Buoyed by the success of its broadband services both in Delhi and Mumbai, state-run MTNL on Wednesday said the company has lined up Rs 1,500 crore (Rs 15 billion) investments to expand GSM and broadband operations.
"We will expand broadband capacity by 10 lakh (1 million) connection both in Delhi and Mumbai together. The capacity will be scalable to 20 lakh (2 million). Besides, we are also planning a major expansion of our GSM mobile network especially in Mumbai," MTNL Chairman and Managing Director R S P Sinha told PTI in an interview.
MTNL currently has 550, 000 connections both in Delhi and Mumbai, beating private competitors. The telecom operator would be investing Rs 1,500 crore (Rs 15 billion) in 2008, Sinha said, adding that amount could go up by another Rs 200 crore (Rs 2 billion) depending upon the capacity requirement.
MTNL, however, is facing problems in the GSM mobile services in the Mumbai circles as the capacity could not be added in time by ITI, a PSU which got the contract under reservation quota.
Sinha said that the telecom operator has planned to add 10 lakh (1 million) GSM subscriber capacity in Mumbai and till the networks were put in place, MTNL has decided to divert some of the Base Terminal Stations from Delhi to Mumbai.
With this, MTNL would have a capacity to serve at least 200, 000 GSM connections immediately to meet the demand in the financial hub of the country, he said.
Another focal area for MTNL in 2008 would be IPTV. In Delhi, it currently has 2,000 subscribers, while in Mumbai, the firm serves 2,200 users.
"We have set a target of having at least 50,000 subscribers of IPTV by the end of this year, and it is achievable looking at the demand of services," Sinha said.
There are certain problems with regard to adding some of the channels and discussions are on with broadcasters, he said, adding that the matter has also been brought into the notice of broadcast regulator TRAI.
The issue is expected to be resolved at the earliest, he said. MTNL is also contemplating coming out with more schemes in the IPTV segment, besides fixed line and broadband services in the months to come.
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