After opting for the franchise route to provide 3G services, state-run MTNL now wants to adopt the same model for Wi-Max based hi-speed wireless broadband services for better customer focus and revenue realisation.
MTNL intends to allow one successful bidder each in its licensed area of Delhi and Mumbai for the deployment and operation of its Wi-Max system on exclusive, revenue-sharing basis.
The network proposed to be deployed should provide fully converged broadband data and voice services such as access to internet, VPN clients, QoS to individual subscribers and cell support video conferencing, the PSU in said its global expression-of-interest (EoI) notice.
The one-time WiMAX spectrum fee that MTNL (to be decided after the auction of WiMax spectrum) will have to pay would be deducted from the revenues gathered from WiMAX operations by the franchise partner.
The Expression of Interest by MTNL said “4 per cent of the total revenue or the amortised value calculated on the reserve price, or which ever is higher, will be set aside on a monthly basis to compensate MTNL towards one time spectrum charges”.
“The bidder shall jointly work with MTNL for working out strategies for advertising, marketing and promoting broadband services, which shall be carried out under the MTNL brand.
Sales and marketing and verification of customer’s bonafide will be the prime responsibility of the bidder,” the EoI for the bids said.