Videsh Sanchar Nigam (VSNL), a Tata group company, today announced that it has received licence to offer international long distance (ILD) voice and data services to the emerging market of Sri Lanka. It acquired the licence for $50,000.

This is the second international venture of the company. It had earlier set up United Telecom, a joint venture with Mahanagar Telephone Nigam, telecom Consultants India and Nepal Ventures Pvt Ltd to offer WLL-based basic services in Nepal.

VSNL announced here today that its wholly owned subsidiary, VSNL Lanka, was granted the external gateway operator licence by the Telecom Regulatory Commission of Sri Lanka. The company intends to tap the 400-million minute ILD market in Sri Lanka.

S K Gupta, managing director, said, "By entering into new markets, we can leverage upon this expertise to grow in the emerging new market and optimise our investments in infrastructure."

VSNL is eyeing the international market to offer ILD as well as voice over internet protocol. In fact, it has opened up a point of presence office in New York, USA.

VSNL has existing relationships with over 85 carriers across the world . It cover 12 gateways, 47 earth stations and five operational submarine cable systems.

It carries in excess of three billion minutes of ILD traffic annually and provides internet service to over 7 lakh customers.