Indian
telecom sector has come a long way in achieving its
dream of providing affordable and effective
communication facilities to its citizens as envisaged
in New Telecom Policy (NTP) 1999. As a result common
man today has access to this most needed facility.
Larger efforts are continuously being made to provide
universal service to all uncovered areas including,
rural areas. The other thrust areas include, building a
modern and efficient telecommunications infrastructure,
transforming telecommunication sector to a greater
competitive environment with equal opportunities and
level playing field for all players, strengthening
research and development efforts in the country,
achieving efficiency and transparency in spectrum
management and enabling Indian telecom companies to
become global players.
The
reform measures coupled with the proactive policies of
the Department of Telecommunications have resulted in
an unprecedented growth of the telecom sector. Today,
the Indian telecommunications network with over 375
million connections is third largest network on overall
basis and second largest wireless network in the world.
India
is also the fastest growing telecom market in the world
with an average addition close to 10 million
subscribers per month. The Department of
Telecommunications has been able to provide state of
the art world-class infrastructure at globally
competitive tariffs and reduce the digital divide by
extending connectivity to the unconnected areas. India
has emerged as a major base for the telecom industry
worldwide and it is the endeavor of the Government to
facilitate further growth of this vital industry as it
is not just the growth of the sector but it has a
‘multiplier effect’ on the economy as a whole.
Rural
Telephony
Promotion of rural telephony and
accessibility of telephones to remote areas is an
important thrust area. The strategy for network
expansion in rural areas mainly involves provision of
phones in the viable areas through market mechanisms
and releasing funds from the Universal Service
Obligation Fund. As on March 2008, the Government has
released approximately Rs 6,400 crores for rural
telephony and during the last one and half years Rs
1646 crores have been released from USOF. Under the
Bharat Nirman Programme, a target of providing VPTs in
66,822 uncovered villages have also been undertaken and
till 30th November 2008, nearly 55,851 villages have
been provided with telephones.
Having
realised the role of wireless phones because of the
convenience, affordability and the capacity to reach
out the masses, particularly in rural and remote areas,
efforts have been made under USOF to strengthen
infrastructure for providing wireless phone services in
these areas. So far the USO mandate was restricted to
supporting wireline and by providing Village Public telephones
(VPTs) and Rural Direct Exchange Lines. In the recent
past USOF has floated schemes to provide support for
about 19,000 shared towers by providing mobile
telephone services in rural areas.
With
a view to enhance availability of wireless services in
rural areas, the Government has taken a decision to
exempt rural wireline from license fees from 1st
October 2008. This will give a boost to rural telephony
and will encourage extension of broadband services in
rural areas. In order to reduce input cost of Telecom
Access Providers and thereby facilitating reduction in
tariff and enhanced teledensity particularly in rural
areas, new guidelines on sharing of infrastructure have
been announced. These guidelines provide for sharing of
active infrastructure amongst service providers based
on mutual agreement entered amongst them.
3G
Services and Broadband Wireless Services
In a pioneering decision, the Government
decided to auction 3G & BWA spectrum. The broad
policy guidelines for 3G & BWA have already been
issued and allotment of spectrum will be done through
simultaneous ascending e-auction process by a
specialised agency. The 3G is slated for auction at the
end of January 09 and BWA auction will be after the two
days from the day of close of the 3G auction. New
players would also be able to bid, thus, leading to
technology innovation, more competition, faster roll
out and ultimately greater choice for customers at
competitive tariffs. The 3G will allow telecom
companies to offer additional value added services such
as high–resolution video and multi media services in
addition to voice, fax and conventional data services
with high data rate transmission capabilities. BWA will
become a predominant platform for broadband roll out
services. It is also an effective tool for undertaking
social initiatives of the Government such as
e-education, telemedicine, e-health and e-Governance.
Providing affordable broadband, especially to the
suburban and rural communities is the next focus area
of the Department.
BSNL
and MTNL have already been allotted 3G and BWA spectrum
with a view to ensuring early roll out of 3G and WiMax
services in the country. They will pay the same price
for the spectrum as discovered through the auction.
While, the Prime Minister Dr. Manmohan Singh launched
the MTNL’s 3G mobile services on the inaugural
function of ‘India Telecom 2008’ held on 11th
December, 3G services of BSNL are likely to be launched
in Chennai.
Mobile
Number Portability (MNP) Service License
Mobile Number Portability (MNP) allows subscribers to
retain their existing telephone number when they switch
from one access service provider to another
irrespective of mobile technology or from one
technology to another of the same or any other access
service provider. The Government has already announced
the guidelines for Mobile Number Portability (MNP)
Service License in the country and these services are
likely to be available by June 2009 in four metros and
thereafter will be extended in phases to the rest of
the country.
Mobile
Virtual Network Operators (MVNOs)
The guidelines for Mobile Virtual Network
Operators (MVNOs) to launch operations in India are set
to be unveiled soon. MVNOs offer mobile services
without owning cellular networks or airwaves (spectrum)
on which telecom signals travel. Their business model
involves buying airtime from existing operators that
own telecom infrastructure and selling it to consumers
under their own brand. At present, there are 360 MVNOs
operating globally. The entry of MVNOs will increase
competition in the world’s fastest growing mobile
market and will further benefit the customer by way of
reduced tariff.
Making
India a Manufacturing Hub
Indian telecom industry manufactures a
complete range of telecom equipment using state of the
art technologies designed specifically to match the
diverse terrain and climate conditions. Production of
telecom equipment has increased significantly from Rs
14000 crore in 2003-04 to Rs. 41270 crore in 2007-08.
Rising demand for a wide range of telecom equipments,
particularly in the area of mobile telecommunications,
has provided excellent opportunities to domestic and
foreign investors in the manufacturing sector.
Source:
Ministry Of Telecommunications
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