State-owned telecom operator Mahanagar Telephone Nigam Ltd (MTNL) will be the first to launch the much awaited third generation (3G) services in the country, on December 11 in Delhi. Initially, the service will come free-of-cost to MTNL’s existing customers.
The company, which operates in Delhi and Mumbai, will offer basic 3G services, including high-speed internet, audio and video, and streaming as well as live television channels on mobile phones. It has already built a capacity to service 7,50,000 customers in the national capital. The company plans to launch the service in Mumbai in March 2009.
The company has tied up with various content providers and is in talks with many others for a plethora of services. “By the first quarter of the next fiscal, we will have a variety of other value-added services. For instance, we are in talks with a content developer through which we will be able to offer surveillance services, including the facility to view the security cameras placed in one’s house on the phone,” said Kuldip Singh, Director (Technical), MTNL.
Taking a cue from its IPTV services, MTNL has already conducted trial runs with channels like Neo Sports and Star News. “We will be able to roll out more services and channels on the 3G platform by March next year, after gauging the customer response,” said Singh.
“The final costing of the services will be decided once the value of spectrum is known,” said Singh.
3G spectrum is being auctioned to private players. The process is expected to be completed by February-end next year. State-owned operators Bharat Sanchar Nigam Ltd (BSNL) and MTNL have been allotted spectrum earlier. However, they will have to match the price paid by the highest bidder in the auction process.
“The main cost is that of the spectrum. The rest of the cost is incremental, which is not very heavy. We have already got most of our equipment in Delhi in place. We have awarded the tender for equipment in Delhi to Motorola and to ITI-Alcatel Lucent for Mumbai, where we will roll out services in March next year,” added Singh.
He further said, “We have about 750 base stations in Delhi and are looking at ramping it up by a similar number for the 3G services.”
The delay in 3G auctions for the private players will provide a boost to the state-owned telcos, which will be able to establish themselves in the market and gain from the first-mover advantage in the field. BSNL is expected to launch its 3G services in January next year.
