US telecommunications major Verizon Communications is yet to be accorded security clearance for offering data services in the country, according to the Ministry of Home Affairs. |
This follows an earlier Department of Telecommunications (DoT) show-cause notice to global telecom major AT&T, alleging it of operating "licenced services illegally". |
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The ministry, which looks after the nation's security, has asked the DoT not to permit the US major to provide the services without obtaining the security clearance. It has also requested the licensor to intimate the present status of its applications. |
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According to sources close to the development, the ministry was referring to reports that Verizon was planning to provide Internet Protocol Virtual Private Network (IP-VPN) services to its enterprise customers in the country. |
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VPN is a service that uses public infrastructure such as the Internet to offer dedicated telecommunication services to enterprise customers. |
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Quoting media reports that Verizon was planning to offer IP-VPN services in 2008, the ministry stated that Verizon already has an Internet Service Provider (ISP) licence in India. It has also set up various local ISP hubs in the country. |
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The US company, which has a 74:26 joint venture with Indian consumer durable major Videocon Industries, had obtained Letters of Intent (LOIs) to start national long distance and international long distance services in the country. |
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However, the JV firm is yet to be referred to the ministry for security clearance, while the ministry was yet to receive references on the monitoring capabilities of Verizon. |
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When contacted, Videocon Chairman Venugopal Dhoot said that the joint venture is in the process of getting security clearance. "There are a lot of procedures to be done and we are doing it," he said. |
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This follows a similar move by DoT, which had accused AT&T of provisioning "illegal and unauthorised" virtual private networks-services. |
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DoT had also accused the company of misusing international private leased circuits, a dedicated communication line used by corporates. |
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UNDER FIRE |
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AT&T operating "licenced services illegally", DoT said on December 5 Verizon Communications not given security clearance said the Ministry of Home Affairs on December 26 |
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