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MTNL, BSNL get poor response to 3G
Ishita Russell / New Delhi Apr 03, 2009, 00:34 IST

Telecom firms hoping for a major shift by mobile customers to high-speed third generation (3G) services may be in for a disappointment. Between them, state-owned telecom companies Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL), which offers telecom services in Mumbai and Delhi, have managed to rope in just 3,200-odd customers for their 3G services.

Two months after its commercial launch in February this year, MTNL has been able to get 200 to 300 subscribers for 3G services in Delhi. It will launch services in Mumbai only in May.

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MTNL Chairman RSP Sinha said, "We have 200-300 customers and hoped to roll out all over Delhi in a few months. I can't say how many subscribers we will have, but by the end of the year should have 2,000 to 3,000."

BSNL has not done much better. It has managed to garner 3,000 customers in over 24 cities since a month of its commercial launch, said an official. That means it has, on an average, 125 customers in each city — which includes Agra, Ambala, Jalandhar, Jaipur, Dehradun, Shimla, Lucknow, Ranchi and Patna, among others. However, it claims it will be in 500 cities in the next three months.

The Cellular Operators Association of India (COAI) had projected that as much as 10 per cent of the 375 million mobile customers would shift to 3G services in the first year of its launch in the country.

The two government-owned companies have notched up poor subscriber numbers despite the first-mover advantage given to them by the government to offer 3G services in December last year. Meanwhile, private players’ entry into 3G services has been delayed indefinitely over pricing controversies.

“There is so much competition in the Indian telecom industry that when the private operators get into 3G services, they will deploy very aggressive and competitive strategies,” said Harit Shah, telecom analyst with Angel Broking.

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Latest Messages
Posted by: Rajeev
Well I think 3G has just started rolling out in India.With many more Telecom companies entering into the Indian 3G telecom market,I think we would have great services at competitive prices .So with time,this segment in the market would mature and I think the number of 3G customers will grow, and BSNL or MTNL may not necessarily be the front runners.Shh and as though 3G is not enough,there are talks of 4G hitting the market!! Now that should complicate things :)
Posted by: Pintu
I agree with their costly tariff and their planning. BSNL didn't start 3G service in IT Cities where people need Internet Service. If BSNL really got 3000 customers I doubt how many of them are BSNL Stuff.
Posted by: dhirendra
Even I was desperately waiting for 3G in Delhi. But the tariff is not affordable and those who are willing to spend a lot have already taken broadband connections. Data downloading is charged at Rs. 5/MB. Monthly rental of Rs. 599/- for using nothing. How come they expect to add more customers without offering affordable plans. I think if they have added 300 customers then it should be a milestone for them.
    Posted by: pragyan
Only delhi is not india and large no. of Indian population are middle class. thats it. It should be understood that to make money the company should hit the middle class.And with these price it is rightly said if BSNL/MTNL made 300 customers its a milestone so well done.
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