Cabinet Approves ₹6,000 Crore Package for BSNL & MTNL 4G Expansion
In a major move to accelerate the 4G network expansion of state-owned telecom operators, the Union Cabinet has approved a financial package of ₹6,000 crore for Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL). This development is expected to significantly improve the connectivity and network services for consumers across the country.
According to a report by CNBC Awaaz, the cabinet approval will enable BSNL and MTNL to set up around one lakh 4G sites, marking a significant milestone in the expansion of their 4G network. The move is aimed at bridging the gap between the state-owned operators and their private sector counterparts, who have been leading the 4G charge in India.
The ₹6,000 crore financial package is seen as a major boost for BSNL and MTNL, which have been struggling to keep pace with the rapidly evolving telecom landscape in India. The two operators have been facing significant challenges in terms of revenue and customer base, and the 4G expansion is seen as a crucial step towards reversing their fortunes.
The approval of the financial package is expected to have a significant impact on the Indian telecom sector, which has been witnessing intense competition in recent years. With the 4G expansion, BSNL and MTNL will be able to offer faster and more reliable data services to their customers, which is expected to improve their overall experience and increase customer loyalty.
The expansion of the 4G network will also create new job opportunities and stimulate economic growth, particularly in rural areas where connectivity is still a major challenge. The government’s decision to provide financial support to BSNL and MTNL is seen as a step towards promoting digital equality and bridging the digital divide between urban and rural areas.
The cabinet approval comes at a time when the Indian telecom sector is facing significant challenges, including increasing competition and declining revenue. The sector has been facing intense competition since the entry of new players, including Reliance Jio, which has disrupted the market with its affordable data plans and high-speed network.
However, despite the challenges, BSNL and MTNL have been working towards expanding their 4G network, and the cabinet approval is seen as a major boost to their efforts. The two operators have been conducting trials and testing various technologies to improve their network quality and speed.
The ₹6,000 crore financial package is expected to be used to upgrade the existing network infrastructure, including the setting up of new 4G sites, upgrading of existing 2G and 3G networks, and the deployment of new technologies such as 5G. The package will also be used to improve the overall quality of service and to increase the network coverage area.
The cabinet approval has been welcomed by industry experts and analysts, who see it as a major step towards promoting competition and improving the overall telecom landscape in India. “The cabinet approval is a welcome move, and it will help BSNL and MTNL to catch up with the private sector players,” said an industry expert. “The expansion of the 4G network will improve the overall quality of service and provide better connectivity to customers.”
In conclusion, the cabinet approval of the ₹6,000 crore financial package for BSNL and MTNL is a significant development for the Indian telecom sector. The package will enable the two state-owned operators to expand their 4G network, improve the overall quality of service, and provide better connectivity to customers. The move is expected to have a positive impact on the sector, including creating new job opportunities and stimulating economic growth.
Source:
