BSNL vs Reliance Jio: How BSNL's big move is set to affect Mukesh Ambani

Since July 3, BSNL (Bharat Sanchar Nigam Limited) has been making headlines with its upcoming 5G service. The company plans to offer high-speed internet and enhanced calling features through its new 5G network. Following recent rate increases by private players Mukesh Ambani's Reliance Jio, Bharti Airtel, and Vodafone Idea, BSNL is said to have seen an increase in new subscribers. Since the price hikes went into effect, BSNL has added over 2.75 million customers, including a sizable number of port-in users, according to an Economic Times report.

According to figures provided by BSNL to ET, since the hike by the three private companies—Reliance Jio, Bharti Airtel, and Vodafone Idea—went into effect on July 3–4, almost 250,000 users have switched from other carriers to the state-run company by using mobile number portability (MNP).

Cost-conscious subscribers are said to have been drawn to BSNL's comparatively less expensive plans, especially those in the lower price ranges, which may affect Mukesh Ambani's Jio as well.

BSNL: homegrown 4G network

Union Minister Jyotiraditya Scindia on Saturday claimed that the subscriber base for the government-run BSNL has been increasing, while a homegrown 4G network is also ready and work is on to convert it to 5G.

Talking to reporters here, the Union minister for communications said under Atmanirbhar Bharat, a 4G network with indigenous technology is ready and, in a few months, its services will be available across the country through the Bharat Sanchar Nigam Limited (BSNL).

“Several people had asked when Jio, Airtel and Vodafone rolled out the 4G network, why not BSNL? It was the prime minister’s resolution that if we have to develop a government-run company’s network, we will not use equipment from China or any other foreign country,” Scindia said.

It was decided that an indigenous technology would be developed, he said.

“PM Modi has resolved under Atmanirbhar Bharat that India will develop its own 4G stack, core system or towers called radiation access network (RAN). India will develop its technology and give a 4G network to countrymen, and it took us one and a half years. Bharat has become the fifth country to have its own indigenous technology,” the minister said.

The work of erecting the towers is underway, he said.

Companies, including Indian firms such as Tejas Network, C-DOT and TCS, were working in various fields, and BSNL is implementing it, he said.

“We will install 80,000 towers by the end of October and the remaining 21,000 by March next year, which means one lakh towers of 4G network will be installed by March 2025,” he said.

It will help in speedy downloads and watching television, he said.

“We can use 5G on this 4G core. We will have to make some changes in the towers for 5G services, and work on this is underway. We will soon complete the journey from 4G to 5G,” he said.

Scindia also claimed several telecom customers are switching to BSNL from private service providers.

“We have assured them that our service will be prompt,” he said.

The minister arrived in Gwalior earlier in the day and offered prayers at a temple in neighbouring Morena. 

(With inputs from PTI)