UP Signs MoU With OneOTT To Boost Village Broadband

The Uttar Pradesh government has entered into a memorandum of understanding (MoU) with OneOTT Intertainment Limited, a subsidiary of the Hinduja Group, for the expansion of broadband connectivity in rural areas under “Project GANGA” (Government Assisted Network for Growth and Advancement).

Through the scheme, more than 20 lakh households will be provided with high-speed broadband access over the span of the next 2-3 years.

The project could lead to the creation of over 100,000 jobs, both direct and indirect, within the state.

OneOTT Intertainment provides broadband services across more than 350 cities and towns, serving over one million retail users through its One Broadband network.

Hinduja Global Solutions Ltd shares ended Monday’s session about 1% lower at ₹348 ahead of the announcement. The stock has declined around 33.7% over the past six months.

What Is Project GANGA?

Project Ganga primarily aims to bridge the broadband connectivity gap in the rural parts and semi-urban parts of Uttar Pradesh.

The programme aims to provide rural households with reliable and affordable internet access.

The project is also likely to encourage the growth of services such as telemedicine, online learning, e-commerce and digital skill training.

It could also open up new income opportunities for rural youth through digital platforms, including online work and content creation.

Project GANGA is planned as a long-term initiative. It aims to bring local entrepreneurs into the network, expand broadband access, and build a skilled workforce to support digital services.

How Will The Programme Be Implemented?

A key component of the project is setting up a network of local digital service providers (DSPs) working at the level of the Nyaya Panchayat. The plan also includes building a network of 8,000 to 10,000 local broadband operators at the Nyaya Panchayat level. About 50% of participation is reserved for women.

These service providers will offer high-speed wired broadband connectivity to both households and business establishments.

Uttar Pradesh Finance and Parliamentary Affairs Minister Suresh Kumar Khanna said the initiative is expected to strengthen the state’s digital backbone while creating more technology-based employment opportunities.

He added that the programme will also encourage digital entrepreneurship among young people in rural areas.

The state government has introduced financial support schemes to help them start technology-driven ventures.

One such scheme, launched in January 2024, allows young entrepreneurs to access loans of up to ₹5 lakh without requiring interest or collateral. Officials said over 1 lakh individuals have already benefited from the programme.

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What Investors Can Expect Next?

Investors might be interested in tracking the speed at which the plan is implemented.

The setting up of broadband infrastructure in rural areas will largely hinge on the collaboration between various government departments and technology providers as well as local service operators.

Other stakeholders in the industry may also keep an eye on the participation of telecom companies, internet service providers and technology firms that can potentially help in the development of the infrastructure.

As rural areas get connected, the demand for digital services, telecom equipment, and broadband networks could steadily rise.

Sources:

ET

CNBC TV18