Good news coming from India!! NSN has emerged as the lowest bidder for MTNL (one of the state-run networks in India) GSM expansion and modernization. According to what has been revealed to ET, the deal is valued at 600 crore INR, which is equivalent to USD 100 million. It piped Alcatel Lucent and Chinese rivals Huawei Telecommunications and ZTE Corp in the process.
Since in India the terms of the contract clearly benefit the lowest bidder, so until NSN expresses its inability in supplying the equipment, it is all NSN’s pie to have. Apart from the 2G and 3G equipment lowest bidder will also supply radio access network (RAN) and intelligent network systems.
Finland’s Nokia Solutions Networks (NSN) has pipped France’s Alcatel Lucent, Chinese rivals Huawei Telecommunications and ZTE Corp to emerge as the lowest bidder for supplying 2G and 3G gear for Mahanagar Telephone Nigam Ltd’s Rs 600-crore GSM network modernisation plans, a director of the state-run telecom company told ET.Industry circles familiar with the matter, however, said the difference between NSN and Huawei’s price bids is “wafer thin”, as the Chinese networks vendor is learnt to have also put in a very aggressive bid. However, Huawei will be asked to match NSN’s price bid only if the Finnish vendor fails to deliver equipment to MTNL.Under terms of the GSM tender, MTNL will buy 2G and 3G systems from the cheapest supplier for its proposed 1.6 million-line network expansion. This apart, the lowest bidder will also supply radio access network (RAN) and intelligent network systems.