BSNL huge GSM contract status

Ericsson and Nokia were the lowest bidders among the five vendors shortlisted for the $5bn GSM mobile network expansion contracts. Siemens will be part of Nokia contract, when they merge. Motorola and ZTE were dropped from the process of selection for non-technical compliance. In addition, ITI/ Alcatel have already got a 15m-line order without tender. BSNL will split the contracts for remaining 45.5m GSM lines between two companies, giving 60%to the vendor offering the lowest price per line (seems to be around $108 per line) and the remaining 40% to the second lowest bidder. The lowest price per line will be applied to all suppliers (Ericsson, Nokia and ITI/ Alcatel). Motorola is upset with the BSNL decision and has gone to court to challenge the decision. Ericsson should get orders for about 27m lines for a value of $3bn; Nokia should get orders for about 18m lines. But the process is not yet finalized, and Motorola' s injunction already has led to a question from India' s Prime Minister on clarifications about the bidding process and a "lack of transparency".