The Department of Telecommunications (DoT) has announced a ₹47,000 crore capital expenditure plan to expand and upgrade BSNL’s telecom network. This follows BSNL’s highest-ever capex of ₹25,000 crore in the past year, used to deploy 100,000 4G towers
Strategic Directives from the Telecom Minister
- Mobile Business Growth: BSNL has been instructed to grow its mobile subscriber base by 50% within the next year
- Enterprise and Fixed-Line Expansion: Each BSNL unit must increase enterprise business by 25–30% and fixed-line business by 15–20%
- Improving ARPU: The Minister has urged the company to enhance Average Revenue Per User (ARPU) by focusing on customer satisfaction and subscriber growth. Currently, BSNL ARPU ranges between ₹40 and ₹175, while private rivals like Jio and Airtel report ARPUs of ₹208 and ₹250, respectivelyThe Economic Times.
Why It Matters
Strategic Focus | Implication |
---|---|
Massive Infrastructure Investment | Positions BSNL for rapid modernization and competitiveness in the telecom sector. |
Expansion Targets | Mobilizing network upgrades could enhance coverage and service quality across underserved areas. |
Revenue Optimization | Targeted growth in mobile, enterprise, and fixed-line segments aims to diversify revenue streams. |
ARPU Enhancement | Narrowing revenue per user gap with private operators can strengthen financial sustainability. |
Public Sector Telecom Revival | Reflects government intent to revitalize BSNL and bolster digital connectivity across India. |