State-owned mobile network operator Teletalk began operations on December 26, 2004. It initially attracted millions of subscribers with its domestic branding, lower call rates of BDT 4 per minute compared to BDT 6, and integration with T&T services. However, the situation shifted as service quality declined, business operations slowed, and bureaucracy increased. Over time, Teletalk became a means of political and financial corruption.
Despite ongoing losses, the government invested in Teletalk’s expansion and gave it the privilege of launching 3G and later 5G services as a first in Bangladesh.
Industry insiders say that after two decades, Teletalk has become a nominal mobile network operator. It has turned into a partner in government projects for customer service, funding allocations, and commission sharing involving ministers and bureaucrats.
Over the past decade, Teletalk has signed over 15 agreements with the country’s other three mobile network operators. These include tower sharing with Banglalink, national roaming with Robi, and lifetime data packages with Grameenphone. Yet, operators report that these agreements are rarely implemented, citing the reluctance of telecom ministers and bureaucrats as a primary factor. Teletalk employees also resist supporting these initiatives, often arguing that Teletalk is not in the market for business.
Operators state that if agreements were executed, Teletalk would not need to invest in extensive tower infrastructure, BTS, or hardware. However, government officials prefer establishing Teletalk’s own infrastructure, which necessitates importing hardware and software, an option they favor. Consequently, these agreements remain inactive.
Customer service at Teletalk has also deteriorated. According to BTRC records, between March 2023 and February 2024, around 75 percent of 2,085 complaints received via the BTRC (100 shortcode) call center remain unresolved or pending. Compared to this, a 98 percent resolution rate at private telecom operators is common.
Teletalk’s records reveal that even after two decades, it has failed to ensure 2G coverage nationwide, reaching only 59 percent of areas with 2G, 49 percent with 3G, and just 35 percent with 4G. The operator has also been unable to extend 4G services across all 64 districts in the country.
Due to mounting losses, Teletalk has become a burden for the government as customer numbers decline and service quality standards drop. As of June 30 in the fiscal year 2023-24, Teletalk’s accumulated losses reached BDT 15.16 billion, reflecting a consistent trend of losses since its inception.
Teletalk’s Managing Director Nurul Mabud Chowdhury told Bonik Barta, “There are many reasons behind Teletalk’s lack of profitability, primarily the lack of investment. Competing operators have significant investments, but Teletalk’s total investment is only around BDT 20-30 billion. As a result, we cannot build necessary infrastructure, attract customers, or engage in branding and marketing. This has hindered Teletalk from delivering services nationwide. If we receive investments, we can address these issues.”
Professor Dr. Rezwanul Huque Khan from IBA, University of Dhaka, stated to Bonik Barta, “We need to assess Teletalk’s business viability. Teletalk isn’t market-focused. Being market-focused requires launching new services, offering packages, and considering customer satisfaction. Competing for market share means strategic management, improved service quality, new packages, and affordable options. Only then can new customers be attracted. However, we haven’t seen such efforts from Teletalk.”
On fostering competition in the market, he added, “A profit-oriented mindset is essential. Without it, no company can create a competitive environment. Companies must strive to offer better customer service than competitors, or they risk becoming obsolete, which is precisely what has happened with Teletalk.”
Former Robi CEO Mahtab Uddin Ahmed told Bonik Barta, “Achieving targets in the telecom sector is impossible without massive investments. Furthermore, companies must adapt to multinational competition and operational needs. They also need high-powered intelligence services and data analytics, which Teletalk currently lacks. Without these, Teletalk’s situation will continue to generate only losses.”
He further added, “Who is being hired here? A BTCL official is appointed as MD at Teletalk despite concerns about his previous role. An MD at a multinational company earns millions, while Teletalk’s MD earns BDT 300,000—this discrepancy impacts outcomes. Additionally, government budgets are inconsistent, and fund releases are unpredictable. Teletalk cannot be profitable under these conditions.”
Responding to inquiries, interim government adviser for Post, Telecommunication, and ICT Nahid Islam told Bonik Barta, “Reforms and restructuring efforts are underway at Teletalk, and results will soon be visible. It’s crucial to monitor customer service quality and improve services within our capacity. Since Teletalk’s competitors are multinational firms, we need to reduce internal complexities to compete. We are working on resolving these challenges.”