New Delhi: Pan-Indian Roaming Agreement with Vodafone Idea Limited (VIL) For 4G or 4G commercial services, Bharat Sancharnigam Limited (BSNL), Said Aditya Birla Group-led private operator, state-owned telephone company group.
“We need to create a synergistic effect between the two telecommunications service providers. Since BSNL does not have 4G, it may be better to have a pan-indian roaming contract with Vodafone Idea to allow subscribers to connect faster. Network ”, President, Aftab Ahmed Khan, Sanchar Nigam Executives’ Association (SNEA) told ET Telecom.
The Delhi-based group represents more than 13,000 corporate executives.
Mahanagar Telephone Nigam Limited (MTNLThe big cities of Delhi and Mumbai have not yet received 4G radio waves, but as a result of many controversies, the equipment procurement process has also been delayed.
In a letter to Chief Cabinet Secretary Rajiv Gauba in June this year, businessman Kumar Mangalam Birla made a 27.66% stake in ABG’s Vodafone Idea (VIL) a public institution that could save the company from collapse. I offered to transfer it.
Meanwhile, a recent study found that Frankfurt-based Deutsche Bank “must be government-supported” for VIL’s state control by rapidly integrating VIL with BSNL and increasing capital. rice field.
The Association of All Indian Graduate Engineers & Telecom Officers (AIGETOA) also believes that in the absence of 4G, roaming contracts with private sector rivals could be a way to gain a larger portion of market share.
“Collaboration between the two companies (BSNL and VIL) can be created to gain at least significant market share,” said Ravi Shil Verma, president of AIGETOA, saying that state-owned enterprises do not have 4G infrastructure. He added that he could leverage the strengths of VIL. ..
Bharat added that BSNL can provide the backbone of VIL, a policy that requires cooperation between the two companies to maintain their relationship and that a full-scale merger may take its own time and course. It will be a decision.
“The only viable solution is for the government to convert Vi into capital, preferably integrate with BSNL and increase capital by giving clear commercial obligations based on profitability goals and incentives. That’s what Deutsche Bank said.
However, Mr. Kahn pays attention to the debt of individual carriers and feels that further support or bailout packages from the government may be needed to carry out such a merger.
BSNL is responsible for about 22,000 rupees, but the center recently offered a sovereign guarantee of 8,500 rupees to reduce debt burden.
Vodafone Idea owes about 1.5 rupees to the government, including deferred spectral payments and adjusted Gross Income (AGR) membership fees.
Last month, the Supreme Court dismissed the proceedings of Vodafone Idea and other telephone companies seeking to correct “arithmetic errors” in AGR calculations.
UK based Vodafone Group Plc It owns 44.39% of VIL, a merger of IdeaCellular and Vodafone India.
Meanwhile, in March of this year, the BSNL Group launched a 4G service through an upgrade to its existing network to accelerate the monetization drive of assets to revive a sick phone company, the Prime Minister’s Office (PMO). ) Intervention was requested.
In October 2019, Prime Minister Narendra Modi approved a revival package of Rs 69,000 for BSNL and MTNL, including a voluntary retirement plan (VRS) and monetization of assets.
Nearly 50% of BSNL’s total workforce of 1,53,000, or 78,569, chose VRS. This has resulted in significant savings in salary spending, which previously accounted for about 75% of total income.
BSNL’s employee group aims to synergize 4G networks with Vodafone Idea, Telecom News and ETTelecom
