Bharat Sanchar Nigam Limited (BSNL), a state-run telecom company is on track to launch its 5G services within 6 to 8 months after achieving its March 2025 target for a nationwide 4G rollout. As per the government sources, the Indian government has set an ambitious goal for BSNL to capture a 25 per cent subscriber market share by the end of 2025.
4G rollout and 5G readiness
The government has set an internal deadline of March 2025 to ensure full-fledged 4G network availability across the country. Following this milestone, BSNL aims to switch on its 5G services within six to eight months. A senior official, speaking anonymously, mentioned that existing 4G sites would be upgraded to 5G through minor card replacements and software upgrades.
BSNL's current 4G core technology, which powers its network, will also support the 5G network. The cloud-based architecture is compatible with various hardware configurations, ensuring a smooth transition to 5G. Recently, the telecom minister successfully made a 5G call using this core on a live 4G network in Haryana, further demonstrating the system's capability.
Progress in 4G deployment
BSNL has already deployed 15,000 4G towers in regions such as Punjab, Himachal Pradesh, UP West, and Haryana. The company plans to increase this number to 80,000 by the end of October 2024 and aims to complete the deployment of an additional 21,000 towers by March 2025. This will enable the state-run telco to meet its goal of deploying 100,000 4G towers by the deadline.
To support this massive rollout, BSNL has awarded contracts worth Rs 19,000 crore to Tata Consultancy Services (TCS), Tejas Networks, and ITI, a government-owned entity. These contracts will facilitate the deployment of a 4G network that can be seamlessly upgraded to 5G (Telecom Talk reported).
Expanding services and subscriber growth
On August 10, BSNL announced plans to introduce a 4G and 5G compatible over-the-air (OTA) and Universal SIM (USIM) platform. This new service will enable subscribers to choose their mobile numbers and replace SIM cards without geographical restrictions, enhancing user convenience.
Under new leadership, BSNL has been tasked with achieving a 25 per cent subscriber market share by the end of 2025. Robert Jerard Ravi, the newly appointed CMD of BSNL, is prioritizing the expedited rollout of 4G and 5G services to reduce subscriber churn and improve service quality.
Financial performance and market position
Despite recent challenges, BSNL is showing early signs of revival. Following tariff hikes by private telecom operators, BSNL has seen an influx of low-income and prepaid subscribers. In the first 15 days after the hikes, 250,000 customers ported to BSNL from other telecom providers.
To ensure the 4G rollout stays on track, the government is establishing a project management unit (PMU) to monitor BSNL's progress daily. Communications Minister Jyotiraditya Scindia has committed to personally overseeing BSNL's daily targets alongside the telecom secretary.
Government support and future prospects
BSNL has been allocated Rs 3.2 lakh crore in three revival packages, reflecting the government's commitment to turning around the loss-making firm. In the 2024-25 budget, the Department of Telecommunications (DoT) allocated Rs 83,416 crore to BSNL for capital infusion, technology upgrades, and restructuring.
While BSNL's private competitors, Reliance Jio and Bharti Airtel, have already completed their nationwide 5G network deployments, BSNL is poised to enter the 5G market within months of its 4G expansion, positioning itself as a key player in India's evolving telecom landscape.
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