Telecom Minister Ashwini Vaishnav has announced that the telecom sector in India will not be dominated by any single company or a duopoly. The presence of the public sector company BSNL is strengthening, ensuring a more competitive landscape.
Vaishnav addressed concerns regarding the dominance of Reliance Jio and Airtel in the Indian market, especially considering the financial challenges faced by Vodafone Idea.
Currently, there are three major players in the telecom sector: Reliance Jio, Bharti Airtel, and Vodafone Idea.
Reliance Jio has emerged as the largest telecom company and is leading in the implementation of 5G technology. Bharti Airtel is competing with Jio, while Vodafone Idea is yet to announce its plans for 5G.
The Telecom Minister emphasized that the operations of the public sector company BSNL are stabilizing, and it is now generating operating profits. This indicates a positive turnaround for BSNL.
When asked about the future scenario of the telecom sector, whether it will consist of three companies or three companies and one struggling company, Vaishnav stated that the market dynamics would determine the outcome.
Additionally, the minister mentioned that India aims to become a major player in semiconductor manufacturing within the next five years.
The government is creating a conducive environment for semiconductor and display fab factories and had previously announced a scheme worth Rs 76,000 crore in December 2021 to attract investments in this area.
Overall, the government’s focus is on promoting a competitive telecom sector with multiple players and ensuring a favorable environment for the development of semiconductor manufacturing in India.