RIL dials Viom Networks in telecom leap

Mukesh Ambani- promoted Reliance Jio Infocomm ( RJI) is on the verge of gaining access to a mammoth 2.81 lakh base transceiver station (BTS) towers to launch its pan- India mobile phone and data services on the 4G network. Fresh deals in the pipeline and its own expansion plans will give RJI access to the largest tower infrastructure network in the country.

RJI has just struck a deal with Viom Networks which will give it control of another 42,000 telecom towers and is also in talks with Bharat Sanchar Nigam Ltd (BSNL) to use its 62,000 BTS towers. Besides, RJI is also in the process of developing 50,000 BTS towers of its own across the country, according to sources.

When contacted, BSNL chairman and managing director R. K. Upadhaya refused to share any details about the ongoing deal.

"I cannot say anything (on the RJI towersharing deal). We are sharing infrastructure and taking passive infrastructure from other providers. We are also offering our infrastructure wherever it is there or through other companies to share on whatever rental is prescribed," was all that Upadhaya told Mail Today. Interestingly, the Comptroller & Auditor General of India (CAG) has blamed the Department of Telecommunications (DoT) for providing a monopoly to RJI in the broadband and 4G sector by withdrawing state- owned companies BSNL and Mahanagar Telephone Nigam Ltd (MTNL) from the segment.

After Reliance Jio's entry, BSNL and MTNL withdrew from the broadband sector.

These public sector companies were also granted BWA spectrum. The Union Cabinet recently approved the reimbursement of money to BSNL and MTNL. CAG had stated in a communication to DoT that this move will leave "virtually the entire field to a company that had not participated in the auction process". Many senior officials at DoT had questioned the move by BSNL and MTNL to opt out of 4G BWA spectrum. But the two companies have maintained that they do not see any business in retaining 4G. However, several Dot officials are not convinced with this argument.

Courtesy: Mail Today