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Five gear vendors line up for $45-m BSNL deal

Our Bureau

No bid from Huawei Tech

New Delhi , June 12

Five telecom equipment vendors Nokia, Ericsson, Motorola, Siemens and ZTE today submitted their bids for bagging state owned Bharat Sanchar Nigam Ltd's 45.5 million cellular line project.

The $ 5-billion project is part of BSNL's expansion plans and includes equipment for third generation services. The technical bids submitted by the five vendors will be evaluated over the next few weeks after which the financial bids will be opened.

Chinese manufacturer Huawei did not put in its bid. The company was under scanner after it failed to honour its earlier commitments made to BSNL. However, Huawei has entered into a partnership with Motorola to supply sore equipment. Nortel also did not put in its bid. Nortel had won a bid last year to supply GSM cellular equipment to BSNL's eastern zone.

Earlier 18 companies had evinced interest in the BSNL project. While the total project envisages 60 million lines, contract for 15 million lines has already been given to Indian Telephone Industries and Alcatel joint venture. Sixty per cent of the remaining order would go to lowest bidder and 40 per cent of the contract would be given to the second lowest bidder.

Last time, BSNL had invited separate bids for each zone in the country. This time the entire project will be given to two vendors.

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