RCOM is planning to launch a rural variant of its wireless internet offering, Netconnect, with a tariff benchmark of below Rs 500.

The company will launch the service in a phased manner through its existing network in 400,000 villages and 20,000 small towns.

By February 2009, the service will be available to customers inrural areas in 14 circles. Currently, BSNL is the largest player in the rural internet space with over 50 per cent market share, with private operators accounting for a minuscule share. However, RCOM has ambitious plans to capture about 30 per cent share of the market over the next one year.