Telecom Business Environment in India
Business Environment: Telecom Sector
An Analysis.
Submitted To: Prof. Jagdish Shettigar
Submitted By: Shalini (11DM139) Somendra Sahai (11DM154) Subhro Sen (11DM160) Yuvraj Sarda (11DM178)
1
Table Of Contents
Introduction: Evolution Of Communication Technology. Privatization of Telecom sector: Transformation government monopoly to space to private sector Growth of private sector: Aggregate as well as selected major players in the field Companies In The Telecom Industry
3
11
17 23
Role of a Regulatory authority: Logic and modus operandi
27
Technological gap with other countries
29
Government policies for telecom industry
30
Pricing of telecom services
34
Challenges facing the telecom industry
38
Recommendations or Policy Suggestions
49
References
52
2
Introduction: Evolution Of Communication Technology.
The Indian telecom has evolved from the bygone days of “telephone on demand” to the advent of the 3G services. The evolution began with the laying down of telegraph electric line in Kolkata. In 1881 the teleservices were introduced in Kolkata, Mumbai, Chennai, Karachi and Ahmedabad. After independence, all foreign companies were nationalized to constitute the Post, Telephone and Telegraph (PTT), under government control. The Telegraph Act of 1885 governed the telecommunications sector. Under this act the government was in charge of policy making and provision of services. But the major changes in the sector began in the 1980s. In the Seventh plan of 1985-90, 3.6 % of the total spending was allotted for communications and since 1991, more than 5.5% is spent on it. The initial phase of telecom reforms began in 1984 with the creation of Centre for Department of Telematics (C-DOT) for developing indigenous technologies and private manufacturing of customer premise equipment. Soon after this, the Mahanagar Telephone Nigam Limited (MTNL) and Videsh Sanchar Nigam Limited (VSNL) were set up in 1986.
An Analysis.
Submitted To: Prof. Jagdish Shettigar
Submitted By: Shalini (11DM139) Somendra Sahai (11DM154) Subhro Sen (11DM160) Yuvraj Sarda (11DM178)
1
Table Of Contents
Introduction: Evolution Of Communication Technology. Privatization of Telecom sector: Transformation government monopoly to space to private sector Growth of private sector: Aggregate as well as selected major players in the field Companies In The Telecom Industry
3
11
17 23
Role of a Regulatory authority: Logic and modus operandi
27
Technological gap with other countries
29
Government policies for telecom industry
30
Pricing of telecom services
34
Challenges facing the telecom industry
38
Recommendations or Policy Suggestions
49
References
52
2
Introduction: Evolution Of Communication Technology.
The Indian telecom has evolved from the bygone days of “telephone on demand” to the advent of the 3G services. The evolution began with the laying down of telegraph electric line in Kolkata. In 1881 the teleservices were introduced in Kolkata, Mumbai, Chennai, Karachi and Ahmedabad. After independence, all foreign companies were nationalized to constitute the Post, Telephone and Telegraph (PTT), under government control. The Telegraph Act of 1885 governed the telecommunications sector. Under this act the government was in charge of policy making and provision of services. But the major changes in the sector began in the 1980s. In the Seventh plan of 1985-90, 3.6 % of the total spending was allotted for communications and since 1991, more than 5.5% is spent on it. The initial phase of telecom reforms began in 1984 with the creation of Centre for Department of Telematics (C-DOT) for developing indigenous technologies and private manufacturing of customer premise equipment. Soon after this, the Mahanagar Telephone Nigam Limited (MTNL) and Videsh Sanchar Nigam Limited (VSNL) were set up in 1986.
References: http://www.trai.gov.in/Default.asp http://www.dnb.co.in/IndianTelecomIndustry/issues.asp http://www.ey.com/Publication/vwLUAssets/Enabling_the_next_wave_of_telecom_growth_inIndia/$FILE/Enabling%20the%20next%20wave%20of%20telecom%20growth%20in%20India.p df http://www.dot.gov.in/annualreport/2011/English%20AR%202010-11.pdf http://mospi.nic.in/Mospi_New/site/India_Statistics.aspx?status=1&menu_id=14 http://www.dot.gov.in/ntp/Addendum%20to%20NTP-99_11-11-03.pdf http://siteresources.worldbank.org/INTRANETTRADE/Resources/Singh.pdf http://www.ey.com/Publication/vwLUAssets/Enabling_the_next_wave_of_telecom_growth_inIndia/$FILE/Enabling%20the%20next%20wave%20of%20telecom%20growth%20in%20India.p df 52