Competition eats into BSNL's market share, not profits

By Our Corporate Bureau | 05 Oct 2007

Madurai: Intense competition between firms in the booming Indian telecom sector has eaten into BSNL's market share, acknowledges BSNL Madurai general manager MK Sundarsanam.

Adding that competition would only get fiercer, he said BSNL's market share had declined to around 30 per cent, still leaving it profitable, Sundarsanam told the media.

In the past few years, BSNL had lost around 60,000 landline customers, while gaining more than 21,000 wireless in local loop (WLL) connections, plus another 1.6 lakh mobile connections.

Commenting on BSNL's telecom infrastructure development, he said work was on for the erection of 170 cell towers, which will provide mobile coverage to villages with a minimum population of 2,000.

BSNL's broadband service is also likely to add another 39 locations to its coverage area soon.