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Govt puts brake on free Wi-Fi plan after just one service provider shows interest

Due to the lack of competitive bids, the Urban Development Department (UDD) has decided to temporarily suspend the project until more proposals from other players are received.
Last Updated : 17 September 2024, 04:31 IST

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Bengaluru: The initiative to establish 5,000 free Wi-Fi hotspots in Bengaluru has hit a roadblock as only one company has expressed interest in taking up the project.

Due to the lack of competitive bids, the Urban Development Department (UDD) has decided to temporarily suspend the project until more proposals from other players are received.

Earlier this month, UDD Additional Chief Secretary SR Umashankar returned the file to the Bruhat Bengaluru Mahanagara Palike (BBMP) for further action.

"Only one firm, ACT Group, has submitted a proposal to provide free Wi-Fi hotspots," Umashankar explained. "We need to review similar proposals from other telecom and broadband service providers before making a final decision."

Despite multiple meetings over the past year, progress on the project slowed following a leadership change at the UDD in May.

The free Wi-Fi hotspot initiative was first proposed about six years ago by IT&BT Minister Priyank Kharge and was revived last year as part of the state government’s ‘Digital Karnataka’ initiative.

ACT Group, an internet service provider, submitted a proposal offering free Wi-Fi for the first hour, with plans to install around 3,000 poles and display its logo. The company cited its experience with similar projects, including the installation of 4,000 hotspots in Hyderabad and a planned rollout in Chennai. A pilot project was also conducted in Malleswaram in 2019.

While the proposal reportedly comes at no cost to the government, ACT Group has not clarified how it plans to cover the infrastructure and service costs. It is expected that the company would benefit from installing poles on public land, which could help expand its network and customer base across the city.

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Published 17 September 2024, 04:31 IST

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