BSNL’s subscriber base has only grown despite its inability to offer 4G spectrum services
While the lack of 4G services with the state-owned Bharat Sanchar Nigam Limited (BSNL) has impacted its revenue, its subscriber share has not been affected. On the contrary, between 2016-17 and 2020-21, it rose from 8.6 percent to 10.03 percent.
According to official sources, with spectrum usage largely dependent on data usage, increasing competition in the telecom sector has led to tariff reductions. However, as there are no 4G services available under the BSNL bouquet, the average revenue per user or ARPU is known to be affected.
Despite the lack of a major service in its offering, the state-owned telecom services company has seen its subscriber share grow steadily over the past four years.
In 2016-17, BSNL’s subscriber share was 8.6 percent, rising significantly to 9.4 percent in 2017-18. By the end of 2018-19, it had grown again, reaching 9.9 percent, and by 2019-20, it had passed 10 percent to hit 10.3 percent.
However, according to the ministry’s data, by 2020-21 (as on March 21, 2021), it had fallen slightly to 10.03 percent.
Although the government announced a revival plan for BSNL almost two years ago on October 23, 2019, which also included the administrative allocation of spectrum to ensure 4G services to its subscribers, things have moved rather slowly.
BSNL did not invite expressions of interest for proof of concept from Indian entities until January 1, 2021 and the letter of intent or LoI was issued to five eligible bidders on July 1, 2021.
The delay of part of the Ministry of Telecom in inviting expressions of interest for potential 4G providers, more than a year after the Union cabinet announced a revival plan for BSNL, was mainly due to its insistence on expanding the spectrum service. to be rolled out using only native equipment as a technique.
