BSNL is the first telecom service provider in India. It is the seventh largest telecom company in the world. It is a PSU with largest market share in land line connection. It is having huge infrastructure, more experienced employees, a lot of public utility services through customer service centers. Its continues loss and shortage in income generating for its future development. Though it has clear cut mission and vision, unable to meet this due to several reason. when BSNL was formed a fixed amount forty thousand crores rupees was their as a fixed /reserve asset with Government of India in cash. By telling several reason like spectrum charge, license fees etc,all this amount were taken back by Government and made BSNL’s reserve fund as nil. It is striving hard to get ahead of its competitors, though they have revamped all their strategies to increase their market share.