The low scores of the broadband segment are quite expected with the HHI numbers indicating concentration of market power. There are 105 service providers who are currently providing broadband services. However, top ten service providers have captured more than 95% of market and top 5 service providers have about 90% share. State owned companies BSNL and MTNL together have about 70% market share. This indicates that despite having license for provisioning of broadband services, majority of service providers are unable to penetrate into the market and the market is still dominated by few players only.
One of the comments to the survey points out to the anti competitive practices in the BB segment. …“there are some unresolved issues in the implementation of the Broadband Policy, 2004 such as the absence of a level playing field in granting unrestricted internet telephony amongst the Universal Access Service Providers (UASPs), the Cellular mobile Service Providers (CMSPs) and the Internet Service Providers (ISPs). The ISPs have already filed cases under Competition Act against the alleged discrimination by DoT in favour of UASPs and CMSPs and litigation is still on.”