State-run operator Bharat Sanchar Nigam Limited (BSNL) is likely to reduce its 3G data tariffs by at least 50 per cent once the phase VIII of its network expansion is completed. According to the company, BSNL has utilised over 90 per cent of its 3G network capacity and any reduction in data tariffs at present will increase the data traffic and its network may not be able to bear the load. However, once the operator is able to expand its capacity under phase VIII of its expansion plans, BSNL will reduce rates. Under phase VIII, BSNL is planning to integrate its Wi-Fi hotspots in 2,500 cities and towns with 3G technology by end -2016 to increase network capacity.

At present, the operator is working on phase VII of its network expansion plan with an investment of Rs 48 billion and is expected to be completed by June 2015. After that, BSNL will initiate the phase VIII and will start issuing the tender for the phase in April-June 2015.