Every service provider, say analysts, now needs to make a much larger investment, and therefore needs a much larger share of the market to be profitable.
New telecom operators who have been given licences to operate pan-India GSM mobile services are all set to fight a bitter battle with the established GSM players like Bharti Airtel, Vodafone and Idea Cellular.
Idea tops list of companies with high percentage of active subscribers.
Analysts expect structural risks such as risk to voice revenues, steep correction in data realisations, capex spend and rise in churn and subsequent increase in costs to continue in the medium term
The government will have to make substantial payments, as well as forego revenues in FY'23, if it wants to work on the survival of Vodafone Idea because it will have to extend the same incentives to the entire telecom sector. According to estimates, the industry has to spend around Rs 21,000-Rs 25,000 crore for spectrum which it bought on a deferred payment basis. Vodafone Idea has asked for a moratorium for another year (FY23). If granted, the government will have foregone the instalment payout for a third year in a row as it has already provided a moratorium for two years, giving telcos Rs 42,000 crore worth of relief.
One in five stocks from the BSE-500 index has underperformed the market and recorded losses.
Voice calling will be free on Jio phones for life and post December 31, 10 data plans will be offered
Bharti Airtel Chairman and Managing Director Sunil Bharti Mittal, Vodafone Plc CEO Vittorio Colao, Telenor CEO Jon Fredrik Baksaas and Idea Cellular Chairman Kumar Mangalam Birla on Wednesday met ministers and senior government officials to present the industry's concerns over telecom regulator Trai's proposals on the auction of spectrum.
The new platform allows subscribers to be on instant messaging even if they are overseas and roaming in one of the member-operator's service.
Telecoms investor Aditya Birla Nuvo Ltd and retailer Future Group were among the first big names to apply for licenses to run so-called payments banks
The Monopolies and Restrictive Trade Practices Commission has issued notices to mobile operators Bharti Airtel, Idea Cellular and Hutchison on a complaint over downloading of ring tones.
A day after mobile charges were hiked by leading operators, Telecom Minister Kapil Sibal on Thursday said consumers should be offered the lowest call rates. "We want consumers to be offered calls at lowest rates," Sibal told PTI.
In the November auction of second-generation telecom spectrum, Bihar was the only circle to cross the base price
The company wants to woo post-paid customers and rent out its assets to cut debt.
A recent note based on the audit said telecom companies such as Bharti Airtel and Idea Cellular had demanded additional spectrum, based on subscriber-linked criteria for meeting the quality parameters of the Telecom Regulatory Authority of India before the spectrum auction decision was taken.
According to a study, the change in frequency for transmitting mobile signals could cost the telcos over Rs 1 lakh crore (Rs 1 trillion) cumulatively.
Bharti Airtel has sought quashing of the government's September 28 decision directing the service providers to stop providing intra-circle roaming services.
Now, it cannot offer 3G services in pact with other telcos.
According to market sources, Airtel has reduced free minutes by 10 to 25 per cent and has increased price of SPVs in the range of Rs 5 to Rs 15.
The government is likely to get about Rs 24,000 crore from one-time spectrum fee that has been levied on existing operators for holding radiowaves beyond a prescribed limit.
Govt petition separated from others, to be heard in open court on Apr 13
Telcos' m-cap rises Rs 11,286 crore; Bharti, RCom lead.
Telecom Commission says refarm all spectrum in 900-MHz band to 1,800-MHz band operators.
The government has approved mergers between telecom companies with a combined market share of 35 per cent and rejected spectrum-sharing among 3G operators while restricting it for 2G operators.
Firms to pay Rs 24,700 cr if spectrum formula is accepted.
The telecom regulator had suggested imposition of a price on operators for holding spectrum beyond the contracted limit of 6.2MHz.
Leading cellular operators Idea and Hutch on Wednesday launched Enhanced Data for GSM Evolution or EDGE services offering their customers higher speed for Internet connections, downloads and multimedia mobile services like video streaming.\n\n\n\n
Telco moves Delhi High Court against order; Vodafone expected to get notice too
The joint letter to Manmohan Singh was written by Sunil Mittal, chairman of Bharti Airtel, Kumar Mangalam Birla, chairman of the Aditya Birla group which has promoted Idea Cellular, and Vittoria Colao, chairman of Vodafone Group Plc.
DoT has stated in an internal note that the 3G roaming agreements between these three companies are tantamount to their becoming mobile virtual network operators, something not allowed under the current policy.
Historically, public sector units were conceived of under the assumption that they will control the 'commanding heights' of the Indian economy, which were necessary for rapid industrial growth but where private investment was unwilling to enter.
Companies may face significant spectrum fees from the government.
Mobile tariffs are currently under forbearance, which means these are determined by market forces.
Bharti Airtel, Vodafone and Idea Cellular have demanded allocation of a part of CDMA spectrum in 800 Mhz band for GSM services.
On February 2, the court had ordered the cancellation of 122 licences issued in January 2008 under then telecom minister, A Raja, and directed the government to conduct the auction of vacated 2G spectrum in four months.