MTNL to share infrastructure with private Telcos

By VARINDIA - 2011-06-13

MTNL to share infrastructure with private Telcos

Mahanagar Telephone Nigam Ltd. (MTNL) plans to share its passive infrastructure, including towers, with private service providers as part of its efforts to boost revenue and put the state-owned company back in the black in two years.

 

MTNL, which offers services in Delhi and Mumbai, has about 1,400 towers and plans to add 700 more this financial year. It had reported a loss of around Rs.2,800 crore for 2010-11.

 

According to sources, MTNL had invited expression of interest (EoI) for sharing of base transceiver stations (BTSs) and other passive infrastructure in Delhi. Subsequently, an EoI for sharing of BTS sites in Mumbai would be called.

 

The company had earlier shared some of its BTS sites with other service providers on an experimental basis. Following its success, MTNL has planned to extend it to both the circles it operates in, according to the official.

 

The development comes close on the heels of another state-run telecom company, BSNL's, plan to hive off its tower business to a separate subsidiary to unlock value. BSNL, which provides services across the country except Delhi and Mumbai, has 40,000 towers. It has also started discussions with private players to lease out its towers.


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