Subsidised Broadband Connections Start Rolling

Backed by the Universal Service Obligation Fund (USOF) of the Department of Telecommunications, Government owned Telecom company BSNLhas started rolling out wire-line broadband connectivity to rural & remote areas. DOT has signed an agreement with BSNL to provide 8,61,459 connections to individual users and government Institutions through rural and remote exchanges over a period of 5-years, i.e., by 2014.
This USOF Scheme has an estimated subsidy flow of Rs. 1500 Crore. The subsidy disbursement is for (i) broadband connections, Customer Premises Equipment (CPE), Computer/Computing devices (ii) setting up of Kiosks for public access to broadband services. The financial assistance is to ensure broadband connections at substantially reduced rates to the end customers both in terms of connectivity cost, customer premises equipment cost and computer/computing devices.
This Rural Broadband Scheme has been undertaken on BOO model, i.e. build, operate & own basis. The speed of each of the broadband connections shall be at least 512 kbps always on, with the capability to deliver data, voice and video services in the fixed mode. [Via]