The Hindu Business Line : HCL bags Rs 591-cr BSNL order

In a move that would hasten the process of making spectrum available for third generation (3G) mobile services, Bharat Sanchar Nigam Ltd has awarded a Rs 591-crore turnkey contract to HCL Infosystems to take up the setting up an optical fibre cable network exclusively for the defence forces. The optical fibre cable network will enable the defence forces to vacate 45 Mhz of spectrum for use by commercial cellular service providers. This is one of the biggest telecom deals for an IT services company in the Indian telecom space. HCL has in the past taken upprojects for BSNL as a systems integrator.

DoT to fund project

HCL has received the Advance Purchase Order (APO) from BSNL for planning, engineering, supply, installation, and commissioning of network facilities.

The Department of Telecom has decided to cough up the entire money required to create the optical fibre network. DoT will seek the approval of the Cabinet Committee on Economic Affairs (CCEA) to fund the cable project from its budgetary allocation under capital expenses.

DoT has also decided to transfer the network to the Defence after BSNL completes the network.

The project envisages laying an exclusive optical fibre cable network for the armed forces linking crucial establishments across the country, which will enable it to shift part of its communication from the existing wireless mode to a wire line network. The defence is the largest consumer of radio frequency, a commodity that is in demand with mobile subscriber base growing by more than six million a month.

The project is also crucial for offering 3G services, which will enable users to get high-speed data services and better quality voice service on their mobile phones.

Shift to wireline mode

DoT has also asked other non-commercial users of spectrum such as utility companies to shift their communication links from wireless to wire-line mode wherever optical fibre cable is available. Mobile operators across the country are facing severe shortage of radio frequency affecting the quality of service. At present, mobile operators in the country use the 1,800 Mhz, 800 Mhz and the 900 Mhz band for offering services. These frequency bands are also being used by the defence agencies, making it difficult for DoT to release additional spectrum in the same band for mobile usage.

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