To promote Digital India Campain, the state-owned telecommunications company BSNL along with the Universal Service Obligation Fund (USOF) will be setting up over 25,000 Wi-Fi hotspots in its rural exchanges by next few months.
With the coming of Jio Telecom in the market, the data consumption has gone up tremendously. While the urban households can enjoy the benefits of data connectivity, far-flung rural areas strive to get a stable internet connection.
The government is committed to bridging the digital divide of Internet connectivity in the countryside. Initially, one Access Point will be set up in each rural exchange. However, if the project is successful, the company may expand its Hotspot’s reach in the coming years.
The memorandum of understanding (MoU) was signed this Friday in the presence of Manoj Sinha, Communications Minister. The full capital expenditure and operational expenditure project worth 940 Crores will be 100% funded by the government for the first year and 75% in the following year. 50% of operational support shall be given to BSNL after that.
The market share of BSNL has increased by 0.30% from last financial year, said the minister. It rose from 9.05% to 9.35% this year. It is also expected that the operating profits would be higher this financial year than the previous fiscal.
The government has taken immediate actions to initiate internet connectivity countrywide. BSNL has already started working on this project and is busy deploying their Wi-Fi hotspots. The internet connectivity will be extended through the BharatNet Project through robustGigabit Passive Optical Network. The estimated project completion time is around 6 to 8 months.
Alongside this project, the company is working on deploying fiber cables throughout the country. Over 93,000 cables have already been laid by now.
The Internet Services Industry in India is going through a tremendous change. One can expect a lot more happening in the coming years. Either way, we the consumers, will be in profit.