Bharat Sanchar Nigam Limited (BSNL), the state-run telecom giant, is poised for a historic turnaround. After years of struggling to survive in India’s fiercely competitive telecom market, BSNL has received a fresh lease of life with a massive 5G spectrum allocation worth ₹61,000 crore from the Department of Telecommunications (DoT). This strategic move is aimed at reviving the public sector telecom company and positioning it as a serious competitor to private players like Reliance Jio and Bharti Airtel.
5G Spectrum Allocation: A Game-Changer for BSNL
As per The Economic Times, BSNL has been allocated premium 5G bands, including 700 MHz and 3300 MHz — crucial frequencies for delivering seamless, high-speed internet services. These bands offer both coverage and capacity, making them ideal for next-gen telecom operations.
BSNL plans to begin its 5G rollout in the national capital, Delhi, by mid-2025. Infrastructure development, including the installation of new towers and advanced equipment, is already underway. This move will mark BSNL’s official entry into the 5G space, a step that could redefine the Indian telecom landscape.
The Larger Revival Strategy: Backed by Massive Government Support
The 5G push is part of a broader, multi-layered revival strategy to make BSNL viable again. The government had earlier approved a ₹6,000 crore package to bolster the telco’s 4G infrastructure. Over the years, BSNL has received nearly ₹3.22 lakh crore in financial assistance through various revival schemes, spectrum allocations, and infrastructure upgrades.
This comprehensive plan not only addresses technological advancement but also aims at financial restructuring, network expansion, and improved service delivery.
BSNL’s Financial Turnaround: First Profit in 18 Years
In a major breakthrough, BSNL recorded a net profit of ₹262 crore in the October–December 2024 quarter — its first profit in nearly two decades. Minister of Communications Jyotiraditya Scindia shared this milestone while addressing the Rajya Sabha, underscoring the effectiveness of government interventions.
“After 18 years, BSNL for the first time has achieved a net profit of ₹262 crore in the October–December quarter. This achievement has been possible under the visionary leadership of Prime Minister Narendra Modi,” Scindia stated.
The Minister also noted that BSNL had added 55 lakh new subscribers in the past six months, reflecting growing consumer trust and satisfaction.
BSNL vs Jio and Airtel: A New Challenger Rising
If BSNL’s revival plan plays out as intended, it could become a formidable threat to the private telecom duopoly — Reliance Jio and Bharti Airtel. Both companies currently dominate the 4G and 5G markets, but BSNL’s state-backed push into 5G, combined with its competitive pricing and wide rural reach, could disrupt the status quo.
BSNL’s 5G services are expected to offer a cost-effective alternative to consumers, especially in tier 2 and tier 3 cities where affordability is key. The telco also holds a unique advantage with its strong presence in remote and underserved areas, something private operators still struggle to match.
Challenges Ahead: Can BSNL Maintain the Momentum?
While the recent profit and 5G spectrum allocation are promising, BSNL still faces several challenges:
- Execution Delays: Timely rollout of 5G services will require streamlined coordination, faster equipment procurement, and efficient deployment of infrastructure.
- Customer Retention: To truly revive, BSNL must focus on improving customer service, ensuring network reliability, and offering competitive tariff plans.
- Tech Upgradation: Transitioning from legacy systems to modern, cloud-based, AI-driven telecom operations will be essential to compete effectively.
What Lies Ahead: Roadmap to Mid-2025 and Beyond
BSNL has set its sights on mid-2025 to roll out its first 5G services in Delhi, marking a significant milestone in its comeback journey. This rollout will be closely watched by industry stakeholders, policymakers, and consumers alike.
If BSNL can deliver high-speed, affordable, and reliable 5G services, it could not only regain market share but also emerge as a benchmark for successful state-run enterprise revival.
A New Chapter in Indian Telecom
BSNL’s story is transforming from one of decline to resurgence. With government backing, strategic spectrum allocation, infrastructure development, and a first-time-in-18-years profit, the telecom PSU is charting a bold comeback.
The success of this revival plan will determine whether BSNL can challenge the private sector giants and reclaim its place in India’s digital future. If it succeeds, it won’t just be a telecom triumph — it will be a landmark case in public sector transformation..
