The Wi-Fi business is paying off for BSNL and the company is planning to collect Rs. 500 crore from Wi-Fi division by FY2018-19.
Speaking about revenue collection from Wi-Fi division, Anupam Shrivastava, CMD, BSNL said, “Wi-Fi is a separate revenue stream for BSNL. The division started initially with revenue sharing model and the revenues have been increasing with each passing year.”
In the last financial year, we have earned revenues of Rs. 152 crore, and the next two years we are planning to earn Rs. 250 crore and Rs 500 crore in FY2017-18 and FY2018-19 respectively added
BSNL’s Revenue from Wi-Fi
Year – Revenue (in Rs. Crore)
FY2015-16 – 58
FY2016-17 – 152
FY2017-18 – 250
FY2018-19 – Rs 500 crore
To earn revenues of Rs. 500 crore, BSNL has aggressive plan as the company is planning to install 100,000 Wi-Fi hotspots by March 2019 through three business models – Revenue Sharing Model, Capex Model and USO Fund Model.
On the revenue sharing front, QuadGen Wireless has got exclusive rights to set up Wi-Fi hotspots in 9 states and is focused on Southern and Western region. QuadGen Wireless is deploying Wi-Fi hotspots in Telangana, Andhra Pradesh, Kerala, Karnataka, Tamil Nadu, Maharashtra, Gujarat, Madhya Pradesh and Chattisgarh. Trimax IT Infrastructure and Services has got exclusive rights for Northern region and is focusing on states like Jammu & Kashmir, Himachal Pradesh, Punjab, Rajasthan, Delhi, Haryana, Uttar Pradesh, Uttarakhand and Chandigarh, GoIP Global Services has got exclusive rights for four Eastern states/UTs like Bihar, Jharkhand, Assam and Andaman & Nicobar.
In the capex model, BSNL plans to install 70,000 Wi-Fi hotspots in two phases. Here, L&T has bagged Northern and Southern region whereas HFCL has bagged Western and Eastern region.
BSNL has also bagged an order to install 25,000 hotspots through USO Fund as rural exchanges are already connected by OFC in BharatNet Project. In this case, USO Administrator has sanctioned an amount of Rs. 942 cores and Wi-Fi hotspots is planned to be deployed in 6 months.
DigiAnalysys is organising My India Wi-Fi India Summit & Awards on Thursday, 24th August 2017 at The Imperial Hotel, New Delhi, India. For more info, please click the following link- www.myindiawifiindia.com