The government will reportedly pay Rs 6,000 crore to BSNL to speed up its 4G rollout, which has been delayed amid competition from Airtel and Jio. BSNL is gearing up to jump to 4G at a faster pace as delays in the 4G rollout have led to declining subscriber numbers and customers seeking services from private companies like Jio and Airtel.

10,000 sites across India

In July, the government informed the Parliament that the deployment of 4G network will be completed only by June 2025. Out of the target of 10,000 sites across India, only 1000 sites have been set up till July. With this, the target of 4G launch in Diwali has been delayed

Various reports suggest that the government now expects the full deployment of 100,000 4G sites to be completed only by mid-2025, as part of the three revival packages launched since 2019, the government has so far provided Rs 3.22 trillion, including the 4G rollout to BSNL and Mahanagar Telephone Nigam Limited (MTNL).

The Center says these revival packages have enabled BSNL-MTNL to achieve operating profitability from FY21 onwards. Meanwhile, the BSNL employees’ union had requested the government to use Vodafone Idea Ltd’s network to provide 4G services to BSNL customers as the government is the largest shareholder in the company. Currently, the Government of India holds 33.1% stake in Vodafone Idea Limited (Vi).

Affordable packages but…

BSNL is struggling to roll out at least 4G at a time when India’s top private telcos Reliance Jio and Bharti Airtel are rapidly deploying 5G networks. The additional funds allocated to BSNL for 4G network rollout is a positive step towards reviving the state-owned telecom operator.

A few customers have come back due to increase in packages by private telcos but are facing challenges in terms of network. To overcome such a crisis, BSNL must effectively implement its 4G and 5G rollout plans and provide innovative services that meet the growing needs of Indian consumers.