BSNL 4G launch in India won't go away for years, BSNL has a chance to scare away private competitors.
BSNL doesn't scare private telecom companies right now because it's a legacy network player. But in the near future, the whole dynamics of the telecom sector will change once BSNL 4G networks has active in various parts of the country. BSNL is also preparing for 5G as it launches 4G. Hopefully, there will be no delays with 5G as with 4G.
Synopsis
- Bharat Sanchar Nigam Limited (BSNL) is struggling for the simple fact that it doesn't have 4G yet.
- In a country like India, where there are only three private telecom operators (Airtel, Jio and Vi), BSNL would become a new option for consumers.
- BSNL is also preparing for 5G as it launches 4G.
Bharat Sanchar Nigam Limited (BSNL) is struggling for the simple fact that it doesn't have 4G yet. The state-owned telecommunications company plans to Roll out 4G networks in various parts of the country by the end of 2022. As per latest reports, Ericsson said 4G will still account for 55% of mobile connections by 2027. That means 4G will definitely be relevant and at the end of this decade. BSNL will be very happy to hear that.
In a country like India, where there are only three private telecom operators (Airtel, Jio and Vi), BSNL would become a new option for consumers. The state-owned telecommunications company could acquire a significant share of the subscriber market from private telecommunications companies, which will intensify competition. BSNL may offer unique plans that don't look like what users get with private players. Furthermore, BSNL could position itself as the cost-effective 4G player in India, which would surely attract millions of low-cost customers to opt for BSNL services.
Will private gamers expand 4G networks or focus on 5G?
Well, the answer to this would depend on how the company wants to scale its business. 5G networks would be mostly in demand by businesses due to the automation it can allow. 4G networks are still more than enough for consumer applications and will certainly be the first choice for many, as 5G may be a little more expensive.
However, companies like Jio and Airtel, which generate free cash flow, can certainly inject more to implement 5G for consumers on a large scale. Initially, only major urban and metropolitan cities will see the rollout of 5G, but in subsequent years other parts of India will also be covered with 5G networks.
BSNL doesn't scare private telecom companies right now because it's a legacy network player. But in the near future, the whole dynamics of the telecom sector will change once BSNL 4G networks has active in various parts of the country.
BSNL is also preparing for 5G as it launches 4G. Hopefully, there will be no delays with 5G as with 4G.
