Manufacturers, vendors, and suppliers of telecom equipment must ensure their products meet the trusted sources and trusted products requirements, since new authorised entities can only procure and install trusted products, and non-compliant suppliers risk being blocked.
• Importers and Exporters: Businesses importing telecom hardware or software for use in Indian networks must factor in the trusted-source approval process before their equipment can be deployed in any authorised telecom network.
• Branding Organizations: Enterprises that brand telecommunication services through partner infrastructure or connectivity platforms must ensure that their partners have valid and non-conflicting authorization to prevent any disruptions to the services.
• MSMEs and New Startups: Emerging enterprises that participate in infrastructure sharing, Internet exchange points, and cloud-based networks can take advantage of zero authorizations for five out of six categories, despite having to satisfy certain criteria.
• Large Enterprises: Established telecom players need to review whether any of their existing licenses overlap with a new authorisation they intend to apply for, since overlapping approvals are not permitted and existing overlapping licenses must be relinquished.
• Traders, Distributors, and Retailers: Businesses that depend on stable connectivity infrastructure from authorised entities should monitor their providers' compliance status, since revocation or suspension of an authorisation requires the network to be maintained only until a specified effective date.
• OEMs and Service Providers: OEMs supplying telecom equipment and system integrators offering managed telecom services must maintain detailed supply chain, software update, and command log records as mandated under the security conditions.

Operationally, businesses must build in time for portal-based applications and audits legally, non-compliant equipment sourcing or overlapping authorisations risk rejection or blocklisting financially, the Mobile Number Portability category involves significant entry fees and guarantees, and from a documentation standpoint, auditor certifications are now a mandatory part of nearly every stage: application, annual reporting, and fee computation.

How Businesses Will Achieve Compliance?

Follow this roadmap if your business is applying for, or already holds, a telecom network authorisation:

• Identify the correct authorisation category. Determine whether your business needs Infrastructure Provider, Digital Connectivity Infrastructure Provider, Internet Exchange Point Provider, Satellite Earth Station Gateway Provider, Cloud-Hosted Telecommunication Network Provider, or Mobile Number Portability Provider authorisation.
• Eligibility Criteria. Check whether the company satisfies all the norms of compliance to FDI, has an excellent record, has no dues pending and does not have any other overlapping license/authorization.
• Portal Registration. Register your company in the portal maintained by DoT for obtaining authorization, security clearance and trustworthy product.
• Documents. Make ready the auditor’s certificate regarding the eligibility along with the company's registration and shares documents.
• Application and Processing Fee. Apply and pay the non-refundable processing fee as per Schedule A.
• Letter of Intent compliance. On receiving a Letter of Intent, pay the entry fee and submit the required unconditional guarantee (where applicable) within the specified terms.
• Testing and technical conformity. Ensure telecom equipment and networks conform to applicable standards, and be ready for performance testing by the government or designated agency.
• Security vetting and Trusted Source/Trusted Product registration. Undergo full security vetting by the Ministry of Home Affairs for foreign personnel occupying key positions, and register with the authorized agency as a Trusted Source and Trusted Product user before procurement of equipment.
• Approval for sensitive areas. Seek prior approval before setting up telecom networks in sensitive areas as per government guidelines.
• Renewals. Renew before expiry of 12 months from the date of authorization with the appropriate application fees.
• Reporting. Provide annual disclosures, report changes in shareholding, and any other information required by the Central Government.
• Record keeping. Keep command logs, software update logs, and supply chain records for the specified time periods (12 months for real-time logs and 24 months for digital logs of command logs; 6 years for billing and accounting records).

Common compliance mistakes to avoid:

• Applying for a new authorisation without first relinquishing an overlapping existing license.
• Assuming a pending Telegraph Act-era letter of intent automatically carries over it lapses if the license wasn't issued before 20th July 2026.
• Overlooking the requirement to store all network data, logs, and information within India.
• Failing to renew the financial guarantee at least one month before its expiry.
• Deploying telecom equipment before checking whether it falls under a category requiring trusted-source approval.

Practical tip: Before applying, map your current business activities against the six authorisation categories carefully; several rules explicitly restrict entities from operating outside the scope of their authorisation.

Benefits for Businesses

The new authorisation regime streamlines compliance, while at the same time establishing a system where telecom companies can work and invest more openly and efficiently.

• Compliance helps keep you out of any legal troubles or breach proceedings.
• Eliminates legal risks and penalties via compliance obligations as opposed to license conditions.
• Zero authorisation fee for five of the six categories significantly reduces the cost of entry into infrastructure, digital connectivity, internet exchange, satellite gateway, and cloud-hosted network businesses.
• Market access through a clearer, faster, portal-based approval process compared to the earlier license system.
• Business continuity through defined renewal, transfer, and migration pathways that protect existing rights and obligations.
• Fair infrastructure sharing provisions allow businesses to share passive infrastructure, right of way, and network capacity on fair, non-discriminatory terms with other authorised entities.
• Operational efficiency from a single, standardised digital portal handling applications, reporting, and compliance submissions.

Right Decision or Additional Burden?

This notification indicates a major structural change, and a balanced approach can help businesses to plan accordingly.

• Benefits: Transitioning to a digitized portal-based authorization process from the previous license approach eliminates certain procedural hassles. Waiver of all authorization fees for five out of the six categories makes it easier for small businesses to venture into infrastructure and connectivity businesses. Non-exclusive authorization conditions and fair-sharing provisions encourage healthy competition.
• Challenges: New security requirements such as data localization requirements, MHA’s clearance of foreign individuals and procurement of approved trusted sources introduce more compliance requirements that businesses have to be wary of. Businesses with an international supply chain or foreign leadership face the challenge of restriction of overlap between licenses/authorizations.
• Cost of Compliance vs. Business Readiness: Businesses with good data localization practices and security will face less hassle during compliance compared to businesses using offshore data infrastructure or using unvouched foreign employees.

The Impact of This Notification in the Long Run: In the long run, this model will result in a more digitized and transparent telecom authorization process for businesses.

Business Opportunities Created

• Zero-fee entry into infrastructure and connectivity businesses: The exemption of authorisation charges from the categories of Infrastructure Provider, Digital Connectivity Infrastructure Provider, Internet Exchange Point Provider, Satellite Earth Station Gateway Provider and Cloud-based Telecommunication Network Provider has set the stage for new players.
• Infrastructure sharing agreements: The regulations clearly allow fair and non-discriminatory sharing of passive infrastructure, right of way, and capacity sharing of networks.
• Cloud-hosted telecom services: The new Cloud-Hosted Telecommunication Network Provider authorisation category creates a formal pathway for businesses offering virtualised, software-based telecom network functions.
• Trusted product manufacturing and supply: Equipment manufacturers and suppliers that align early with the trusted sources and trusted products framework stand to benefit as authorised entities can only procure trusted products.
• Compliance and security consulting: Rising demand for security vetting coordination, data localisation architecture, and trusted-source documentation creates opportunities for compliance consultants and technology advisors.
• Mobile Number Portability services: Though this category carries entry fees and a guarantee requirement, it represents a defined, zone-based business opportunity for eligible companies.

Why Choose Corpseed?

Navigating six distinct authorisation categories, portal-based applications, security vetting requirements, and a detailed fee and guarantee structure requires more than a surface reading of the notification it requires correctly mapping your business model to the right authorisation scope and preparing documentation that meets DoT's exact requirements.

The expert regulatory consultancy professionals at Corpseed can assist telecommunication firms at all levels, from finding the appropriate authorization category to drafting auditor eligibility certificates and portal applications, handling entry fee and guarantee applications, coordinating security vetting and trusted source registrations, and renewals and transfer of licenses from the outdated Telegraph Act licenses. Backed by pan-India assistance, experts in telecom and technology regulation, clear process, and a good history of assisting clients, Corpseed can help businesses avoid the painful experience of rejection of application or non-compliance being detected too late.

Corpseed's Core Message

A regulatory shift of this scale from license to authorisation, from manual process to digital portal, from general conditions to category-specific technical and security requirements can easily trip up businesses that try to navigate it alone. Waiting until an application is rejected, a guarantee lapses, or a security vetting requirement is missed can cost your business valuable time and market opportunity.

Talk to Corpseed's regulatory compliance experts today to get a clear assessment of which authorisation category fits your telecom business, and get end-to-end support for portal registration, documentation, security compliance, and approvals under the Telecommunications (Authorisation for Telecommunication Network) Rules, 2026.