statements” by Reliance Communications Ltd (“RCOM”) that are not historical in nature. Consolidate data market leadership with high ARPU 3G services & high speed datacards . ~ Mn wireless subscribers at the end of Sept Reliance Communications. FY FY & FY Journey so far Consolidate data market leadership with high ARPU 3G services & high speed. By Saptarishi Dutta [email protected] May 31, RCom’s wireless ARPU decreased marginally to Rs this quarter, from Rs that it.

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Analysts point out that inRCom was reportedly close to a deal to merge its direct-to-home business with Sun TV in which it would have kept a 26 per cent stake, valued at Rs 1, crore. In just a month, the company lost over 10 million customers.

But, this year, Anil Ambani sold the DTH business and got no cash, with the buyer reliancr only its debt. Business RBI to release new Rs. It added that competition in the Indian wireless market is amongst the highest globally.

Will reconsider support to Raj, MP govts if We have sent you a verification email. Its approach had been equally aggressive with 3G services as well – it had shelled out over Rs 5, crore to buy 3G spectrum in 13 circles, including in expensive Delhi and Mumbai circles. The average revenue per user of mobile operators have declined by up to 24 per cent during the period between and due to increased cost to support customer service, said cpmmunication study.

Not many had expected this to happen so soon; most players thought they would have enough time to restructure and spring back.

What went wrong with RCom, once India’s No 2 telco? – Business

The largest Indian operator has 20 per cent of subscriber market share and the top three operators cumulatively have less than 50 per cent market share, said the report. But others say that with the obvious need for more towers as players move to increase 4G coverage and plan for the upcoming 5G inthe more you held on would have translated into that much higher price. That debt pile would have been okay if the company was also rolling in commensurate revenues and income.


So, what went awry communicatoon the Anil Ambani company?

Login from existing account Facebook Google Email. Its revenue market share, which was under 6 per cent in the second quarter ofslid to less than 4 per cent by the first rreliance of Compared to other emerging markets, the number of wireless network operators in the country far exceeds that of China, Brazil, Russia or Korea, the study said.

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The Indian telecom sector witnessed revenue stagnation in FY and FY due to high intense competition, it said. But its net-to-Ebitda ratio, which signifies loan paying capacity, nearly doubled in the same period. InRCom lost the number two slot to Vodafone, slipped to number four within two years, and further down in when its market share shrunk to less than cmmunication per cent.

Some argue that RCom delayed its monetisation programme, leaving it with little room to fight the battle. This was at a time when the big communicatjon were pumping in Rs 15, or more annually to increase their coverage, as well as to get LTE 4G-ready for taking on Jio.

But competition was turning fierce, with the number of players doubling from seven to 14 as the erstwhile communications minister A Raja issued new licences in The move to the GSM technology, along with attractive tariffs 60 per cent lower than competitionwas rolled out across India in just 12 months.


NewsApp Free Read news as it happens Available on. RCom saw its subscriber market share plunging from 9. To verify, just follow the link in the message. The problem, analysts say, is also that RCom was able to put only a minimal fresh capital expenditure into business in the past three years. RCom was hamstrung by the fact that lenders were worried it might have no choice but to keep costs on a close leash. Refrain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks, name calling or inciting hatred against any community.

What went wrong with RCom, once India’s No 2 telco?

In contrast, other emerging markets have at least 80 per cent of the market share cornered by the top three operators, it added. Share on Facebook Share on Twitter. Let’s work together to keep the conversation civil. It had launched GSM services two year earlier. Read Post a comment. How 2G case impacts telecom sector to this day India’s largest telecom firm reliane soon be born!

For many years, RCom was seen as a leading player in the mobile telecom market.

– Reliance Communications

Featured Today In Travel. They say no one knew that Jio would change the market so fast. When Anil Ambani had got the telecom company as part of the family settlement, it was primarily a CDMA player dealing in a commumication that was slowly losing traction.

With the writing clearly on the wall, RCom in October announced it was closing down its 2G and 3G services.