The 4G expansion in India is set to get a big boost. The government has decided to strengthen the public sector companies- Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL) by approving an additional Rs 6,000 crore for scaling their 4G expansion projects in India, according to a MoneyControl report.
With this move, the connectivity across the country is expected to improve. Alongside this, it is also expected to make MTNL and BSNL more competitive in the private telecom space.
Fresh government money funding for 4G expansion
According to the report, the government approved funding of Rs 6000 crore during a cabinet meeting on Friday. BSNL is accelerating its 4G rollout in India. The company had planned Rs 19,000 crore for the rollout of 4G services but after spending around Rs 13,000 crore, it required an additional Rs 6,000 crore to complete the deployment of 1 lakh new 4G sites. It reached out to the Department of Telecommunications (DoT), which reviewed the proposal and forwarded it to the cabinet. According to BSNL, this funding will help the company speed up its 4G network expansion and also improve its service quality.
MTNL and BSNL join hands for 4G
MTNL has joined hands with BSNL for the 4G service expansion. Under this 10-year agreement which was signed last year in August, BSNL will take care of the network deployment and operations, ensuring MTNL users get better 4G connectivity.
The government’s continuous support for BSNL and MTNL
Since 2019, the Indian government has invested around Rs 3 lakh crore in BSNL and MTNL to help them become financially viable. This investment was done through three revival packages.
How will this benefit telecom users
While the 5G service is spreading its wings faster, several parts of the country still await basic network availability. BSNL may have missed the bus for 4G but it has sped up its efforts for the 4G expansion across the country. With this funding, we can expect wider 4G coverage, especially in villages and small towns, will get high-speed internet access. Users will experience faster speeds and improved call quality, reducing network issues. The move will also enable BSNL and MTNL to be more competitive by offering affordable alternatives to private telecom operators.
