BSNL is the third company after Reliance Communications [Get Quote] (which is in CDMA and wanted to operate GSM service) and Tata Teleservices [Get Quote] (similar to Reliance) which has been given licences under the new policy.

BSNL, however, is a large GSM player which now wants to get into CDMA across the country through this policy.

However, another public sector telecom company, Mahanagar Telephone Nigam Ltd [Get Quote], which has also applied for spectrum under the same policy, has not yet been granted this permission. Sources added that MTNL's application is being studied and a decision would be taken shortly.

At the moment, BSNL operates GSM services across the country and also has CDMA services which are restricted within a city or district. While BSNL has ambitious plans to expand its GSM operations, the clearance will provide it an opportunity to also become a pan-India CDMA player.

The crossover technology policy has come under fire from GSM operators who have challenged it in courts. However, the government has already given Reliance Communications spectrum to roll out its GSM operations across key circles in the country. Tata Teleservices is also waiting in the queue for spectrum.