In yet another move to keep Chinese technologies companies at bay, the Centre has cancelled the 4G upgradation tender for BSNL as it has decided to come up with fresh specifications for the upgrade process, sources said.
The Department of Telecommunictions (DoT) is likely to issue a fresh tender in the next two weeks.
People in the know said that the fresh tender may not allow Chinese companies to participate.
As the border tussle with China escalated last month and around 20 soldiers lost their lives, the government had last month asked both BSNL and MTNL not to use equipment of Chinese makers in their upgrading process to 4G facilities.
Huawei and ZTE are the major Chinese telecom equipment makers working with Indian telcos and they would be the hardest hit by the decision.
The impact may be felt in terms of the much-awaited 5G trials in the country. After much deliberation, the Centre last December decided to allow Huawei to take part in the 5G trials.
The cancellation of tender for BSNL's 4G upgradation comes after the Centre on Monday banned 59 Chinese apps including TikTok, WeChat and UC Browser.
A statement by the Ministry of Electronics and IT said that the decision was taken since "there is credible information that these apps are engaged in activities which are prejudicial to sovereignty and integrity of India, defence of India, security of state and public order".
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