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Ericsson, Nokia may bag BSNL contract

Our Bureau

New Delhi May 17 Bharat Sanchar Nigam Ltd is likely to award the contract for its mega 45.5-million line GSM cellular project to Ericsson and Nokia at $250 million lower than what the lowest bidder had quoted.

While Ericsson had emerged as the lowest bidder after quoting $107 per line, the final purchase order is likely to be between $100 and $103 per line. Senior BSNL officials said that the evaluation is over and the purchase order will be placed in the next 2-3 days.

Nokia, which had quoted around $170 per line will also have to offer at the price negotiated with Ericsson. Ericsson is expected to get 60 per cent of the total contract while Nokia will get the balance. About 15 million lines has been reserved under the quota system for the ITI-Alcatel joint venture.

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