British Telecom has applied with the Department of Telecommunications, India for national and international long distance licenses. When granted, the licenses will enable BT's newly formed joint venture company, BT Telecom India Pvt. Ltd., to offer direct services for the first time to multi site corporate customers in India.
BT's intention is to provide initially both domestic and international managed services to corporate customers who have sites in India. It will provide these companies with virtual private network-based (VPN) services using technologies such as ATM and Internet Protocol (IP)-based multi-protocol label switching (MPLS). Currently, BT assists its customers wanting connectivity to India through an arrangement it has with a local licensed operator.
The company also announced a joint venture agreement with Jubilant Enpro Pvt. Ltd., a New Delhi-based company engaged in the businesses of oil and gas, food and services. BT will hold 74% interest while Jubilant Enpro will hold the rest.
Andy Green, CEO, BT Global Services said, "India is one of the fastest growing markets for BT and our strategic partnership with Jubilant Enpro will strengthen our ICT deployment in India. With this alliance and under local licensing, customers can be assured of world class end-to-end global services."
"Establishing and managing our own operations in India is a landmark development. With these licenses and planned investment, we will be able to provide the same high levels of services in Bangalore as we do in Boston, and in Mumbai as we do in Madrid. This will allow our Indian customers access to a BT managed network, which is connected to BT's comprehensive global network across Asia Pacific, Europe and North America," he added.
Hari S.Bhartia, co-chairman and managing director, Jubilant Group said, "We are delighted to partner with BT for this joint venture. As a company that has transformed into a global networked IT services company, BT offers the highest levels of customer service in terms not only of the success of its customer but also its commitment to compliance with the law. We strongly believe that this is the beginning of a long-standing relationship which will not only benefit Indian companies but also contribute to the further development of the country's telecom industry."
BT has strong growth plans for its Indian operations and revenues from India will be $250 million by 2009. It employs over 15,000 people in Asia Pacific (both directly and indirectly), of which the majority are based in India. The company is looking to increase its Indian employee strength by hiring an additional 6,000 people within the next two years, Green said.
