GAIL (India) Ltd proposes to acquire the new NLDO licence for entering the national long-distance telephony segment of the Rs 80,000 crore (Rs 800 bilion) telecom market, estimated to be growing at 30 per cent.
The move will also enable GAIL to provide virtual private network services to entire corporate sector and in particular 500 business houses, which are already buying natural gas and are well connected with GAIL's OFC network.
The launch of 'Project Triveni' - consortium of Powergrid, RailTel, and GAIL -- to creat
e second biggest optic fibre network with a reach of 60000 km across the length and breadth of the country is likely to be much sought after by the new NLDO operators as well, as laying of optic fibre by newcomers is cost prohibitive.
Lowering of the entry barriers coupled with the permission for internet telephony within the country will also lead to the emergence of a large number of VOIP service providers in line with the western world.
All these players will seek bandwidth from a network like Triveni.