The main reason we do not have huge bandwidths is beccause of our regulatory environment. Recently the government has decided to allow us huge bandwidth. I think the decison or the formal notice is going to come in sometime around feb 2007.
Reliance, TATAs and Bharati have formed a nice cartel and they are ripping off not only the corporates but also the retail users. Did you know major portion of the submarine cables IN THE WORLD are being controlled by Reliance and TATAs ( FLAG and TYCO deal anyone?
Why grduge them their share of the pie? It was VSNL who played spoil sport all along. When VSNL refused to part with bandwidth, the biggies with sufficeint resources would look abroad to pick up infrastructure cheap, especially as FLAG and TYCO were not really doing very well.