The Panchayat Connection

The tech industry sees a major business opportunity in increased allocation for the BharatNet project.

- Goutam Das

It appeared like a tiny top-up to a Budget that was brimming with too many bottom-of-the-pyramid allocations. Nevertheless, it must have had technology industry bigwigs close to salivating. In his Budget speech, Finance Minister Arun Jaitley announced that he would step up the allocation for the BharatNet Project – a nation wide optic fibre network being laid – to ₹10,000 crore in 2017/18. “By the end of 2017/18, high-speed broadband connectivity on optical fibre will be available in more than 1,50,000 gram panchayats, with wi-fi hot spots and access to digital services at low tariffs,” he said.

Once that fibre cable reaches the doorstep of every gram panchayat, all companies in the business of providing equipment and services will be able to capitalise on the infrastructure by connecting with individual villages. Industry watchers view the opportunity as a multi-billion dollar windfall. Vendors selling routers, switches, wi-fi equipment, last mile cables, IT services companies and system integrators can all cash in. Telecom companies, as well as start-ups, can provide value-added services. Such connectivity will also boost distance education and rural e-commerce.