VSNL on Thursday announced a reduction of 40 per cent in the Internet-leased lines (ILL) and 25 per cent in the international private leased circuits (IPLC) effective from September 1.
Tata Group company, Videsh Sanchar Nigam Limited (VSNL), on Thursday announced that it plans to invest $600 billion to build two new submarine cable systems, one between India and Europe and the other between Singapore, Hong Kong and Japan. The India-Europe cable would also provide connectivity to the Gulf region.
This investment is part of the Rs 1.2-lakh crore investment that the Tata Group has planned to invest in the next three to five years. Mr Kishor Chaukar, Tata group nominee on the VSNL Board, said that investments would be in auto, telecommunications, steel, chemicals and power. "These are the areas in which we believe the companies can contribute value for money for its customers and investors across the sectors," Mr Chaukar said.
He added that Thursday’s announcements reflect the progress VSNL has made in four years "from being a monopoly to emerging as a highly competitive force in the global telecom space. The management has very clearly tried to respond to the vision set out by Mr Ratan Tata when he took over as chairman of VSNL after disinvestment." VSNL’s reduction in the prices of IPLC and ILL will meet the rapidly growing demand of several Indian companies investing overseas.
These products are offered in India using VSNL’s global network that spans over 200,000 route kms with 275 PoPs connecting 200 countries. Mr N. Srinath, executive director, VSNL said that the market for international Internet bandwidth is expected to expand as the reduced prices will encourage demand from new customer segments like the small and medium enterprises, smaller ISPs and academic institutions.
Mr Srinath said that the India-Europe cable system is likely to be completed by 2008 with the build cost of approximately $350 million and the intra-Asia cable system is likely to be completed by 2007 with an investment of around $250 million. These are the fastest-growing regions in the world.
According to Mr Srinath, the company is looking for partners for making the investment and the talks are in process with international carriers in the US and Europe. He said that some of the companies in West Asia are showing interest in the partnership, but nothing is finalised yet.
Tata Group company, Videsh Sanchar Nigam Limited (VSNL), on Thursday announced that it plans to invest $600 billion to build two new submarine cable systems, one between India and Europe and the other between Singapore, Hong Kong and Japan. The India-Europe cable would also provide connectivity to the Gulf region.
This investment is part of the Rs 1.2-lakh crore investment that the Tata Group has planned to invest in the next three to five years. Mr Kishor Chaukar, Tata group nominee on the VSNL Board, said that investments would be in auto, telecommunications, steel, chemicals and power. "These are the areas in which we believe the companies can contribute value for money for its customers and investors across the sectors," Mr Chaukar said.
He added that Thursday’s announcements reflect the progress VSNL has made in four years "from being a monopoly to emerging as a highly competitive force in the global telecom space. The management has very clearly tried to respond to the vision set out by Mr Ratan Tata when he took over as chairman of VSNL after disinvestment." VSNL’s reduction in the prices of IPLC and ILL will meet the rapidly growing demand of several Indian companies investing overseas.
These products are offered in India using VSNL’s global network that spans over 200,000 route kms with 275 PoPs connecting 200 countries. Mr N. Srinath, executive director, VSNL said that the market for international Internet bandwidth is expected to expand as the reduced prices will encourage demand from new customer segments like the small and medium enterprises, smaller ISPs and academic institutions.
Mr Srinath said that the India-Europe cable system is likely to be completed by 2008 with the build cost of approximately $350 million and the intra-Asia cable system is likely to be completed by 2007 with an investment of around $250 million. These are the fastest-growing regions in the world.
According to Mr Srinath, the company is looking for partners for making the investment and the talks are in process with international carriers in the US and Europe. He said that some of the companies in West Asia are showing interest in the partnership, but nothing is finalised yet.