Tata Communications Planning WiMAX Expansion

India's Tata Communications, formerly known as VSNL is planning to expand its WiMAX coverage from the current 60 towns to 115 during this financial year and is considering taking its broadband WiMAX services to four or five cities.

"The government has announced that it will auction spectrum. Once the spectrum is allotted, we plan to take the broadband-WiMAX services to four-five cities," Tata Communications CEO, N Srinath said at the weekend.

The company has outlined some US$2 billion in CAPEX over the next three years. About half the expenditure will be on a WiMAX network which will cover 15 cities by 2009. Currently, WiMax services are available only in Bangalore, where some 600 base stations have been deployed. The remainder will be spent on submarine cables and network enhancement.

Telsima Corporation is the main supplier for the WiMAX network. In the initial phase, Tata Communications' WiMAX network will offer Broadband Internet access and content services to enterprise and residential customers in Delhi, Mumbai, Pune, Bangalore, Chennai, Hyderabad, Cochin, Chandigarh, and Kolkata.

The Indian government owns just over a quarter of Tata Communications, with 46% held by the Tata Group and the remainder floated on the Bombay stock exchange.

Posted to the site on 4th August 2008

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