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Thursday, May 22, 2008

BSNL to capture 30% marketshare by next year



Expressing concern on the drop in BSNL's marketshare, Communications
and IT Minister A Raja today asked the state-run telecom operator to
capture 30 per cent of the market by the end of next year.

"While mobile market in India is growing at a rapid speed with more
than 9 million new connections every month, BSNL has dropped from the
second position to the fourth position in the country in this
important sector.

"It has vast infrastructure throughout the country with maximum reach
and penetration. I would like the organisation to leverage this
strength to increase its market share to 30 per cent by the end of
next year," Raja said today at the BSNL circle head meeting here.

BSNL, after facing repeated delays in equipment supply due to
controversies in tenders and losing critical time in customer
acquisition, has a marketshare of 18.44 per cent as on April, 2008.

He said India has become the second largest customer base after China
with more than 300 million telephone connections and has the fastest
growth rate in mobile segment, growing at the rate of around 8-10
million connections per month.

"The whole world is looking at India as the major telecom market and a
place of great opportunities in the next 5 to 10 years. Today, India
is attracting an investment of approximately $10 billion per year,
which is likely to grow to $15 billion per year in the next three to
four years," he said.

Raja said the government is committed to cover the unconnected
population through USO fund. "Under Phase-I of the project, about
8,000 towers are planned to be erected, out of which 6,175 towers will
be erected by BSNL."
 


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