BG arm Iqara to double investments

Broadband service provider Iqara, the telecom arm of British Gas, is planning to double its investments and customer base in India by 2005-end.

Iqara or BG Broadband has invested $20 million in India so far and plans to invest a similar amount over the next two years to improve its last-mile infrastructure.

"We currently hold a one-third market share in the 1,20,000 user Indian broadband market. We want to have 1,00,000 customers by 2005 and exceed the industry growth that way," said Sean Sutcliffe, executive vice-president and managing director of new business at British Gas.

Sutcliffe also predicted a growth in broadband market from 1,20,000 customers to one million in the next three years.

"The UK market has grown from nothing to two million customers in three years. I see an equally big opportunity in the Indian market," he added.

In a bid to capture a bigger chunk of the market, Iqara hopes to make its packages more affordable in the coming years. Currently its initial package for commercial customers retails at Rs 435. It has packages of Rs 1,700 and Rs 999 too. The company offers both the 'always on' and the 'dial-up' services in the domestic market.