Bharat Sanchar Nigam, Ltd (BSNL) and SOMA Networks, Inc. today announced the commercial launch of “BSNL Wireless Broadband” service in the state of Gujarat. Broadband connectivity means high-speed, always on, Internet access in homes and offices. What is special about this wireless service is that it can reach even those places where there is no wired infrastructure. India has low Internet penetration of around 4.9% (compared with 68% in the US), while broadband penetration is even lower, at less than half a percent. This service will aim to significantly improve India’s broadband tele-density.

Gujarat Industrial Development Corporation (GIDC) is the first enterprise to benefit from this service in Gujarat. GIDC will make this service available to industries housed in their estates, and will also use this service in their own administrative offices.

“We are extremely pleased that the people of Gujarat are the first to benefit from this ambitious wireless broadband project,” said Mr. Satya Pal, Chief General Manager, BSNL Gujarat Telecom Circle. “BSNL’s service is not just for the urban elites, but will connect India’s under served population with the same high-quality broadband experience, but without the wait and without the wires.”

Consumers should expect to see a range of interactive services to be introduced in the next few months, over BSNL’s Wireless Broadband network. These new services will transform lifestyles with online shopping, banking and bill-payment, and new modes of communication using voice and video chats. For the youth segment, there will be services such as social networking, sharing of videos, music and photos, and edutainment, to name a few.

Over the next few weeks this service will be launched in the states of Goa and Andhra Pradesh, to be soon followed by Maharashtra.

The new BSNL Wireless Broadband service offers a range of service plans based on bandwidth rates, providing speeds from 256 kbps to 2 Mbps. Residential plans include two email addresses and 5 MB of storage. Business plans include up to four email addresses, and 5 MB of storage.

An unlimited usage connection of 256 kbps speed costs Rs 1,000 a month. A small box, known as CPE which has to be attached to the computer, will cost Rs 10,000 for one time. 2 MBPS is the highest available sped costing Rs20,000 per month with unlimited usage. It can also be used by multiple users making it ideal for business.

BSNL expects to get around 50,000 connections within a year in Gujarat.In the initial stage, BSNL WiMax would be available in Ahmedabad, Gandhinagar, Vapi, Ankleshwar and Pandesara. BSNL has erected around 25 towers so far, covering six locations in Gujarat. Within a year, BSNL wants to erect 80 more towers to cover another 12 big cities of Gujarat. In coming year BSNL plans to set up 300 towers to make Gujarat a WiMax state.