BSNL
Bharat
Sanchar
Nigam Limited
TABLE OF CONTENTS
• Company overview
• Major Challenges Faced
by BSNL
• Financial overview
• Innovative solutions
• Future initiatives
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C O M PA N Y OV E R V I E W
BSNL, Bharat Sanchar Nigam Limited, is India's oldest
telecommunications provider and a state-owned
enterprise. It was established in 2000, taking over the
telecom assets and services of the Department of Telecom.
BSNL once held a dominant position in the Indian telecom
market, particularly in fixed-line services, but has faced
challenges in recent years with the rise of private telecom
companies and changing market dynamics.
As of February 2025, BSNL Mobile boasts a subscriber base
of 91.01 million, ranking as the 4th largest mobile
telecommunications network in India and the 25th largest
globally.
• MAJOR CHALLENGES FACED BY
BSNL
Although BSNL began strong
and recorded profits for the
first few years of its
operations, it began recording
losses after the year 2009.
The company has recorded
consistent losses in the last
thirteen years of its
operations.
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High employee cost
While the company was battling the
rising market competition, it was
also plagued internally with high
employee maintenance costs. This
cost accounted for approximately
Delayed adoption of technology
55% to 60% of the company’s
expenditure.
BSNL was slow in adapting new
technologies. It failed to keep
pace with its competitors
because of bureaucratic red
tape and outdated
infrastructure, even while they
fast-tracked deploying 4G
services, and lost tech-savvy
customers wanting high-speed
data services
5
Tough competition
BSNL began losing its ground in
2009 consistently, and by 2022, its
market share had plummeted to a
mere 7.9%. The rest 92% of the
market was controlled by three
major players – Jio, Vodafone Idea,
and Bharti Airtel.
Beaucratic issues
As a state-owned organization, BSNL
suffered from bureaucratic lags that
denied it the agility and quickness to
act. Long processes of clearances,
political interference, and lack of
autonomy made the company
respond to changes in the market
slowly.
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B S N L S W O T A N A LY S I S
Strengths Threats
• Backed by government • Massive and tough
competition
• Extensive infrastructure in remote areas
• Government regulatory
• PAN India reach framework
• Vast experience • Mobile number portability
• Strategic alliances with IT and hardware • Expensive network roll-out
companies
• Low-income subscribers
• More than 65% market share in rural India
market • Lack of electricity in rural
areas
• Excellent network coverage across India
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Weakness
Opportunities
• Decreasing market share
• Privatization of BSNL
• Unable to retain customers
• Strategic partnership with
• Poor service image and smartphone companies
innovation
• Partnering with other
telecoms
• Unproductive rural assets
• Poor working culture of • Customer retention
government institutions
• Improving upon intangible
• Limited brand visibility and capabilities (skill, motivation,
knowledge & ageing
low brand loyalty workforce)
B S N L’ S M A R K E T I N G S T R AT E GY
BSNL uses different outlets for ads, such
as TV, print, online, hoardings, etc. BSNL
promotes in a very limited way, with
plenty of loyal customers. But it has
recently begun promotion with the
emergence of so many rivals in the
telecom industry by coming up with new
logos, catchy slogans such as connecting
India, new and distinct brand names for
BSNL’s various services.
With the upcoming digital age, a few
promotions have also begun on various
social media platforms. It promotes its
innovative programs, schemes, and
discount deals, both on social media
platforms and through conventional 10
Other recent collaborations by BSNL:
•BSNL and YuppTV to launch a single
subscription
•BSNL and Ciena sign an MoU to prepare for 5G
in India
•Eros Now partners with BSNL to offer unlimited
movies and digital originals
•BSNL partners with Call2Action Communication
India to launch mobile advertising platforms
BSNL fulfils its corporate social responsibilities
too. After the massive floods in Kerala, BSNL
extended its support by offering free BSNL to
BSNL voice calls and free 20 minutes calls from
BSNL to other networks for the next seven days.
Digital is the new name and the market is
dynamic. The companies must set the trends and
adapt to the new ones. let‘s dive into the digital
world of BSNL.
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STEPS TOWARDS PRIVATIZATION
There have been multiple attempts by the Indian government towards BSNL
reforms, including:
• Voluntary Retirement Scheme (VRS): To ease the cost burden by providing
early
retirement to the employees.
• Financial Support: Revival packages approved by the government and
financial support to
clear liabilities and improve infrastructure.
• Asset Monetization: Disposing of non-core assets such as property to fund
operational
enhancement.
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ASSET MONETIZATION
Asset monetization is a process
where an owner (often the
government or a public sector
company) creates new revenue BSNL (Bharat Sanchar Nigam
sources by unlocking the Limited) is monetizing its telecom
economic value of existing, tower assets by creating a separate
underutilized assets, primarily subsidiary company to manage and
through leases or concessions to potentially lease them to other
the private sector. telecom operators.
This initiative is part of a broader
The owner transfers operational asset monetization strategy by BSNL
rights for a specified period in and MTNL (Mahanagar Telephone
exchange for upfront payments Nigam Limited) to generate revenue
or a revenue share, which is then and optimize their operations.
used to fund new infrastructure
projects, thereby recycling
capital and reducing reliance on
traditional debt financing.
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CONCLUSION & RECOMMENDATIONS
• Conclusion: BSNL is in the midst of a well-supported, multi-pronged revival—
combining funding, modernization, cost controls, and service innovation.
Signs point to sustainable growth ahead.
• Recommendations:
• Rapidly close the gap on network speed and quality through
accelerated rollouts and upgrades.
• Strengthen marketing of value-oriented plans to retain and attract
users.
• Enhance digital platforms & customer support for better service
experiences.
• Explore emerging markets like satellite broadband, rural gigabit
connectivity, and 5G network-as-a-service.
• Regularly monitor financial and UX metrics with dashboards to track
progress and respond agilely.
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Thankyou
ANUSHKA MISHRA
C L A SS – X I - D
ECONOMICS PROJECT