2G gear equipments to BSNL for expansion

BSNL's countrywide 2G network expansion plans will finally take off as the Indian arm of China's ZTE Corp has agreed to meet the state-run telco's additional GSM network requirement for 4.22 million lines in the eastern and northeastern circles, aggregating Rs 1,220 crore, top BSNL executives, who didn't wish to be named, said. 

ZTE India's decision comes after BSNL recently threatened to encash its Rs 159-crore performance bank guarantees (PBGs) following the Chinese vendor's failure to meet the state-run telco's eastern zone purchase requirements by January 31, 2013. 

Last year, ZTE India had edged out Huawei, Alcatel-Lucent, Nokia Siemens Networks and Ericsson to bag BSNL's mega contract for supplying 2G equipment for 10.15 million GSM lines in the northern and southern circles at $58 per line (Rs 3,200 approx). Since none of these companies matched ZTE's price bid, BSNL asked the Chinese vendor to also supply GSM network gear for its eastern expansion in line with tender conditions. "ZTE has agreed to meet our additional GSM network gear needs in the eastern and north-eastern states over the next four months. 

But BSNL's bid to buy GSM network gear from ZTE in the east and northeast could be at odds with an interior ministry directive that discourages induction of Chinese telecom equipment in states having international borders with China, Bangladesh and Myanmar. West Bengal and several north-eastern states have international borders with Bangladesh, Myanmar and China.

Source: http://cablequest.org/news/broadband-and-iptv-news/item/2239-2g-gear-equipments-to-bsnl-for-expansion.htmlSource: http://cablequest.org/news/broadband-and-iptv-news/item/2239-2g-gear-equipments-to-bsnl-for-expansion.html