BSNL Crisis

Post Dussehra has brought two shocking news for tele-users across the country. One, Jio is going to punish you for extra marital affairs (you cannot just get tied with Vodafone, Airtel and other telecom service providers) and the other is that BSNL is almost going to succumb to death. Which one makes your heart pounce more?

My friend was yelling at Jio’s decision to charge for Jio to other calls. Ah, he earns well! He ain’t no poor to not afford to pay some bucks per call. But what about BSNL crisis? Isn’t it as shocking as the first one, if not more? BSNL, once or may be even today, the largest telecom service provider of India is on the verge of being sold or shut down. But, why on earth should it happen? In the game of profit and loss, this public sector undertaking by the Government of India has been facing sheer losses for over a decade and the situation has not meliorated yet. What are the prime and primary causes behind such mess?

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BSNL Crisis: The Profit and Loss Analysis

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Post Dussehra has brought two shocking news for tele-users across the country. One, Jio is going to punish you for extra marital affairs (you cannot just get tied with Vodafone, Airtel and other telecom service providers) and the other is that BSNL is almost going to succumb to death. Which one makes your heart pounce more?

My friend was yelling at Jio’s decision to charge for Jio to other calls. Ah, he earns well! He ain’t no poor to not afford to pay some bucks per call. But what about BSNL crisis? Isn’t it as shocking as the first one, if not more? BSNL, once or may be even today, the largest telecom service provider of India is on the verge of being sold or shut down. But, why on earth should it happen? In the game of profit and loss, this public sector undertaking by the Government of India has been facing sheer losses for over a decade and the situation has not meliorated yet. What are the prime and primary causes behind such mess?

The scenario can be seen in different platforms, mostly financial.

Profit and Loss of BSNL:

How big is BSNL’s Market?

For last few months there has been a buzz: “BSNL may shut down this year”. Before moving into the profit and loss game, please note that Bharat Sanchar Nigam Limited has a quite significant share in the market. Interestingly and with a blink of positivity, the market share has increased over the years. In 2005 BSNL had 8.65% of market share that increased to 9.05% in the next year. Later in 2017, the share went a baby step higher to 9.35%; however, gaining a mammoth 10.22% in 2018.

Amongst all telecom operators, BSNL stands tall with 49.67% market share (highest by any fixed line operators in India). When it comes to fixed line, BSNL has scores almost solo goals. Don’t you believe? Let’s find out-