Alcatel secures BSNL's Gujarat cell network expansion deal

Bharat Sanchar Nigam (BSNL) has given the contract for upgrading its cellular service network in Gujarat to Alcatel India, replacing Lucent Technologies.

BSNL officials said Lucent Technologies, which set up the existing network, will not upgrade the capacity. Instead, Alcatel India has been given the contract.

Having already invested over Rs 200 crore for setting up its existing cellular network in Gujarat, BSNL will invest an additional Rs 200 crore over the next six months to expand its network. Work on the expansion is expected to begin in the next fortnight.

After securing over 4.81 lakh customers in the state by the end of February this year, BSNL has saturated its network capacity. Although fresh connections are still being issued, it will take at least five months for the new infrastructure to be put into place before the company embarks on a full-fledged campaign to promote its cellular service, BSNL officials said.

"With the new infrastructure in place, we will not only be able to add over 3.50 lakh connections in Gujarat but also be in a position to introduce GPRS and MMS services. It will take three months for the survey, preparation and finalisation of spots, and another two months for the installation work. So, five months from now, we should be in a position to launch a full fledged campaign to increase our subscriber base," the officials said.

After growing rapidly for a year and a half, the slowdown in the growth of BSNL's cellular customers began in November 2003. Its subscriber base has edged up from 4,79,474 at the end of November 2003 to 4,80,395 at the end of December, to 4,81,148 in January 2004 and 4,81,531 in February.

BSNL officials said the equipment - Mobile Switching Centres (MSCs) or cell sites and other sensors and machines - will be imported from Germany, China and other countries.

This is expected to take some time, but a detailed requirement list has been given to Alcatel, officials said. "We have given the company a list of every street, highway and building where we want the coverage to be augmented. Within five months, BSNL coverage will be at its peak in Gujarat," officials said.

Despite attempts, BSNL chief general manager, Gujarat, Pradeep Kumar could not be contacted.