Vehicle tracking service providers have expressed grave concerns about the security implications following the recent deregulation of their sector, warning that the move could lead to serious security threats.
The telecom watchdog, Bangladesh Telecommunication Regulatory Commission (BTRC), scrapped the current licensing regime under the new Telecom Network and Licensing Policy 2025, which will no longer require a license for operating a vehicle tracking service (VTS).
While the Vehicle Tracking Service Providers Association of Bangladesh (VTSPAB) acknowledged the regulator’s intention to encourage innovation and improve the business environment, it raised alarm over the potential risks associated with the deregulation.
The association has written to both defence and law enforcement agencies, warning that deregulation could lead to an increase in vehicle thefts and misuse of data, which could compromise national security.
In a letter recently seen by TIMES of Bangladesh, the VTSPAB expressed concerns that the lack of licensing would allow criminals to enter the business with ill intentions, exploiting the deregulated environment.
The association’s president, SM Golam Faruk Alamgir Arman, stated that unlicensed and unregulated firms could jeopardise national security by mishandling sensitive data and exposing state secrets to third parties, including foreign entities.
The letter pointed out several instances of vehicle theft, particularly hijackings of CNG three-wheelers, where the vehicles were tracked by unlicensed firms.
Criminals were able to track their targets with the help of these unauthorised tracking services, the association claimed.
Additionally, the use of unlicensed tracking firms could lead to privacy breaches, as criminals could easily share citizens’ movement data with third parties.
Currently, licensed VTS operators store tracking data on secure local servers, ensuring greater privacy protection.
At present, 44 firms in Bangladesh are licensed by BTRC to provide vehicle tracking services. Three private sector mobile operators – Grameenphone, Robi and Banglalink – also hold approvals to offer VTS.
However, according to Rashedur Rahman Razan, a founding member of VTSPAB, the association of 34 firms was not consulted prior to the approval of the new policy by the advisory council, despite their proactive communications with the regulator.
Subsequently, the VTSPAB recently had a meeting with BTRC officials, who assured them that a solution would be found to address the potential risks.
Razan, also managing director of Sky Tracker, a leading vehicle tracking service provider, guessed that instead of stringent licensing, there could come an enlistment process with the regulator.
He said that state agencies had previously rigorously tested firms and personnel before awarding licenses to ensure security standards were met.
“There should be no slack or compromise in this regard,” Razan said, highlighting that unauthorised players are already prevalent in the market and continue to face challenges during regulatory drives.
“The unauthorised operators will be legal in the coming days, if the regulator does not act soon,” he added.
BTRC Chairman Major General Md Emdad ul Bari did not respond to calls or messages for a comment by the time this report was filed.
The global vehicle tracking services market is projected to grow from $70 billion in 2024 to $300 billion by 2030, according to VTSPAB.
In Bangladesh, the market has grown at an 8 percent annual rate to reach around $25 million.
In comparison, Pakistan has seen a 15 percent growth, establishing a $200 million market. India with a much faster growth reached a half-a-billion-dollar market.
Currently, only 5 percent of the nearly 5.8 million registered vehicles in Bangladesh use tracking services, presenting significant potential for the market to more than triple in the next five years, the association added.
