Newsletter
Amendments to the Telecommunications Management Act Enacted
Amendments to the Telecommunications Management Act Enacted
Ken-Ying Tseng/Owen Han
To strengthen anti-fraud measures in Taiwan’s telecommunications sector and expand the regulatory scope over telecommunications operators (“Telecom Operators”), the Legislative Yuan passed the amendments to the Telecommunications Management Act (the “TMA Amendments”) on June 17, 2025. According to newly added Paragraph 2, Article 5 of the TMA Amendments, (i) service providers engaging in wholesale, by leasing or purchasing telecommunications services bundled with subscriber numbers from other Telecom Operators (who have been allocated subscriber numbers), and resell such services to subscribers in their own names (the “Resellers”) and (ii) service providers offering internet access services (“IASPs”) are required to complete Telecom Operator registrations. For IASPs, the competent authority may implement a tiered management system, taking into account telecommunications service revenue, number of subscribers, and other factors.
After the Telecommunications Management Act took effect on July 1, 2020, certain Resellers that were not allocated frequencies or subscriber numbers (i.e., type-two telecommunications operators under the old Telecommunications Act (電信法)) were able to cancel their Telecom Operator’s registration. Thereafter, to deter telecommunications fraud, the National Communications Commission (NCC) announced the Regulations Governing the Use of Subscriber Numbers on Telecom Operators (the "Number Regulations") on April 26, 2024, under which the Resellers must register as Telecom Operators in order to obtain subscriber numbers and fulfill the KYC and risk management obligations.
The TMA Amendments further expand the regulatory scope and strengthens the obligations for Resellers and IASPs. Resellers and IASPs are required to complete the Telecom Operator registration within one year from the effective date of the TMA Amendments. Resellers and IASPs that fail to do so may be subject to an administrative fine ranging from NT$100,000 to NT$1,000,000. In addition, the regulator will also issue a rectification order requiring compliance within a specified period. Consecutive administrative fines may be imposed if the violation is not rectified within the designated timeframe.
The TMA Amendments will impact Resellers and IASPs, particularly as some type-two telecommunications operators under the old Telecommunications Act may need to register as Telecom Operators. It is advisable for related businesses to assess whether they are compliant with the TMA Amendments. If you have any questions, please contact our Digital Industry, Communications and Personal Data Protection team.