BSNL gets permission to start CDMA services

Bharat Sanchar Nigam (BSNL) has received permission to offer CDMA services across the country (except Delhi and Mumbai) under the cross over technology policy. Under the policy existing operators who are in GSM are allowed to also offer service in CDMA and vice versa within the same licence after paying a fee.

BSNL is the third company-after Reliance Communications (which is in CDMA and wanted to operate GSM service) and Tata Teleservices (similar to Reliance) have been given a licence under the new policy. BSNL however is a large GSM players which now wants to get into CDMA across the country throuhg this policy.

However, another public sector telecom company - Mahanagar Telephone Nigam which has also applied for spectrum under the same policy - has not yet been granted this permission.

Sources added that MTNL's application is being studied and a decision would be taken shortly.

At the moment BSNL operates GSM services across the country and also has CDMA services which are restricted within a city or district. While BSNL has ambitious plans to expand its GSM operations the clearance will provide them an opportunity to also become a pan India CDMA player. As CDMA operations were been given by BSNL, according to experts under their basic service licence the operations were limited to only within a city or district.

The cross over technology policy has come under heavy fire from GSM operators who have challenged the matter in courts. However, the Government has already given Reliance Communications spectrum to roll out their GSM operations across key circles in the country. Tata Teleservices is also waiting in the queue for spectrum. GSM operators have questioned the introducing of cross over technology on malafide.