BSNL News / DoT's instruction, BSNL should be used in government offices, MTNL's service

BSNL News: The Department of Telecommunications (DoT) of the Government of India has taken a big step and directed all state governments and union territories to use the services of BSNL and MTNL in their offices. This decision has been taken not only with the aim of promoting indigenous technology, but is also considered an important initiative towards strengthening the national data security of the country.

Why is this instruction necessary?

In an official letter sent on April 8, DoT Secretary Neeraj Mittal informed the Chief Secretaries of all state governments that the central government is already using the services of BSNL and MTNL in its offices. Therefore, state governments, their agencies and public sector undertakings should also now give priority to these government companies for telecom requirements like broadband, landline and leased line.

Impact on market competition

This instruction can be a direct blow to private telecom operators. According to the data of Telecom Regulatory Authority of India (TRAI), at present, the share of private telecom companies in the country is around 92 percent, while BSNL and MTNL hold only 8 percent of the market. This decision of the government is also being seen as an attempt to balance the market share.

Indigenous technology and security

The Department of Telecommunications believes that BSNL and MTNL use equipment with completely indigenous technology, which is very important in terms of cyber and data security of the country. In contrast, private companies are still largely dependent on foreign equipment, which can pose a security threat.

New enthusiasm in BSNL-MTNL

Recently BSNL has also taken over the operation of MTNL services. This has started a new coordination between the two government companies. This decision of the government is being considered a strong step towards encouraging both these companies as well as establishing them as a competitive option.