Bangladesh’s proposed Telecommunications Network and Licensing Policy 2026 could reshape the broadband market by allowing third-party resellers to provide internet services under licensed operators, increasing foreign ownership limits and restoring the traditional Internet Service Provider (ISP) licence structure.
The proposed reseller model has already drawn opposition from internet service providers, who fear it could allow unlicensed entities to control local markets and weaken consumer choice.
Under the draft policy, seen by TIMES of Bangladesh, resellers, agents and franchisees would be able to operate under a licensed ISP without obtaining a separate regulatory licence.
However, they would not receive independent rights over spectrum, international connectivity or network operations.
Internet Service Providers Association of Bangladesh (ISPAB) President Aminul Hakim said the arrangement could allow a reseller to dominate specific localities or buildings, leaving consumers with fewer choices.
“If an area is captured, then if you do not receive service from a reseller, you may not be able to change operators,” Hakim said.
He also expressed concern that reduced competition could affect service quality and pricing.
The new draft’s another major shift concerns foreign ownership. Under the previous arrangement, foreign investors could hold up to 49 per cent of an ISP company, while local investors had to retain at least 51 per cent ownership.
The new proposal could allow foreign investors to hold up to 80 per cent of ISP company shares.
ISPAB has opposed the move, arguing that critical digital infrastructure should remain under domestic control.
“The infrastructure of a country, both local and international infrastructure, should remain in the hands of domestic entrepreneurs or investors,” Hakim said.
He said local ownership was important to ensure digital sovereignty, meaning a country’s ability to maintain control over its critical digital systems and infrastructure.
The draft also changes the licensing structure by replacing the Fixed Telecom Service Provider (FTSP) category introduced under the 2025 framework with two ISP categories — ISP Licence (Nationwide) and ISP Licence (District).
“Previously, the interim government named ISPs Fixed Telecom Service Providers, or FTSPs. Now they are changing it back to ISP,” Hakim said.
Under the draft, the access-network layer, which connects customers directly to telecom services, will consist of Cellular Mobile Service Provider (CMSP) and ISP licences. The term Access Network Service Provider (ANSP) will remain only a description and will not become a separate licence, company or consortium.
A nationwide ISP licence would allow operators to provide fixed internet and data services, authorised fixed voice and internet-based calling services, enterprise connectivity, cloud connectivity, Internet of Things (IoT) services, public Wi-Fi and related fixed communication services nationwide.
A district ISP licence would cover authorised services within a single district, while creating a pathway for smaller operators.
Existing Upazila and Thana ISPs would be able to migrate through mergers, cooperative ownership, asset transfers, franchise arrangements under licensed operators or by directly qualifying for district ISP licences.
The draft places ownership, local participation and cross-layer controls under Schedule-4. Applicants would have to disclose ultimate beneficial owners, controllers, affiliates, financing sources, related parties, ownership structures and cross-holding information.
Existing licences would remain valid until their lawful expiry, migration, replacement, surrender or modification even after the interim government’s 2025 policy is repealed.
The draft also requires ISPs to remain responsible for customer identification, billing, tariffs, quality of service, complaints, fraud prevention, privacy, emergency services and service continuity.
Operators would need to obtain international internet capacity through authorised International Connectivity Service Providers (ICSPs) and use approved domestic interconnection and peering arrangements, which allow different networks to exchange internet traffic.
