Data Communication Services of Cellular & Paging Systems and Software Exports

INDONET – India’s first public data communication Network – 1985 –
By CMC Ltd – A Public Sector Computer organization
Since 1992, the DoT owned & operated data communication network INET,
had also become operational. It initially linked up eight metropolitan
cities in India through 9.6 kbps and 64 kbps data links.
NIC – National Informatics Center – A Government Agency had set up
nationwide network
ERNET – An Educational Network – Set up by Department of Electronics -
Funded by UNDP
ERNET was linked up with several universities, research & educational
institutes and had been successful in providing Email, international
connectivity & other network services. Its services were not generally
available to commercial organizations.
There was 64 kbps data rate limit for private VSAT provision. High cost of
imported equipment, due o the duty structure, high license fee, and non
recognition of VSAT as infrastructure excluded VSAT service providers
from tax relieves available to other infrastructure providers and made it
expensive for Indian organizations to use VSAT for data communications.
 Cellular & Paging Systems
In May 1991, government announced its intention to award licenses to
private operators for providing cellular phones in the four metro cities of
Delhi, Kolkata, Mumbai & Chennai, and paging services in 27 cities across
India.
For both cellular & paging separate licenses were issued for the four
metropolitan cities, Mumbai, Kolkata, and Delhi & Chennai.
The bidding guidelines mandated foreign collaboration & evaluation was
based on financial consideration such as net worth of partners, license fee
quoted & technical aspects such as the subscriber base experience of the
foreign collaborator & network roll out plan.
 Software Exports
To facilitate software exports, a thrust area identified by the government
exporters were allowed to set up satellite communication at 64 kbps from
Software Technology Parks set up in selected locations in Banglore,
Pune, Mumbai, Hydrabad, New Delhi, Kolkata, Chennai & several other
cities.