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BSNL becomes largest Internet service provider

BS Economy Bureau in New Delhi | October 01, 2003 09:34 IST

Bharat Sanchar Nigam Ltd has become the largest Internet service provider in the country with 750,000 users overtaking longtime number one ISP Videsh Sanchar Nigam Ltd at just over 700,000 net subscribers.

Prithipal Singh, chairman and managing director, BSNL said, "After bringing in the mobile phones to the masses we are on our way to bring about an Internet revolution. By the end of this year we expect 1 million BSNL net users and 2 million by next year."

Streaming ahead

BSNL's success was due to the direct internet access it offers to its fixed line phone subscribers.

The company is targetting Internet subscriber base of 1 million by the end of this year and 2 million by next year.

The firm has announced a slew of services and tariff packages including free short messaging facility for its fixed line users

BSNL's success has been primarily due to the fact that it is offering direct Internet access to its fixed line phone subscribers without any hassle of buying a pre-paid Internet package.

BSNL, which completes three years as a corporate on Wednesday, said it has major expansion plans across its business divisions.

It has garnered 40 lakh (4 million) cellular subscribers within just a year of operation to become the second largest mobile operator after Bharti. The company is adding 7 million more lines this year and another 10 million next year.

BSNL also announced a slew of services and tariff packages including free short messaging facility for its fixed line users.

BSNL is tying up with SBI Cards to offer mobile phones at a monthly installment of Rs 185 with free talktime bundled into the package.

Singh said subscribers can now get a BSNL telephone at a monthly rental ranging between Rs 160 and Rs 99. However users of this scheme called "Sulabh" will get only free incoming calls.

For outgoing calls customers will have to buy India Telecom Card, a pre-paid card, which offers a tariff of Rs 1.10 per unit.

For cellular subscribers BSNL has announced a festival scheme where subscribers taking Plan 325 and Plan 525 will get free talk time worth Rs 325 and Rs 525. In pre-paid category subscribers taking a recharge coupon of Rs 300 will get talk time worth the same amount.

BSNL is expected to record a 5 per cent increase in its revenues this financial year over Rs 22, 000 crore (Rs 220 billion) reported last year. The company is expected to make a net profit of Rs 2,500 crore or Rs 25 billion.

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