If BSNL and Vi go out of business, it will leave Indian consumers with Jio and Airtel. The duopoly of both companies can be potentially dangerous for the Indian market. It could lead telecom companies to ignore consumer needs, as consumers will have no other choice to turn to. It would also lead to a decline in the quality of the service.
Synopsis
- Bharat Sanchar Nigam Limited (BSNL) and Vodafone Idea (VI), two of the troubled telecom operators, are working hard to make a U-turn to success.
- Why BSNL so important in Indian telecom market and also Vi (Vodafone Idea) Private teleco and Indian government is doing everything in its power to keep them going?
- The government knows that if the two companies go out of business, many jobs will end.
Bharat Sanchar Nigam Limited (BSNL) and Vodafone Idea (VI), two of the troubled telecom operators, are working hard to make a U-turn to success. Both telecom companies have been fighting for as long as anyone can remember.
BSNL may get Quick 4G help from Nokia, But that will never happen!Know Why
There has not been a single positive quarter for Vi since the merger of Vodafone and Idea. While both telecom companies are not the best options for consumers or investors, they are in dire need in the Indian market. BSNL is a government-run company; therefore, it cannot require private investment (nor would any private company be interested as was the case with Vi).
However, BSNL still receives aid packages from the government, but Vi will not receive them directly. In September 2021, the government intervened with relief measures, potentially saving Vi's future.
There were reasons behind the move. Why BSNL so important in Indian telecom market and also Vi (Vodafone Idea) Private teleco. Indian government is doing everything in its power to keep them going?? Here because.
Avoid the duopoly Jio and Airtel
If Public Telecommunication company BSNL and Private teleco Vi quit business, Indian consumers move to alternative telecos Relaiance Jio and Airtel. Both these telecos will damage the Indian market and duopoly of these companies may be potentially dangerous for the Indian consumers. It could lead telecom companies to ignore consumer needs, as consumers will have no other choice to turn to. This would also lead to a decline in service quality, as it would be difficult for Airtel and Jio to serve the entire country alone.
A crisis for the economy
Indian government verywell knows that these two companies if exit in the Indian market, many existing jobs will end. This would be catastrophic for the economy. BSNL and Vi are large companies with several thousand employees across the country. Both generate significant employment for the Indians.
Suffering consumers
Ultimately, consumers would suffer along with the economy if Vi and BSNL did not fare well in the long run.
India like vase market with lot of potential for companies like private teleco Vi and public teleco BSNL to gain subscriber base and earn good money on its business.
