Amended Decision on Internet Service Business Operation

On 4 June 2026, Decision on Internet Service Business Operation No. 1158/MCT dated 30 April 2026 (“Decision 1158“) was officially published in the Lao Official Gazette and came into force on 14 June 2026. Decision 1158 replaces the Decision on Internet Service Business Licensing No. 3972/MTC dated 13 December 2019.

Types of Internet Service Business Operations 

Decision 1158 sets out two types of internet service business operations: (i) domestic internet services; and (ii) international internet services.

  1. Domestic internet service business operations: Provision of internet services by providers that (i) may or may not have their own internet network; (ii) cannot connect directly to foreign internet networks; and (iii) are permitted to provide services within scope of area in the following three forms:
  • provision of internet services nationwide;
  • provision of internet services within the territory of a specific province; and
  • provision of internet services within a specific area that the Government intends to specially develop or where there is a specific need for internet service technical applications in that zone, such as high-tech zones, special economic zones, factory compounds, etc. They are not permitted to provide services to the public outside the prescribed scope.
  1. International internet service business operations: Provision of internet service by providers that have their own internet network and can connect directly to foreign internet networks. It may take any of the following forms:
  • internet volume import business operations, which refer to the import of internet capacity from abroad for distribution to domestic internet service business operators;
  • internet volume export business operations, which refer to the export of internet capacity from Lao PDR to foreign countries;
  • internet volume transit business operations (IP Transit), which refer to the routing of internet capacity through Lao PDR from an origin country to a destination country. 

Key Requirements for Internet Service Business Operators 

Decision 1158 stipulates the requirements for becoming an eligible internet service business operator, which include, but are not limited to the following: 

  1. being a locally incorporated entity with a registered physical office within Lao PDR;
  1. maintaining sufficient capital tailored to the specific category of internet service business operation;
  1. maintaining sufficient capital for each type of internet service business operation;
  1. being established as a joint venture entity with the Government of Lao PDR (applicable to the International Internet Service Providers category); 
  1. fulfilling all other technical, operational, and standard requirements prescribed by the Ministry of Technology and Communications (MTC).

If you have any queries on the above, please reach out to our Partner listed on this page.

For regional corporate and commercial matters, and regional technology, media and telecommunications matters, please see Rajah & Tann Asia’s Corporate & Commercial Practice and  Technology, Media & Telecommunications Practice for more information.


 

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