NEW DELHI : VideoconTelecom, which sold itsspectrum in six circles toAirtel this year, now plansto offer pan-India mobileservices, including 3G and4G, in the next 6-8 monthsbut as a virtual networkoperator (VNO)."We are in final stageof applying for the VirtualNetwork Operator licenceand expect to file applicationin a week. MVNO roll-outusually is very quick, generallyit should take about 6-8months depending on thenumber of circles," VideoconTelecom CEO Arvind Balisaid.A VNO provides telecomservices like mobile landlineand Internet, but only as aretailer for full-fledged telecomoperators such as BSNLand Airtel.In March, VideoconTelecom sold its 1800 Mhzband spectrum in six circlesfor Rs 4,428 crore to BhartiAirtel. However, it still holds2G spectrum in Punjab."One of the key reasonsfor us to exit the mobile telecomspace earlier was usbeing predominantly a 2Gplayer and hence being technologicallyoutdated. Thetelecom space in India andworldwide is fast adoptingto newer technologies i.E.4G," Bali said.He said that while byupgrading Videocon's networkto a 2.75G EDGENetwork, the company wassomewhat able to competein market against 3G players,but fast shift towards 4Gwould have made it obsoleteand really uncompetitive."The two key factors thatwe feel will be strong for ourcomeback will be us able toprovide 4G/3G data to ourcustomers, which was earliera limitation for us, andhence we never had a levelplaying field with others,"he added."Providing newer generationof technology wouldhave mean lacs of crores ofinvestment in spectrum andinfrastructure, which wewere not prepared for, andhence we decided to exit thespace," Bali said.The company at presenthas pan-India internet serviceprovider licence and alsoprovides 2G mobile servicesin Punjab circle.With VNO licence, itplans to first upgrade mobiledata services in the state andthen expand to other circles."We plan to launch servicesin a phased manner, ourfirst and foremost prioritywill be Punjab where wealready have a 3 million subscribersbase (approx 10 percent market share), followedby Haryana, Gujarat, MPand Delhi," Bali said.Videocon will even offerroaming services to its customers."Since Videocon Telecomhas already been in the telecomspace and has therequired infrastructureincluding billing platform(IN), service delivery platform,VAS platform etc, andto top it all, a team of telecomprofessionals, we feelthat the roll-out period forus would be 3-4 months,"Bali said.He, however, did not disclosename of any operatorthe company plans to partnerwith for the services,saying it is at very initialstage and it will be prematureto mention any name."We are in active discussionswith more than oneTSP (Telecom serviceprovider) for bulk buying ofAirtime & data (incl4G/3G), but given thenature of the deal and businessdynamics, I think at thispoint in time it will not bepossible for us to share thename of the telco(s). Theway MVNO model operatesworldwide, we may havemore than one MVNO partner,"Bali said.The Department ofTelecom (DoT) in Junereleased licence guidelinesfor virtual network operators,opening the doors fornew class of players whichwill act like retailers for telecomservice providers.VNO will use underutilisedtelecom infrastructureof national telecomoperators. This will helpreduce cost of ownership ontelecom companies to providetelecom services atmore affordable rates.For obtaining VNOlicence, companies need topay a one-time non-refundableentry fee for authorisationof each service theywant to provide and foreach service area where theywish to operate. (Agencies)
Back To Top
Post A Comment:
0 comments so far,add yours