BSNL will give TCS a $2 billion contract deal for the installation of 4G and 5G. Bharat Sanchar Nigam (BSNL) has agreed to pay Tata Consultancy Services (TCS) $2 billion to roll out its 4G and 5G services throughout the nation. However, according to sources, it might take a few months for the publicly-owned telco to provide its final permission.
TCS would develop 4G core and Radio Access Network (RAN) technology for BSNL’s telecom services as part of the agreement. The first local company to offer these solutions on a significant scale would be the largest IT company in the nation. Previously, Texas-based Mavenir was thought to be the front-runner to supply BSNL with 4G core technology.
In-depth details about BSNL will give TCS a $2 billion contract deal for the installation of 4G and 5G:
“In accordance with the government’s directive, BSNL will only use 4G core created by Indian vendors. Therefore, TCS is creating both the core and RAN for our network, a top BSNL official informed Business Standard. The TCS-installed hardware for the 5G roll-out will be upgraded by BSNL with the required software updates.
When asked when the final contract will be signed, the representative responded, “A proof of concept (POC) is being finished. I think we’ve completed almost 95% of the procedure. In a few months, I believe we should make an official statement.
According to the official, Tejas Network and Saankhya Labs, two recent acquisitions of the Tata group, will also take part in developing the required equipment under the terms of the agreement.
“TCS and the Centre for Development of Telematics (CDoT) are already working together to develop the core. Tejas Networks and Saankhya Labs were recently purchased by Tata Sons. Therefore, they might employ the resources of these businesses to create additional hardware for the 4G network of BSNL, the official said.
This is in response to PK Purwar, the chairman and managing director of BSNL, telling PTI that the company intends to launch the 4G network in November. By August of next year, it also intends to gradually update its network to 5G. According to Purwar addressing the India Mobile Congress, the state-run business intends to set up over 125,000 4G mobile sites over the course of the following 18 months.
TCS refused to discuss the deal’s specifics, citing the wait until its results for the second quarter of FY22. On October 10, the business is anticipated to release its quarterly results.
However, a TCS representative who wished to remain unnamed acknowledged the company’s choice to separate two business groups to offer telecom services.
The new business units would provide telecom and enterprise network services, automation services for network roll out and operations, AI/ML based operations, and cloud migration for Telcos, among other solutions. Our executive Vimal Kumar would oversee both businesses, the official stated. TCS also intends to create and grow a variety of 5G use cases, he continued.