Vehicle Tracking Service (VTS) License Deregulated in Bangladesh: What the 2025 Telecom Policy Means for GPS Tracker Businesses

If you run or use a GPS vehicle tracking service in Bangladesh, a major regulatory shift just landed. On September 22, 2025, the Bangladesh Gazette published the government’s newly approved Telecommunications Network and Licensing Policy, 2025, issued by the Posts and Telecommunications Division under the Ministry of Posts, Telecommunications and Information Technology. Buried within this sweeping telecom reform is a single line that matters enormously to anyone in the vehicle tracking industry: the Vehicle Tracking Service (VTS) license category is being deregulated. Let’s break down exactly what the gazette says, what it changes, and what it doesn’t change — yet.

What the Gazette Actually Says

The notification (No. ১৪.০০.০০০০.০০০.০১০.১৮.০০০১.২৫.৩০৭, dated 18 September 2025) confirms that the government has approved the Telecommunications Network and Licensing Policy, 2025, and simultaneously repealed the International Long Distance Telecommunication Service (ILDTS) Policy, 2010. The new policy took effect immediately upon publication.

Within the policy, Section 9, titled “De-regulation,” states plainly:

“The NIX, Call Center, Telecom Value-Added Service (TVAS), and Vehicle Tracking Service (VTS) licenses and registration categories shall be deregulated. ANSP licensees shall be responsible for facilitating the provisions of these services by interested entities through a transparent and effective collaboration framework. Additionally, ANSPs licensees shall ensure basic regulatory compliance and monitoring of these services.”

This is confirmed again in the policy’s migration table (Table 2), which lists “Vehicle Tracking Services” alongside Call Center Registration and TVAS Registration under the “De-regulated” outcome — with a footnote clarifying the timing.

What “Deregulated” Actually Means

The policy defines deregulation explicitly in its annexure:

“De-regulation: Services under the de-regulated category may be offered without a license.”

In practical terms, this means that once fully implemented, a company will be able to offer vehicle tracking / GPS tracking services in Bangladesh without needing to hold a separate BTRC-issued VTS license or registration certificate — a requirement that has applied to this sector for years.

When Does This Take Effect? (Important Nuance)

This is the part business owners need to read carefully. The gazette does not say VTS licensing ends immediately. Footnote (iv) to Table 2 specifies:

“Upon expiry of the current licensing term, the service under this license category shall be de-regulated (license would not be required to provide this service).”

So the deregulation is tied to the expiry of existing VTS licensing terms, not to the publication date of the policy itself. The policy also lays out a broader three-stage migration roadmap for the whole telecom sector:

• Stage 1: The reform policy takes effect (this has now happened).
• Stage 2: The new licensing regime and guidelines are introduced by BTRC.
• Stage 3: Final migration, with a soft cut-off date of no later than 30 June 2027, by which most existing licensees are expected to transition.

Section 13.7 of the policy also confirms that “all existing licensees shall be permitted to complete their current licensing terms,” while BTRC retains the right to amend licensing guidelines during this transition. In short: if you currently hold a VTS license or registration, you can continue operating under its existing terms until it expires — deregulation applies from that point forward, and BTRC is expected to issue further guidelines to clarify the mechanics.

Who Takes Over Oversight?

Rather than removing oversight altogether, the policy shifts responsibility for VTS services onto Access Network Service Providers (ANSPs) — the cellular mobile and fixed telecom operators. Under Section 9.1, ANSPs will be responsible for:

• Facilitating the provision of VTS-type services by interested entities through a “transparent and effective collaboration framework”
• Ensuring “basic regulatory compliance and monitoring” of these services

This suggests that going forward, GPS tracking providers may operate through partnership or SIM/connectivity arrangements with mobile operators rather than through a standalone BTRC license, though BTRC is expected to issue further sector-specific guidance as the transition unfolds.

Why This Matters for the GPS Tracking Industry

For companies and entrepreneurs working with vehicle tracking hardware and SIM-based telematics (GPS trackers, dash cams, fleet monitoring platforms), this shift is significant for a few reasons:

• Lower barrier to entry: Removing the standalone VTS license requirement could make it easier for new entrants, small businesses, and local SMEs to launch tracking services without navigating a separate BTRC registration process.
• Shift in accountability: Compliance monitoring moves to mobile/fixed telecom operators rather than a dedicated VTS licensing office, which may change how tracking service providers structure their SIM and connectivity partnerships.
• Timing still depends on existing licenses: Businesses currently holding a VTS license aren’t immediately released from their existing terms — the change applies once those terms expire, within the broader transition window running up to mid-2027.
• Part of a much larger telecom overhaul: VTS deregulation is one small piece of a much broader restructuring of Bangladesh’s telecom licensing framework, which also introduces new categories like Access Network Service Providers (ANSP), National Infrastructure and Connectivity Service Providers (NICSP), and International Connectivity Service Providers (ICSP), replacing older categories like ICX, IIG, IGW, and NIX.

What Businesses Should Do Now

• Track BTRC’s forthcoming guidelines. The policy repeatedly notes that BTRC will issue detailed implementation guidelines for each new and deregulated category — these will likely clarify the practical steps for VTS providers.
• Check your current license expiry date. If you hold a VTS registration, deregulation applies once your current term ends, not before.
• Watch how ANSPs structure “collaboration frameworks.” Since mobile/fixed operators will oversee VTS-type services going forward, expect operators to publish their own onboarding or partnership terms for tracking service providers.
• Don’t assume “no license” means “no compliance.” The policy is explicit that ANSPs must ensure “basic regulatory compliance and monitoring,” so some form of oversight will remain, just restructured.

Conclusion

The Telecommunications Network and Licensing Policy, 2025 marks one of the most significant overhauls of Bangladesh’s telecom regulatory structure in over a decade, and the deregulation of the Vehicle Tracking Service license is a small but meaningful part of that change for anyone in the GPS tracking and fleet telematics space. While the shift removes the standalone licensing requirement, it does so on a timeline tied to existing license terms and within a transition period running through mid-2027, with mobile and fixed telecom operators stepping in to oversee compliance. For GPS tracker businesses and vehicle tracking service providers in Bangladesh, the key takeaway is to keep a close eye on BTRC’s upcoming implementation guidelines, since these will determine exactly how the new, license-free framework operates in practice.