Shenzhen-Based Equipment Makers Compete for India's Massive Telecom Contract

Strategic Insights -

Shenzhen-based telecommunications equipment giants Ericsson, Huawei Technologies Corporation, Alcatel-Lucent, Nokia Siemens Networks, and ZTE Corporation are in a fierce competition to supply mobile equipment to India's state-owned BSNL. The contract, which includes 14.37 million mobile lines of GSM and 3G equipment, is valued at 50 billion rupees (approximately USD 1 billion). Milind Deora, India's Minister of Communications and Information Technology, announced the contract details on December 22, 2011. BSNL, India's fifth-largest mobile operator, has faced several delays in awarding the contract, canceling bids multiple times in the past.

Key Takeaways:

  • The contract involves supplying 14.37 million mobile lines of GSM and 3G equipment to BSNL, India's fifth-largest mobile operator.
  • The contract is valued at 50 billion rupees (approximately USD 1 billion).
  • Shenzhen-based equipment makers Ericsson, Huawei Technologies Corporation, Alcatel-Lucent, Nokia Siemens Networks, and ZTE Corporation are competing for the contract.
  • The contract award has been delayed multiple times, with BSNL canceling bids on previous occasions.
  • The competition highlights the growing demand for telecommunications equipment in India's expanding mobile market.
  • The contract is a significant opportunity for the winning bidder to expand its presence in the Indian market and supply equipment to one of the country's largest telecom operators.

Statistics:

  • 14.37 million: The number of mobile lines of GSM and 3G equipment to be supplied under the contract.
  • 50 billion rupees: The contract value, approximately equivalent to USD 1 billion.
  • 5: The number of Shenzhen-based equipment makers competing for the contract.
  • 1 billion: The approximate value of the contract, equivalent to 50 billion rupees.

Sources:

  • "SinoCast Daily Business Beat via COMTEX" - December 22, 2011.
  • Comtex SmarTrend Alert ( various dates).
  • Comtex News Network, Inc. (c) 2004-2011.
  • SinoCast Daily Business Beat. (c) 2008.