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NSN Under Pressure to Lower Bids for Indian Network Contract

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Plans by India's state owned telco, MTNL to upgrade its mobile networks in Delhi and Mumbai have been thrown into doubt following concerns about the cost of the upgrades.

It's being reported that the cheapest bid in its tender was submitted by NSN, but that was still at a price higher than MTNL was expecting to have to pay.

The contract is calling for the rollout of 1.6 million GSM lines, with 3G upgrade capability.

An MTNL director told the Economic Times that "We've asked NSN to lower its bid as the current amount quoted is on the higher side, which would radically push up the cost of our GSM networks expansion,"

If NSN declines to lower its bid, the second highest bidder, Huawei may be offered the contract, but again can be expected to be asked to reduce its costs.

On the web: Economic Times

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Tags: nsn  mtnl  delhi  mumbai  India