HFCL-BSNL deal: Gururgam-based telecommunication equipment manufacturer HFCL Limited has clinched a substantial purchase order totaling Rs 141 crore from Bharat Sanchar Nigam Limited (BSNL). This deal is a part of the Advance Purchase Order worth Rs 179 crore issued to HFCL by BSNL.

The purchase order, comprising a capital expenditure (Capex) of Rs 119 crore and an annual maintenance contract (AMC) valued at Rs 22 crore, will see HFCL supply indigenously designed and manufactured Unlicensed Band Radios (UBRs) and other associated services crucial for supporting BSNL's 4G and 5G network requirements. This move marks a significant milestone in India's quest for self-reliance in the telecom sector.

HFCL's UBRs, operating in the 5GHz frequency band with a capacity of 1GBPS, are poised to play a pivotal role in BSNL's network upgrade, providing cost-effective backhauling solutions for its 4G infrastructure while laying the foundation for 5G capabilities. The company's state-of-the-art technology, exemplified by products like the UBR, has garnered acclaim both domestically and globally, with over 3.5 lakh units already deployed across various markets.

Mahendra Nahata, Managing Director of HFCL, said “This significant order cements HFCL's position as a leader in indigenous 4G and 5G technology solutions. It perfectly embodies the ‘self-reliance or aatmanirbharta’ vision articulated by the Prime Minister of India, Narendra Modi. With a strategic ‘Make in India’ approach, our cutting-edge 4G and 5G backhauling solution emphasises capturing opportunities in global markets while aligning with the India Stack initiative. The deployment of these advanced solutions promises higher data transfer rates, low latency and enhanced reliability and performance.”

The scope of work under the purchase order encompasses a range of services, including initial planning, on-site surveys, equipment supply, installation, testing, commissioning, operations, and annual maintenance of microwave links. HFCL's end-to-end solution, complemented by its AI-powered Unified Cloud Network Management System (UcNMS), is designed to offer seamless integration and adaptability to evolving network requirements.

Moreover, this strategic investment by BSNL not only bolsters its network infrastructure but also ensures cost-efficiency by minimising equipment expenses and reducing spectrum usage charges.

The shares of HFCL Ltd rose 2 per cent to an intraday high of Rs 95.85 apiece on the NSE during early trade on Tuesday, February 13.