At least 20 companies are in fray to become a franchisee for rolling out WiMax based broadband services by Bharat Sanchar Nigam (BSNL).

Some of the telecom majors like Intel, Motorola, Huawei and Alcatel-Lucent have already expressed interest where as smaller Indian firms such as Aban Informatics, Adina Telecom, Cals Refineries, Wellcom Communications and Digitelco Communications have also queued up.

BSNL had invited bids from prospective franchisee partners on a revenue-sharing basis. The companies which win the contract will use BSNL's spectrum and infrastructure to offer WiMax based broadband services. BSNL has forbidden the foreign companies to directly own the entire franchisee which means companies like Intel and Motorola will have to partner with an Indian entity if they want to participate in this project.

BSNL has outlined $750 million (approx Rs.3,750 crore) for its WiMax roll out. As per the EoIs floated by BSNL, the franchisee will be selected after a two-stage bidding process. The bidder shall submit both techno-commercial and financial bids at the initial stage. BSNL will choose a franchisee for each circle.

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