BSNL, the state-run telecom firm, is all set to take on competition, by offering a minimum broadband speed of 2 mega bit per second (Mbps) from October 1 onwards, at no extra cost.
The company currently offers a minimum speed of 512 Kbps and the move is part of its efforts for revival.
BSNL has been loosing in mobile as well as landline services to private operators and the move is seen as its efforts to lure the customers back. The company lost about 1.78 crore wireless and over 20 lakh wireline subscribers between March 2014 and March 2015.
The losses for the firm stood at Rs 7,600 crore.
The BSNL's announcement of offering a higher broadband speed at no extra cost is likely to be followed by private players also pitching in with similar offers, given the hyper competition in the sector.
Sectoral regulator Telecom Regulatory Authority of India(TRAI) is also expected to soon redefine the definition of broadband speed, which is currently 512 kbps. Launching the scheme here, Telecom Minister Ravi Shankar Prasad said that BSNL should have frequent interface with customers and the efforts taken today by increasing the internet definition should help in digital India initiative, which is more for poor.
"We have increased the internet speed four times ...we have ensured 2 Mbps is available at last mile, which is the customer premises starting October 1," BSNL CMD Anupam Shrivastava said. Srivastava added that BSNL is on a revival path and the company has added about 15 lakh mobile customers in last few months as against 7-8 lakh subscribers per month.
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