Guidelines for Other Service Providers (OSPs)

Guidelines for Other Service Providers (OSPs)

Part of: GS Prelims and GS -III – Telecommunications 

In news

• Recently, the Department of Telecommunications (DoT) has eased the norms for Other Service Providers (OSPs).

Important Features of New Policy

• Distinction between Domestic and International OSPs has been removed. 
  • A BPO centre with common Telecom resources will now be able to serve customers located worldwide including in India.
• Now, the interconnectivity between all types of OSP centres is permitted.
• The Electronic Private Automatic Branch Exchange (EPABX) of OSPs can now be located anywhere in the world.
• Removed the requirement of OSPs submitting their reports to the DoT on a period basis.
• Other Provisions:
  • Exempted OSPs from requirement of any registration.
  • No Bank Guarantees are to be furnished.
  • Work from Home and Work from Anywhere also permitted.
  • Penalties for violations were removed altogether

Benefits

• The move is expected to provide a fillip to the BPO sector as well as create jobs. 
• The new guidelines will add to India’s attractiveness in ease of doing business,

About Business process outsourcing (BPO)

• BPO is a business practice in which an organization contracts with an external service provider to perform an essential business task.
• OSPs or Other Service Providers are companies or firms which provide secondary or tertiary services such as telemarketing, telebanking or telemedicine for various companies.