Department of Telecommunications in India desires network tools sellers to move technology to Indian makers in 3 years of selling tools to Indian operator, as documents posted by DOT on its Web site. Network operators should apply for safety approval for all new tools not made by Indian companies, and must use only Indian engineers to keep tools, as part of sequence of measures to make sure safety of Indian network infrastructure, DOT said to service providers.
Service providers should contain clause in buy orders requiring foreign companies to move technology in 3 years from date of buy order, as DOT said. Both vendor and service provider punished in event of non-compliance, it said.
New order about technology transmit is part of exercise by Indian government to have better control over procurement by Indian telecommunications service providers. The resolve on safety approval is seen as other case of Indian government wanting to keep check on use of telecommunications tools from Chinese vendors, as said by analyst. India and China went to war in 1962, and stressed relations over border clash between two countries have improved as last year.
Huawei Technologies, which had profits of US.3 billion from India previous year, plans 50 percent raise in revenue this year. Company doesn’t anticipate problems from new safety rules, which apply to every foreign tools maker, a spokesman for Huawei said. In order from DOT, safety approval won’t be necessary for passive telecommunications tools like attaching cables and check and measurement tools.
The safety approval for product of specific brand and specification for one operator will considered as "benchmark clearance" for business for two years, DOT said.
Telecommunications service providers won’t need safety approval to outsource works to network service providers, but they must get safety approval for tools that outsourcers use, DOT said.