BSNL to put Rs 1,600 cr in broadband infrastructure

State-owned telecom operator, Bharat Sanchar Nigam (BSNL) is planning to invest Rs 1,600 crore in infrastructure facilities that will support eight million broadband connections for the government.

Speaking to reporters Kuldeep Goyal, chairman and managing director, BSNL said that the telecom operator had received order from the government to roll out eight million broadband connections for which BSNL would invest Rs 1,600 crore to create the infrastructure facilities. He was speaking on the sidelines of launching Nova Net PC, a new range of personal computer which the company revealed in association with Chennai-based Novatium Solution.

He added BSNL is planning to add 9 million connections by end of 2009 and planning 3 million customers every year.

Currently, the broadband penetration in the country is less then 1 per cent, of which BSNL has around 60 per cent market share with 5.52 million connection base, said Goyal.

Speaking about the tie-up with Novatium Solution he said, the tie-up would help the firm in reaching the rural parts of the country where people cannot afford notebooks and desktops due to higher prices. This new Nova Net PC will comprise of a set up box, keyboard and a mouse for a monthly rental with Rs 1,999, Rs 2,999 as initial down payment.

He noted, BSNL is also planning to reach 1,000 rural blocks through its wireless broadband (wimax) technology. BSNL is also planning to set up terminals at affordable prices for customers to use broadband through its 22,000 telephone exchanges across the country.

Currently, BSNL has around 200,000 broadband customer base in rural areas and is planning to increase it to 3 million by the end of 2009. BSNL is in talks with the government for using the USO fund to provide broadband in rural areas at subsidised rate.

Talking about company’s plan to provide new services, he said that the next target is to roll out Internet protocol Television (IPTV) connections to 50,000 in 93 cities from the present 4,000 in 9 cities. We are also opening 23,000 new telephone exchanges mostly in remote areas with initial marketing funds of Rs 500 crore.

He also said the company is planning to provide one call data record (CDR) for all its services by the end of 2009 and we are hopeful that our 3G service in Chennai will start by February.