State-owned telecom giant BSNL is poised to roll out its much-anticipated 5G services, with an initial launch planned for the major metropolitan cities of Delhi and Mumbai by December. The company has successfully completed all necessary device installations and technical testing for its 5G network, confirming that all systems are functioning optimally. This significant development marks BSNL's entry into the high-speed 5G market, which is currently dominated by private. Players like Reliance Jio and Airtel, setting the stage for increased competition in the Indian telecom sector.
Mounting Pressure on Private Operators
BSNL's imminent 5G launch is causing considerable apprehension among private telecom giants, particularly Reliance Jio and Airtel. The entry of BSNL into key markets like Delhi and Mumbai could Notably impact the subscriber base of these established players. Analysts suggest that BSNL's 5G plans are likely to be more affordable compared to those offered by Jio and Airtel. This pricing strategy could attract a substantial number of users seeking cost-effective high-speed data, potentially leading to a dent in the subscriber numbers and revenue streams of the private operators.
Good News for Over 9 Crore Users
The rollout of BSNL's 5G services will commence in Delhi and Mumbai in December. The company has finalized all preparations for launching services in these metropolitan areas. It's noteworthy that BSNL recently launched its 4G services, deploying over 95,000 mobile towers across the country, while at the time, the company indicated that these towers were designed to be 5G-ready, facilitating a smoother transition to the next-generation network. Following the successful launch in Delhi and Mumbai, BSNL plans to gradually expand its 5G services to other major and minor cities nationwide, ensuring broader coverage and accessibility.
Currently, BSNL boasts a substantial user base of over 9 crore active subscribers across India. The news of the impending 5G launch is a significant positive development for these millions of users. While the initial 5G services will be limited to Delhi and Mumbai, this announcement instills confidence among BSNL's nationwide customer base that they too will soon gain access to high-speed 5G connectivity, a feature many have been eagerly awaiting. This will enable them to experience fast data speeds, similar to those enjoyed by subscribers of Airtel, Jio, and Vodafone Idea.
Intense Competition and Future Outlook
BSNL's foray into the 5G market is expected to create intense competition for private telecom companies. The potentially cheaper 5G plans from BSNL could attract new subscribers in Delhi and Mumbai, leading to a loss of users for Jio, Airtel, and Vodafone Idea. Experts believe that the launch in Delhi and Mumbai serves as a testing phase. Once BSNL's 5G services are rolled out across the entire country, the company is projected to reap significant benefits. Also, experts suggest that BSNL's ambitions extend beyond 5G; the company is also positioning itself to be a key player in the upcoming 6G network development, with preparations expected to begin next year.
25,000 Crore Investment in Indigenous Technology
The revival of BSNL has been a long-standing government initiative. The government decided to propel BSNL forward using entirely indigenous technology. In line with this strategy, the company initially planned for a 4G launch and is now preparing for 5G. For this ambitious project, BSNL entered into a deal worth over 25,000 crore rupees with TCS, Tejas Networks, and C-DoT, who have developed the indigenous technology for BSNL. The company has installed over 95,000 towers nationwide, which are capable of providing both 4G and 5G network services. The number of these towers is expected to reach 1. 25 lakh by next March, Importantly enhancing BSNL's network capacity and reach across the country.
