Broadband Price War Breaks Out in India

First you could not bribe your way to a broadband connection; and now there is a price war going on in India for broadband services. This is how India works I guess, at least from a telecom perspective. A few days after incumbent carriers – BSNL and MTNL – started selling a barebones 256 kbps service for around $10 a month, Bharti Airtel’s Broadband unit has started offering the very same package, at the same price. A month ago, Bharti was charging six-times as much for that meager connection. “We will reduce prices to match BSNL offer and an announcement will be made in a few days,” said Prem Pradeep, chief executive officer, ABTS. It is only a matter of time before others – Sify and Tata Indicom respond with their price cuts. Here is an honest, no-holds barred assessment of Indian broadband market.

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