Putting all speculations to rest, central government has finally announced that both the ailing public sector telecom firms, BSNL and MTNL are not going to be privatised, disinvested or closed and will be merged to form a single business entity and kept going. At a time when the ‘agenda’ is to minimise the presence of government in the arenas of business cutting across various sectors either by way of strategic sale or disinvestment, this move is a bit surprising. It has also been clarified by government that the step has been taken to infuse more professionalism and add competitiveness so that it can survive the changing dynamics of Indian telecom sector. Besides being hailed by employees by and large, most telecom analysts feel that this package was deserved by both the PSUs keeping in mind not only their long record of service to the nation, but also for the potential they carry to be successful even in this extremely competitive telecom scenario when most professionally managed private players are in red.  

BSNL and MTNL are the names that are sure to make any one who grew up in the 70s, 80s and 90s nostalgic. But with the passage of time when the telecom sector was thrown open to private entities, these two giants somehow lagged and lost edges. Although it would entail a long debate if one seeks the exact causes of their downfalls despite good infrastructure and enviable outreach, few will differ that it has been the absence of desirable professionalism and under-utilization of resources which are primary causes of losing shine. But finally the duo has been given a chance once more to prove their mettle, by way of a hefty revival package to the tune of almost Rs 69,000 crore. If the mind-boggling amount is eye-catching, allocation of 4G spectrum, even if much delayed, should expectedly turn out to be BSNL’s real strength based on which it can steer ahead in the current data-driven market. Also a strong telecom PSU will usher more competitiveness in the market, both in terms of tariffs and quality of services, benefiting the end-user i.e consumer. It must also be remembered that at times of natural calamities, BSNL has played the role of a trusted friend over decades, even if with their ‘faults’ in services. Moreover, national security is something that can never be compromised and with communication network being its key element, it’s BSNL and no private player that can be only relied upon.

Professionalism, minimum political interference and taking into confidence the employees should go a long way in BSNL’s turnaround. By keeping faith with the old, this revival move is perhaps also a reminder of the adage- ‘Old is Gold’.