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Contents
Source: The post is based on an article “5G power for India and Bharat” published in the Business Standard on 2nd August 2022.
Syllabus: GS 3 Infrastructure; Energy, Ports, Roads, Airports, Railways, etc.
Relevance: Communication Networks; 5G etc.
News: Recently, the government carried out the 5G spectrum auction. Also, the Union Cabinet approved a mega revival package for state-owned telco Bharat Sanchar Nigam Ltd (BSNL)
What are the arguments against the revival of the BSNL?
The PSU has been losing market share to the private sector and piling up losses over the years. Therefore, the 5G auction and BSNL revival package create a confusing picture in the telecom industry at present.
What are the arguments in favor of the revival of the BSNL?
The Telecom Regulatory Authority of India (TRAI) data explains that India needs both BSNL and next-generation services, like 5G.
5G will enable the telecom industry to put India on the global map in multiple spheres, ranging from healthcare to education and consumer business. Whereas, BSNL will serve rural India despite the private sector making definite inroads into the hinterland.
Some reasons of evidence that support the demand for the revival of the BSNL in India are:
In wireline or fixed phone service
(1) At the all-India level, BSNL is the leading operator in wireline with 7.59 million subscribers, followed by Bharti Airtel.
(2) At the rural-India level, BSNL’s share in the total rural market share in wireline is 23.72%, followed by Reliance Jio’s rural market share in wireline at 1.24%.
In wireless or mobile services
(1) In India’s wireless market, BSNL still possesses 7.06% of India’s rural wireless market share.
Tele-density
It is the number of telephone connections for every 100 individuals living within the area. According to TRAI’s quarterly data, as of March 31, 2022, India’s rural teledensity is at 58.07% There are some 15 circles, where rural teledensity is more than 50%. For example, Kerala leads with a rural teledensity of 211.4%, followed by Himachal Pradesh at 104.48%, Andhra Pradesh at 78.56%, and so on.
What should be done?
These figures suggest that rural India holds the power in telecom. Therefore, it needs both BSNL and 5G. 5G is a tool whose time has come to empower citizens with ultra-high-speed data in both India and Bharat.
The 5G Technology may provide better communication facilities, downloading speed of light, etc.
