RIL to enter into Rs500-cr deal with BSNL

09 May 2007

New Delhi: Mukesh Ambani controlled Reliance Industries (RIL) will sign a five-year communications solutions deal with Bharat Sanchar Nigam (BSNL) worth Rs 500 crore. As per the deal, BSNL will link all undertakings of the group during this period, connecting 2,500 petrol pumps, about 15,000 retail outlets, 14 manufacturing units, all its upcoming SEZs and provide global connectivity to RIL.

BSNL will provide mobile, basic, broadband services, leased lines, virtual private network (VPN), multi-protocol label switching (MPLS) and enterprise solutions to RIL. It will also provide the bandwidth for RIL''s captive network, which interconnects all its outlets and offices. Sources also said that the contract would involve providing about 60,000 mobile connections to RIL employees, which could be scaled up later.

Mathew Oommen, who joined RIL in September 2006, is expected to look after all telecom and IT activities of the group, including the execution of the contract with BSNL.

Oommen was earlier the chief technology officer of Anil Ambani-owned FLAG Telecom.