BSNL invites tenders for 4G LTE services in 14 circles in India

Bharat Sanchar Nigam Limited (BSNL) has invited tenders for offering 4G services in 14 circles where BSNL has spare bandwidth. BSNL has split 14 circles into 6 zones and is inviting bids for these zones on a non-exclusive, revenue-sharing franchise model. The minimum revenue share that they expect is 50 percent and no party can control more than 3 zones, reports the Financial Express. The deadline for the tender is 28 June. BSNL controls 20MHz in the 2.5GHz band and already offers WiMAX services in these zones. BSNL claims that they’re doing this in a bid to offer better services to their consumers and also because many companies expressed interest. “There were interests from companies to roll out 4G services on behalf of BSNL. The private firms will sell the services while using BSNL network. The model will help to reduce capex and increase subscribers,” a top official is quoted as telling Financial Express. Analysts explain that the switch to 4G is essential for the survival of BSNL, which is already lagging behind leading telcos. Last year, BSNL’s revenue is reported to have grown by 4.16 percent and BSNL hopes to get profitable by 2020. The company was set up in 2000 and is currently the largest provider of fixed line and broadband services. It is also the sixth largest telecom provider in India.