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India Revives Plans to Merge State-Owned Networks into Single Company
Source: cellular-news.com
Source Date: Wednesday, February 23, 2011
Focus: ICT for MDGs
Country: India
Created: Feb 28, 2011

India's government has revived plans to merge its two state-owned telecoms networks, BSNL and MTNL according to a document seen by the Business Standard newspaper. Plans to merge the two companies were mooted about three-years ago by the former Telecoms Minister, A Raja

Previous attempts to privatise Bsnl foundered following union pressures, and even a substantial head-start in deploying 3G networks in the country has not turned around the fortunes of the two companies.

MTNL, which is partly privatised operates only in Delhi and Mumbai, while BSNL operates in rest of the country, so a merger would create a genuine national network. It can also be presumed that a merged company would have to surrender some of their overlapping 3G and WiMAX licenses, which could then be resold by the government to the private operators. (By Ian Mansfield)
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