Dec

31

RCom Rolls Out GSM Service in 11000 Towns

Filed Under India Business, India Investment Opportunities, Indian Companies, Mobile Telecom, Tier-2 Cities 

In one of the fastest network roll outs to cover one billion people, Reliance Communications (RCom) on has unveiled its nationwide GSM mobile service across 11,000 towns.

The rollout with an investment of Rs 10,000 crore, makes RCom the only national player to offer both CDMA and GSM services to customers.

  • RCom plans to execute both CDMA and GSM through an integrated operation.
  • RCom’s CDMA network spans more than 20,000 towns and 450,000 villages, with around 60 million subscribers.
  • The plan is to double RCom’s GSM coverage from 11,000 towns and three lakh villages to 24,000 towns and six lakh villages over the next few months, involving an incremental capex of a few thousand crore rupees.

Anil Ambani of Reliance ADAG and RCom said:

“In 2003, Reliance changed the landscape of telecom in India. Year 2009 will be no different. The company is targeting 100 million subscribers to use its network. We have done in 15 months what the industry has been trying to do in 15 years. Through the GSM launch, RCom plans to rewrite the rules of the industry in terms of pricing, proposition, value added services.”

  • RCom plans to procure seven million handsets for Rs 3,850 crore. For the first year of GSM operations, RCom has set a target to sell 15-20 million handsets.
  • RCom will use the existing 2,500 retail stores to push its new strategy.

Quick Facts On Indian Mobile Telecom Industry:

  • The Indian mobile handset market is expected to cross 100 million units this year against last years estimated size of 70-75 million units.
  • The GSM market serves 75% of the about 300 million mobile customers in India, and adds approximately nine million users every month.

Comments

Leave a Reply