TCS CEO Emphasizes Nation Building in BSNL Deal

In an interview with Moneycontrol, the CEO of Tata Consultancy Services (TCS), K Krithivasan, expressed that the recent deal with Bharat Sanchar Nigam Limited (BSNL), the state-run telecom operator, is not solely about profit margins but is driven by the objective of "nation building."

Krithivasan highlighted the larger perspective of TCS's involvement in the BSNL deal, stating that they consider themselves an integral part of the nation-building process in India. He emphasized TCS's commitment to programs that are crucial for the country, regardless of the financial gains involved, as long as they are not incurring losses.

Taking over as CEO on June 1, Krithivasan brings over 33 years of experience at TCS, having held leadership roles in various domains such as delivery, customer relationship management, large program management, and sales.

In May, the TCS-led consortium secured an advance purchase order (APO) worth over Rs 15,000 crore from BSNL for the deployment of the highly anticipated fourth-generation (4G) networks.

BSNL anticipates a 20% increase in revenues with the full-fledged commercial launch of its 4G services. In contrast, private telecom operators like Reliance Jio and Bharti Airtel have set their sights on achieving nationwide 5G coverage within a year.

The Union Minister of Communications has expressed the government's commitment to the growth and revival of BSNL, acknowledging its role as an essential market stabilizer. The recent Cabinet approval in June authorized a revival package of Rs 89,047 crore, including the allocation of 4G and 5G spectrum through equity infusion. The increase in BSNL's authorized capital from Rs 1,50,000 crore to Rs 2,10,000 crore is expected to position the company as a stable telecom service provider capable of connecting even the remotest parts of India.