DoT, BSNL join hands for rural reach

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The Department of Telecommunications (DoT) has signed a memorandum of understanding (MoU) with state-owned telecom operator Bharat Sanchar Nigam Ltd (BSNL) to provide wireless broadband in rural areas.

Under the MoU, BSNL will provide wireless broadband at 29,000 rural exchanges throughout the country. Each exchange will have 31 connections along with one kiosk for public use. A DoT official said, “Out of these 31 connections, 6 will be used by institutions like schools, while the rest will be for individual users.”

According to the study I-Cube 2008, jointly undertaken by IMRB and International and Internet and Mobile Association of India, there were 3.3 million active internet users in rural india as on march 2008.�

The implementation of the entire project is expected to be completed by 2011. Currently, there are over 5.45 million broadband subscribers in the country. This move comes as a catalyst in the government’s aim to reach 20 million broadband subscribers by 2010.

The DoT is planning to provide funds worth around Rs 1,800 crore to BSNL for its various activities. According to sources close to the development, approximately Rs 700 crore are being provided for upgrade of the 2,700 BSNL exchanges across the country for provisioning of wireline broadband, Rs 700 crore for kiosks and Rs 400 crore for computers.