TCS places Order Worth ₹7,492 crore with Tejas Networks for 4G/5G equipment

Mumbai(India), 16/08/23: Tejas Networks, a Tata Group company that designs and produces wireless networking solutions, announced on Wednesday that it has received a purchase order for equipment worth Rs 7,492 crore from Tata Consultancy Services, another Tata Group company.

Tejas said that it has signed a master contract with TCS for the delivery, support, and annual maintenance of its Radio Access Network (RAN) equipment for BSNL’s pan-India 4G/5G network.

Tejas would supply the equipment for 100,000 sites as part of a purchase order from TCS worth Rs 7,492 crore (about $900 million), excluding GST, to be completed in the calendar years 2023 and 2024.

Tejas Networks CEO and Managing Director Anand Athreya stated, “Our cutting-edge portfolio of baseband and radio products will enable BSNL to roll out a scalable and cost-effective network that meets world-class performance and quality standards. This also furthers our mission to create India’s first global-scale telecom and networking products company with an end-to-end suite of wireless and wireline offerings.”

Tejas Networks CTO Dr. Kumar N. Sivarajan stated that their cutting-edge 4G/5G RAN devices were submitted to rigorous field testing by BSNL for approximately 18 months before being selected for large-scale commercial deployment.

Tejas stated that the transaction has gained the requisite shareholder approvals for the fiscal year ending March 2023.

TCS is a subsidiary of Tata Sons, and Tejas Networks’ ultimate parent company is also Tata Sons, hence they are related parties, and the transaction is a related-party transaction.

The agreement will be effective upon the issuance of TCS’s purchase order and will expire according to the delivery schedule agreed upon by the firms.

Tejas Networks manufactures wireless and wireless networking equipment in over 75 countries for telecommunications service providers, internet service providers, utilities, defence, and government institutions. Panatone Finvest, a subsidiary of Tata Sons, is Tejas’ principal stakeholder and a member of the Tata Group.