Competitive analysis

of telecom industry: Tata Services

The Indian telecommunications industry is one of the fastest
growing in the world. The industry has witnessed consistent
growth during the last year on the back of rollout of newer
circles by operators, successful auction of third-generation (3G)
and broadband wireless access (BWA) spectrum, network
rollout in semi-rural areas and increased focus on the value
added services (VAS) market.

According to the Telecom Regulatory Authority of India (TRAI),

the number of telephone subscriber base in the country reached
742.12 million as on October 31, 2010, an increase of 2.61 per
cent from 723.28 million in September 2010. With this the overall
tele-density (telephones per 100 people) has touched 62.51. The
wireless subscriber base has increased to 706.69 million at the
end of October 2010 from 687.71 million in September 2010,
registering a growth of 2.76 per cent.

Meanwhile, Indian Global System of Mobile Communication

(GSM) telecom operators added 17.45 million new subscribers in
November 2010, taking the all-India GSM cellular subscriber
base to 526.18 million, according to the Cellular Operators
AssociMajor Investments

The booming domestic telecom market has been attracting huge

amounts of investment which is likely to accelerate with the
entry of new players and launch of new services. According to
the Department of Industrial Policy and Promotion (DIPP), the
telecommunications sector which includes radio paging, mobile
services and basic telephone services attracted foreign direct
investment (FDI) worth US$ 1,062 million during April-October
2010-11. The cumulative flow of FDI in the sector during April
2000 and October 2010 is US$ 9,993 million.

As per an industry report the telecom industry witnessed merger

and acquisition (M&A) deals worth US$ 16.60 billion during
April-December 2010, which represented 28.26 per cent of the
total valuation of the deals across all the sectors during the
period analysed. There were 10 inbound, outbound and
domestic M&A deals in the telecom sector during the first nine
months of the current fiscal. The biggest M&A deal in the sector
was made by telecommunications service provider Bharti Airtel
through the acquisition of Zain’s African mobile services
operations in 15 countries. The deal involved a transaction of
US$ 10.7 billion. In another deal, Bharti Airtel acquired 100 per
cent stake of Telecom Seychelles Ltd for US$ 62 million.

Other major M&A deals included the acquisition of 95 per cent

stake in Infotel Broadband for US$ 1,032.26 million by Reliance
Industries and 26 per cent stake of US-based mobile chipmaker
Qualcomm’s Indian arm for US$ 57.72 million by India's Tulip
Telecom and Global Holding. Further, India-based GTL
Infrastructure Ltd has bought 17,500 telecom towers of Aircel
Ltd. for US$ 1,702.95 million.

Going Global

In March 2010, Bharti Airtel bought the African operations of

Kuwait-based Zain Telecom for US$ 10.7 billion, driving the
Indian player into the league of top ten telecom players globally.

The Reserve Bank of India (RBI) has liberalised the investment

norms for Indian telecom companies by allowing them to invest
in international submarine cable consortia through the
automatic route. In April 2010, RBI issued a notification stating
"As a measure of further liberalisation, it has now been
decided... to allow Indian companies to participate in a
consortium with other international operators to construct and
maintain submarine cable systems on co-ownership basis under
the automatic route." The notification further added,
"Accordingly, banks may allow remittances by Indian companies
for overseas direct investment."

Tele-medicine

With increase in cell phone users to around 700 million and

introduction of 3G services soon in the country, remote
treatment and diagnosis of patients through mobile phones
would become a reality in the near future. In fact, a few telecom
operators and value-added service developers are planning to
use mobile phones for diagnostic and treatment support, remote
disease monitoring, health awareness and communication.

The Gujarat health department plans to connect all villages

through its telemedicine network. The state government has so
far expanded the reach of telemedicine services from 53 villages
in 2008 to 453, and hopes to cross 500 villages soon. Jay
Narayan Vyas, state health minister, said "First thing we plan to
do is to start the 104 service over the phone. People can call up
and talk to paramedics in call centers who can suggest the
primary action to be taken in case of any health emergency.
Also, they would be able to suggest generic and over the
counter drugs."

The GSM subscriber base stood at 508.72 million at the end of

October 2010. At 110.01 million connections ' Indian Telecom
Industry' is the fifth largest and fastest growing in the world. The
subscriber base has grown by 40% in 2005 and is expected to reach 250
million in 2007.

Over the last 3 years, two out of every three new telephone connections
were wireless. Consequently, wireless now accounts for 54.6% of the
total telephone subscriber base, as compared to only 40% in 2003.
Wireless subscriber growth is expected to grow at 2.5 million new
subscribers every month in 2007. The wireless subscriber base
skyrocketed from 33.69 million in 2004 to 62.57 million in FY 2004
-2005. The wireless technologies currently in use ' Indian Telecom
Industry ' are Global System for Mobile Communications (GSM) and
Code Division Multiple Access (CDMA). There are primarily 9 GSM
and 5 CDMA operators providing mobile services in 19
telecommunication circles and 4 metro cities, covering more than 2000
towns across the country. And the numbers are still growing for '
Indian Telecom Industry '. ' Telecom Industry in India ' is regulated by
'Telecom Regulatory Authority of India' (TRAI). It has earned good
reputation for transparency and competence. Three types of players
exists in ' Telecom Industry India ' community -

• State owned companies like - BSNL and MTNL.

 • Private Indian owned companies like - Reliance Infocomm and
Tata Teleservices.
• Foreign invested companies like - Hutchison-Essar, Bharti Tele-
Ventures, Escotel, Idea Cellular, BPL Mobile, Spice
Communications etc.

The ' Indian Telecom Industry ' services is not confined to basic
telephone but it also extends to internet, broadband (both wireless and
fixed), cable TV, SMS, IPTV, soft switches etc. The bottlenecks for '
Indian Telecom Industry ' are:

• Slow reform process.

• Low penetration. Service providers bears huge initial cost to make
inroads and achieving break-even is difficult.
• Huge initial investments.
• Limited spectrum availability and interconnection charges
between the private and state operators.

The Government Broadband Policy 2004, aims at 9 million broadband

connections and 18 million internet connections in 2007. ' Indian
Telecom Industry ' is currently expected to contribute nearly 1% to
India's GDP which is heartening and estimated to grow further and
brighten the ' Scenario of Indian Telecom Industry.

Tata Teleservices Limited (TTSL) (BSE: 532371) is a subsidiary of the

Tata Group headquartered in Navi Mumbai, an Indian conglomerate. It
operates under the brand name Tata Indicom in various telecom circles
of India. In Nov 2008, Japanese telecom giant NTT Docomo picked up a
26 per cent equity stake in Tata Teleservices for about Rs 13,070 crore
($2.7 billion) or an enterprise value of Rs 50,269 crore ($10.38 billion).[1]
In Feb 2008, TTSL announced that it would provide CDMA mobile
services targeted towards the youth, in association with the Virgin
Group on a Franchisee model basis.

Tata Teleservices Provides mobile services under 3 Brand names:

• Tata Indicom (CDMA Mobile operator)

• Tata DoCoMo (GSM Mobile operator)
• Virgin Mobile (CDMA Mobile operator)
• Virgin Mobile (GSM Mobile operator)
 •

Company Background:

Tata Teleservices is part of the Tata Group.

Tata Teleservices spearheads the Group’s presence in the telecom
sector. Incorporated in 1996, Tata Teleservices was the first to launch
CDMA mobile services in India with the Andhra Pradesh circle.

The company acquired Hughes Telecom (India) Limited [now renamed

Tata Teleservices (Maharashtra) Limited] in December 2002. With a
total Investment of Rs 19,924 Crore, Tata Teleservices has created a
Pan India presence spread across 20 circles that includes Andhra
Pradesh, Chennai, Gujarat, J & K, Karnataka, Delhi, Maharashtra,
Mumbai, North East, Tamil Nadu, Orissa, Bihar, Rajasthan, Punjab,
Haryana, Himachal Pradesh, Uttar Pradesh (E), Uttar Pradesh (W),
Kerala, Kolkata, Madhya Pradesh and West Bengal.
Having pioneered the CDMA 3G1x technology platform in India, Tata
Teleservices has established 3G ready telecom infrastructure. It
partnered with Motorola, Ericsson, Lucent,Zte and ECI Telecom for
the deployment of its telecom network.

The company is the market leader in the fixed wireless telephony

market with a total customer base of over 3.8 million.

Tata Teleservices’ bouquet of telephony services includes Mobile

services, Wireless Desktop Phones, Public Booth Telephony and
Wireline services. Other services include value added services like voice
portal, roaming, post-paid Internet services, 3-way conferencing, group
calling, Wi-Fi Internet, USB Modem, data cards, calling card services
and enterprise services. Some of the other products launched by the
company include prepaid wireless desktop phones, public phone booths,
new mobile handsets and new voice & data services such as BREW
games, Voice Portal, picture messaging, polyphonic ring tones,
interactive applications like news, cricket, astrology, etc.

In collaboration with Tata Business Support Solutions, Tata

Teleservices Ltd provided its expertise and infrastructure to provide
call center and toll-free number facilities for the after-sales services of
Tata Swach, a water purifier developed by Tata Chemicals.

Tata Indicom "Non Stop Mobile" allows pre-paid cellular customers to

receive free incoming calls.

Tata Teleservices Limited along with Tata Teleservices (Maharashtra)

Limited have a subscriber base of 36 million customers (as of April
2009) in more than 5,000 towns. Tata Teleservices has also acquired
GSM licenses for specific circles in India.

Tata Telelservices is an unlisted entity. Tata Group and group firms

own the majority of the company, NTT docomo holds 26% while
investor C. Sivasankaran holds 8%.[2]

Senior management

The Board of Directors for TTSL includes Tata Sons Chairman Ratan
Tata, while the company is currently headed by its Managing Director,
Mr. Anil Kumar Sardana.
Market data

Tata Indicom in April 2009, crossed the 35 million subscribers mark in

the wireless category with an overall subscriber base of over 36 million.

Tata Teleservices is no. 2 slot in terms of Market Share in Delhi NCR

region with a subscriber base of 5 million.

Network

Tata Teleservices operates primarily on the CDMA network. Tata

Indicom’s enterprise solutions work on the CDMA 3G-1X technology.

The total tower strength of Tata Indicom is currently at 18,500 towers

nationwide.

Business areas

Tata Teleservices offers multiple tariff plans in both the Post-paid and
Pre-Paid category. It also offers Mobile Value Added Services to
subscribers.

Branding

The Tata Indicom brand is endorsed by bollywood actress Kajol &

cricketers Irfan Pathan and Yousuf Pathan.

Tata Teleservices has recently launched the Virgin Mobile Brand to

target the youth segment.

Rural Telephony

TTSL also maintains a distribution network across villages , where in

people are appointed and trained by TTSL – who visit villages on a
bicycle or a two-wheeler at defined times on defined days of the week,
selling recharge vouchers and servicing equipment; each runner covers
between 200 to 300 customers.

The company joined hands with Tata Chemicals, Tata Kisaan Sansar
network, disseminating information through these centres and using
them as local distributors.
Retail

The company's retail business has around 3,000 outlets nationally,

comprising 600 TTSL owned stores and around 2,500 stores in the
Franchisee format. Tata Indicom already covers the top 700 towns in
India in terms of population through Tata Indicom Exclusive Stores.

Tata Indicom also maintains an online portal for its customers i-choose
where the customers can buy Tata Indicom post-paid connections and
prepaid recharge vouchers with an upfront commitment of activation
and delivery of the handset within 72 hours.

Value added services

Tata Teleservices, in October 2007 launched Tata Zone, an

infotainment portal on Tata Indicom BREW-enabled mobile phones, in
Hindi. This service has applications, pricing details, downloads and
browsing instructions in Hindi. The rationale behind this was simple: -
66% of all Indians speak Hindi, while less than 5% understand English.

Under its VAS bouquet, TTSL offers services such as News, Games,
Faith and Prayers, Ringtones, Streaming TV, Fun Shows, Video Zone,
Song Download Express, Cricket, Internet Surfing, Astrology, and
Mobile Office among others.

Tata Indicom plans to provide m-commerce, mobile advertising and

social networking under its VAS offerings.

The telecom services sector in India is on the ascendant. Subscriber

numbers are expected to more than double in the period 2001-06, from
35 million in March 2001 to about 85 million in 2006. India will mirror
the global trend of very high growth rates in mobile vis-à-vis fixed (40
per cent CAGR in mobile vs 16 per cent in fixed). However, fixed line
teledensity in India being very low at 4 per cent absolute growth in fixed
lines will lead additions in mobile subscribers over the next 10 years.

In spite of the high projected growth, teledensity in 2010 will be 11.5 per
cent, falling short of NTP99 targets of 15 per cent. Revenues would
grow, albeit much slowly, in the light of significant reductions in tariffs.
By 2006, telecom services is expected to be a Rs 66,000-crore sector,
contributing 5.4 per cent to India's GDP.
Several parts of the sector are being liberalised. Unlimited entry of new
players has been allowed in Basic, NLD, ILD, ISP and Infrastructure
businesses. ILD and Internet telephony are the latest in the deregulation
agenda, with the former being opened up in April 2002, and the
guidelines for the latter expected to be announced soon.

However, there are still uncertainties about how regulation would shape
up. Customer choice mechanisms and interconnect terms for long
distances services are yet to be finalised. The dispute regarding limited
mobility has not yet been resolved. These will result in changes in
tariffs, market share and revenue share of access and NLD/ILD players,
thereby impacting the strategies and plans of various players.

Three to four leading private players are likely to emerge as competition

to the incumbents, BSNL and MTNL, which have significant presence
across the value chain. The Tata group, Reliance Infocom and Bharti
Televentures have announced plans of being integrated telecom
companies offering end-to-end services to customers. Hutchison on the
other hand appears to be focused on cellular services, with no stated
intention of entering other businesses.

These are interesting times for the Tata Group - emerging as the largest
private sector telecom player with a significant presence across the
telecom value chain. The acquisition of VSNL is the latest in a series of
moves that the group has taken - gradually and quietly - to expand its
range of coverage and services.

The Tatas were one of the earliest (private sector) entrants into telecom
services: In 1995, Tata Cellular (TCL) won the license to offer mobile
services in Andhra Pradesh; followed by Tata Teleservices (TTSL)
which successfully bid for the basic license in AP in 1997. Tata Power
was also the first to light up a broadband network in India, using
DWDM technology in the Mumbai metro network.

TCL later merged with Birla AT&T to expand market coverage to four
circles. Birla Tata AT&T (BTAL) proposes to further merge with BPL
Mobile, thus forming the largest cellular services company in India with
nearly 1.4 million subscribers. TTSL, which recently crossed the 1-lakh
subscriber-mark in AP, has signed up licenses to rollout basic services
in four new high potential circles in Delhi, Tamil Nadu, Karnataka and
Gujarat).

The VSNL acquisition catapults the Tata group into a leading position
among private Indian telecom players. With a 100-per cent share in the
lucrative ILD business, a leading share in Internet services and a
favourable NLD license, VSNL perfectly fits in with the group's plans of
providing integrated telecom solutions. The Tata-VSNL team embarks
on its next challenge - ensuring a smooth transition at VSNL and
integrating business plans for ILD, NLD and Internet/date services - to
enhance value for its stakeholders: customers and shareholders.

The Tata group aims to be a market leader in the telecom services

space. The strategic intent is to capture a sizable share of customers and
end users; customer ownership will be leveraged to anchor the group's
other telecom offerings. The group will focus on providing an
appropriate mix of fixed/wireless and voice/data services to customers
in select high potential areas. The Tatas will compete on superior
product quality, customer care an innovative bundling of services.
Infrastructure is being built on selective routes; lease/swap options are
being explored elsewhere. The Tata group recognises that the strategy
while being robust has to remain flexible to respond speedily to
developments in customer behaviour, competition, technology,
regulation and M&A opportunities.

Tata Telecom and Reliance India are two of the well known
mobile service providers with CDMA technology. In the week
behind, Reliance launched the GSM services. Meanwhile, this
second largest CDMA mobile operator, TTSL (Tata Telecom
Service Limited) announces the same today.

Anil Sardana, Managing director, Tata Telecom declares “We

have already got spectrum (2G) for most of the circles and will
roll out the GSM services soon. We have got spectrum in 13
circles in one or two months. We expect to get spectrum in all
the circles barring one or two. We have already placed orders for
equipment with Nokia Siemens Network and Huawei for core
network and NEC for transmission network. Considering the
time when we got spectrum, we are rolling out our services and
hope to be in all the circles for our GSM services by the end of
2009. We are targeting a customer base of 35 million plus by
March ’09 and 100 million by 2011. By then, we expect to have 55
million new users on our upcoming GSM platform”

TTSL in its GSM service would target new subscribers.

Stressing that its focus on the CDMA services would continue,
he said that the government decision to transfer subscribers
from one technology to the other, without changing the mobile
number under intra-operator number portability, would
encourage subscribers figure manipulation.

Tata Teleservices has said it will invest Rs 8,000 crore over the
next 24 months to expand its telecom networks.Of this, about Rs
6,000 crore would go in building a pan-India GSM network, while
the remaining Rs 2,000 crore would be used to strengthen its
existing CDMA networks.

And the company is also planning to launch Blackberry

handsets by september ’09!. Tatas are known for their steady
growth and with that hope and century-long trust, if you are that
TTSL customer, this news is one of its kind to make you feel
proud!
Tata Teleservices Limited spearheads the Tata Group’s
presence in the telecom sector. The Tata Group includes over 90
companies, over 350,000 employees worldwide and more than
3.5 million shareholders.
Incorporated in 1996, Tata Teleservices is the pioneer of the
CDMA 1x technology platform in India. It has embarked on a
growth path since the acquisition of Hughes Tele.com (India) Ltd
[renamed Tata Teleservices (Maharashtra) Limited] by the Tata
Group in 2002. It launched mobile operations in January 2005
under the brand name Tata Indicom and today enjoys a pan-
India presence through existing operations in all of India’s 22
telecom Circles. The company is also the market leader in the
fixed wireless telephony market. The company’s network has
been rated as the ‘Least Congested’ in India for six consecutive
quarters by the Telecom Regulatory Authority of India through
independent surveys.
Tata Teleservices Limited has also become the first Indian
private telecom operator to launch 3G services in India under
the brand name Tata DOCOMO, with its recent launch in all the
nine telecom Circles where it bagged the 3G license. In
association with its partner NTT DOCOMO, the Company finds
itself favorably positioned to leverage this first-mover
advantage. With 3G, Tata DOCOMO stands to redefine the very
face of telecoms in India. Tokyo-based NTT DOCOMO is one of
the world’s leading mobile operators—in Japan, the company is
the clear market leader, used by nearly 55 per cent of the
country’s mobile phone users.
Tata Teleservices Limited also has a significant presence in the
GSM space, through its joint venture with NTT DOCOMO of
Japan, and offers differentiated products and services under the
Tata DOCOMO brand name. Tata DOCOMO arises out of the Tata
Group’s strategic alliance with Japanese telecom major NTT
DOCOMO in November 2008. Tata DOCOMO has received a pan-
India license to operate GSM telecom services—and has also
been allotted spectrum in 18 telecom Circles. The company has
rolled out GSM services in all of these 18 telecom Circles in the
quick span of just over a year.
Tata DOCOMO marks a significant milestone in the Indian
telecom landscape, and has already redefined the very face of
telecoms in India, being the first to pioneer the per-second tariff
option—part of its ‘Pay for What You Use’ pricing paradigm.
Tokyo-based NTT DOCOMO is one of the world’s leading mobile
operators—in the Japanese market, the company is the clear
market leader, used by over 50 per cent of the country’s mobile
phone users.
The Tata Teleservices Limited bouquet comprises four other
brands as well—Virgin Mobile, Walky (which is the brand for
fixed wireless phones), the Photon family (the company’s brand
that provides a variety of options for wireless mobile broadband
access, and T24. TTSL recently entered into a strategic
partnership agreement with Indian retail giant Future Group to
offer mobile telephony services under a new brand name—T24—
on the GSM platform. The exciting new brand was unveiled in
February and the company announced the commercial launch of
GSM operations under the brand name T24 in June, starting with
the city of Hyderabad. It has now launched T24 GSM services in
Kolkata and Bhubaneswar as well.
Today, Tata Teleservices Ltd, along with Tata Teleservices
(Maharashtra) Ltd, serves over 84 million customers in more
than 450,000 towns and villages across the country, with a
bouquet of telephony services encompassing Mobile Services,
Wireless Desktop Phones, Public Booth Telephony and Wireline
Services.
In December 2008, Tata Teleservices announced a unique
reverse equity swap strategic agreement between its telecom
tower subsidiary, Wireless TT Info-Services Limited, and Quippo
Telecom Infrastructure Limited—with the combined entity
kicking off operations with 18,000 towers, thereby becoming the
largest independent entity in this space—and with the highest
tenancy ratios in the industry. Today, the combined entity—
which has been re-christened as VIOM Networks—has a
portfolio of nearly 45,000 towers.
TTSL’s bouquet of telephony services includes mobile services,
wireless desktop phones, public booth telephony, wireline
services and enterprise solutions.

Mumbai, January 11, 2011 – Tata Communications, a leading provider

of a new world of communications, today announces that it has reached
a definitive agreement to acquire BitGravity, an award winning content
delivery network (CDN). BitGravity’s network and products accelerate
the delivery of media assets to end-users and enables scalable, real-time
video communications over the Internet. Upon successful completion of
the transaction, Tata Communications (Netherlands) B.V. will own 100
percent BitGravity, Inc., which will operate as a wholly-owned
subsidiary of Tata Communications. Terms of the transaction are not
being disclosed.

In 2008, Tata Communications entered into a strategic alliance with

BitGravity that included the licensing BitGravity’s CDN technology and
the federation of BitGravity’s and Tata Communications’ delivery
networks. The company also made a strategic investment of $11.5mn in
BitGravity. The alliance enabled Tata Communications’ to enter the
market with its own global CDN in 2008 and has resulted in successful
traction with high profile media, content and gaming companies in
Europe, Asia and India such as NDTV, IAH Games, Quick Heal
Technologies and Nimbus Communications.

“Two years ago, we made an investment in BitGravity to provide

content delivery services for Tata Communications” said Genius Wong,
Senior Vice President, Global Network Services, Tata Communications.
“With the success we’ve seen in the marketplace and our ownership of
BitGravity, we can now fully invest in the potential that exists around
the globe and accelerate the delivery of new features and services to our
customers”.

“Tata Communications bet on BitGravity’s vision and people to provide

innovative video services. We are ecstatic that this will be a positive
outcome for all the stakeholders; we are equally excited about what this
means for BitGravity and its products going forward,” said Perry Wu,
CEO and co-founder of BitGravity. “As a combined entity, we can
propel our position in the market, and the opportunity to accelerate our
vision on a significantly larger scale was one we couldn’t pass up.”

BitGravity, a privately held company located in Burlingame, California,

was founded in mid-2006 and launched its services in 2008. The
company’s innovative services made inroads with major media and
Internet companies and has received numerous accolades including
RedHerring 100, OnHollywood 100, DemoGod, and LightReading’s
Service Company of the year. BitGravity initially raised a total of
$13.5mn in two rounds of funding from angels and from Tata
Communications.

About Tata Communications

Tata Communications is a leading global provider of a new world of

communications. With a leadership position in emerging markets, Tata
Communications leverages its advanced solutions capabilities and
domain expertise across its global and pan-India network to deliver
managed solutions to multi-national enterprises, service providers and
Indian consumers.
The Tata Communications Global Network includes one of the most
advanced and largest submarine cable networks, a Tier-1 IP network,
with connectivity to more than 200 countries across 400 PoPs, and
nearly 1 million square feet of data center and collocation space
worldwide.

Tata Communications’ depth and breadth of reach in emerging

markets includes leadership in Indian enterprise data services,
leadership in global international voice, and strategic investments in
operators in South Africa (Neotel), Sri Lanka (Tata Communications
Lanka Limited), Nepal (United Telecom Limited).

TATA is a rapidly growing business group based in India with

significant international operations. The TATA name is a unique

asset representing leadership with trust. TATA Teleservices

spearheads the Group’s presence in the telecom sector.

Incorporated in 1996, TATA Teleservices was the first to launch

CDMA mobile services in India with the Andhra Pradesh circle.

TATA Teleservices has established a robust and reliable 3G

ready telecom infrastructure that ensures quality in its services.

Customer satisfaction in telecommunications will reflect the
service delivery process as experienced by customers. The
interaction between customers and the delivery system is
effected via alternative contact points; each one of them will be
investigated for its impact on the overall customer satisfaction.
That is, the service delivery system can be decomposed into
alternative customer contact points that shape customers'
overall judgment about the organization. Merger synergies

Given the substantial amount of excess capital available in the

sector and in private equity we expect to see additional merger

and acquisition activity, albeit at a slower pace than recently

witnessed. Global telecom M&A deals over the past two years

have reflected market expansion but have also had a positive

effect on the buyers’ balance sheets. Partnering companies have

begun realizing their synergies through cost reductions and

economies of scale. In the US, the largest three companies now

account for over 70% of the sector market cap; this compares to

34% in 1990. Trends in bundled services are also paving the way

for additional M&A activity. Sector consolidation will further

increase the importance of stock selection.

Growth

While cost-cutting has been a major source of earnings growth,

we have seen top-line pressures decreasing which will help

revenues become a larger driver of earnings growth again. We

see growth within the sector coming from a number of areas

including: broadband, 3G (third generation) technology,

expansion in emerging markets. Broadband penetration has

been accelerating as internet customers are seeking faster

downloads for audio and video files. 3G services, which

facilitate the simultaneous transfer of both voice and non-voice

(i.e. video, downloads, SMS, etc.) data are providing mobile

users with a much more robust communication platform and

should finally begin to realize their growth potential in 2007.

Emerging market companies benefit from low penetration rates

and also tend to have lower leverage, higher margins and higher

growth than most developed markets telecom companies. Going

forward, the Group is focusing on new technologies and

innovation to drive its business in India and internationally. The

Nano car is one example, as is the Eka supercomputer

(developed by another TATA company), which in 2008 is ranked

the world.s fourth fastest. The Group aims to build a series of

world class, world scale businesses in select sectors. Anchored

in India and wedded to its traditional values and strong ethics,

the Group is building a multinational business which will achieve

growth through excellence and innovation, while balancing the

interests of its shareholders, its employees and wider society.

CORE VALUES OF TATA
Purpose

At the TATA Group “ our purpose is to improve the quality of life

of the communities we serve. We do this through leadership in

sectors of national economic significance, to which the Group

brings a unique set of capabilities. This requires us to grow

aggressively in focused areas of business. Our heritage of

returning to society what we earn evokes trust among

consumers, employees, shareholders and the community. This

heritage is being continuously enriched by the formalization of

the high standards of behaviour expected from employees and

companies”. The TATA name is a unique asset representing

leadership with trust. Leveraging this asset to enhance Group

synergy and becoming globally competitive is the route to

sustained growth and long-term success.

FIVE CORE VALUES

The TATA Group has always sought to be a value-driven

organization. These values continue to direct the Group’s

growth and businesses. The five core TATA values underpinning

the way we do business are:

Integrity: We must conduct our business fairly, with

honesty and transparency. Everything
we do must stand the test of public scrutiny.

Understanding: We must be caring, show respect,

compassion and humanity for our
colleagues and customers around the world, and
always work for the benefit of the
communities we serve.

Excellence: We must constantly strive to achieve the

highest possible standards in our day-
to-day work and in the quality of the goods and
services we provide.

Unity: We must work cohesively with our colleagues

across the Group and with our
customers and partners around the world, building
strong relationships based on tolerance,
understanding and mutual cooperation.

Responsibility: We must continue to be responsible,

sensitive to the countries, communities
and environments in which we work, always ensuring
that what comes from the people goes
back to the people many times over.

TATA Teleservices bouquet of telephony services includes

Mobile services, Wireless Desktop Phones, Public Booth

Telephony and Wireline services. Other services include value

added services like voice portal, roaming, post-paid Internet

services, 3-way conferencing, group calling, Wi-Fi Internet, USB

Modem, data cards, calling card services and enterprise

services.

Some of the other products launched by the company include

prepaid wireless desktop phones, public phone booths, new

mobile handsets and new voice & data services such as BREW

games, Voice Portal, picture messaging, polyphonic ring tones,

interactive applications like news, cricket, astrology, etc.

TATA Indicom redefined the existing prepaid mobile market in

India, by unveiling their offering . TATA Indicom.Non Stop

Mobile. which allows customers to receive free incoming calls.

TATA Teleservices today has India.s largest branded telecom

retail chain and is the first service provider in the country to

offer an online channel Http://www.ichoose.in to offer postpaid

mobile connections in the country.

TATA Teleservices has a strong workforce of 6000. In addition,

TTSL has created more than 20,000 jobs, which will include

10,000 indirect jobs through outsourcing of its manpower needs.

Tata Teleservices Maharashtra Limited (TTML) spearheads the
Tata group's presence in the telephony sector in the telecom
circles of Maharashtra and Goa including Mumbai.

TTML commenced landline operations in 1998 and today has the

largest wireline base in Mumbai and Maharashtra amongst all
private operators, with over 600,000 subscribers, and with over
50% market share. It commenced full mobility wireless services
on the CDMA-1X platform in 2004-5, and has over 11 million
wireless subscribers today, with over 16.9% market share. It is
also a market leader in wireless data cards, with its pioneering
Plug2Surf 1-X data cards and its recent launch of mobile
broadband services with Photon+.
TTML’s network has been rated as the only congestion-free
network across Maharashtra and Mumbai in 5 consecutive
reports issued by the Telecom Regulatory Authority of India
(TRAI). TTML has also recently been rated the No.1 wireless
telecom service provider in terms of overall customer
satisfaction across Mumbai and Maharashtra in independent
studies commissioned by the Telecom Regulatory Authority of
India.
The Company has been responsible for a number of innovations
over the years, including its market introductions last year of 1
GB memory USB wireless modems, the world’s first CDMA
AM/FM Radio Phone, the Ganesha-motif Sumukha phone, the
launch of the Novatium sub-$100 PC in Mumbai, and, for the first
time, a 100 Mbps to the home ethernet-based broadband service
called Power Launcher.
Leveraging its high quality buried fibre Next Generation Network
extending over 1600 kms in Mumbai, TTML recently announced
its vision for Digital MumbaiTM – broadband anytime, anywhere,
in Mumbai city.
The Company has recently rolled out its GSM services under the
brand name TATA DOCOMO in Mumbai, Maharashtra and Goa.
With a full portfolio of products and services for different
categories of retail and enterprise consumers, and an excellent
network backed by good customer care, TTML is well positioned
to lead the market in the years ahead. The Company is listed on
the BSE and the NSE, and has over 500,000 shareholders. Its
revenue for the fiscal 2008-9 was in excess of Rs. 2000 crores
with an EBIDTA of around 29%.

TATA Business Excellence Model

Tata Business Excellence Model is a framework which helps

companies to achieve excellence in their business performance.
This is the chosen model by the TATA group to help in building
globally competitive organizations across TATA Group
companies. TBEM is based on the Malcolm Balridge National
Quality Award Model of the U.S.

The Criteria have three important roles in strengthening

competitiveness:
• To help improve organizational performance practices,
capabilities, and results
• To facilitate communication and sharing of best practices
information among all organisations within TATA Group.
• To help in guiding organizational planning and
opportunities for learning

TBEM Criteria is designed to help organizations use an

integrated approach to organisational performance
management that results in
• Delivery of ever-improving value to customers and
stakeholders, contributing to organizational sustainability
• Improvement of overall organisational effectiveness and
capabilities
• Organisational and personal learning

The Criteria are built on the following set of 11 Interrelated Core

Values and Concepts:
• Visionary Leadership
• Customer-driven Excellence
• Organisational and Personal Learning
• Valuing Employees and Partners
• Agility
• Focus on the Future
• Managing for Innovation
• Management by Fact
• Social Responsibility
• Focus on Results and Creating Value
• Systems Perspective
The Core Values and Concepts are embodied in seven
Categories, as follows:
• Leadership
• Strategic Planning
• Customer and Market Focus
• Measurement, Analysis, and Knowledge Management
• Work force Focus
• Process Management
• Business Results
The TBEM criteria are the operational details of the Core Values,
applied to the different facets of a Business organisation.
The 7 Criteria Categories are divided into 18 items and 32 Areas
to Address
The TBEM framework has the following characteristics
• Focus on Business results
• Non-prescriptive and Adaptable
• Maintains System Perspective
• Supports Goal based diagnosis
TBEM instills a process centric approach in an organisation as a
means to achieve the chosen Business Goals
Tata Teleservices Limited as a part of the TATA Group has
adopted the TATA Business Excellence model as an intricate
part of its operation structure and uses it to grow from strength
to strength, keeping Operational excellence and Business
results in focus.

Corporate Sustainability

Working for the disadvantaged sections of the society is a way

of life at the Tata Group. As Mr JRD Tata believed, “society is an
important stakeholder in the development of any organization”.
Social Responsibility has been central to the core values of the
Tata group for over a century now—and Tata companies have
not only been proactive on compliance with regulatory
requirements, but have also had a farsighted vision in ensuring
sustainability of business processes; restoration of biodiversity;
and conserving wildlife where possible.
Keeping in tune with the changing business, environmental and
social scenarios, the Tata Group has adopted the term
‘Corporate sustainability’ instead of Corporate Social
Responsibility. Sustainable livelihoods are the demand of all
social initiatives in the Group. Tata Teleservices Ltd is a
responsible corporate citizen, and strives to give back to the
community it operates in. The main objective behind the CS
initiatives of TTSL is to use telecom to impact the life of the
underprivileged sections of society. The company endeavours
to make a positive contribution to the community by supporting
a wide range of socio-economic, educational and health
initiatives. Keeping in mind the Tata Group guidelines and the
objective mentioned above, we have identified and implemented
many CS initiatives since 2006-end.
Toward the end of 2008, with the then new TTSL Corporate
Sustainability team having come on board, Tata Teleservices
Limited began the process of joining the select few Tata Group
companies that had put together their CS Big Picture. Under the
guidance of the Tata Council for Community Initiatives, TTSL
began work on this, and the ‘Big Picture’ was put together in
mid-2008. Under the TTSL Big Picture (see image below),
Education and Environment were identified as the two primary
pillars for CS@TTSL, with all projects and activities stemming
from there.
That having been said, it was also decided that rather than put a
stop to all the good work that many of TTSL’s 20 Circle offices
were doing (but which were not aligned to the Big Picture), the
CS team would let these carry on for the cause of continuity in
the target communities, slowly bringing them under the pillars
identified—the process of Big Picture Alignment at TTSL, thus,
began.

Tata Photon : Leaders in USB Modem and Wireless Internet

Modems in India.

STAY CONNECTED WHEREVER YOU ARE

Now, stay connected to the internet from the comfort of your

homes, offices, or wherever you are with Tata Indicom.
Presenting Vdata Card & Tata Photon Whiz (USB Modem), 2
innovative solutions that function as a wireless network
connection, a mobile phone and a modem. All in one and that
too, with attractive tariff plans. Tata Indicom introduces its
High-Speed Internet Access called Tata Photon plus,
which is a new Broadband wireless service for the
business users and technology enthusiasts across
India. Tata Photon is basically an improved name of
Evolution Data Optimized (EVDO). At present this
service is available in the limited cities and in addition
to this it is reliant on the service signals of Proton+
whether or not are accessible in your region. Tata
Photon is Tata Indicom’s Wireless Broadband facility,
which offers great Internet wireless connectivity
solutions.

Features of Tata Photon+

• It is very convenient to handle

• Quick installation and activation is possible
• It supports Win Vista, Win XP and Win 2000
• It is compatible with Laptop and Desktop PC
• It is to the most 20-times, faster than the prevailing
wireless technology.
• It offers a downlink speed of 3.1 MBPS, depending
upon the day time and network strength. Also it offers
an average-speed of 300 to 700 KBPS.

This Tata Photon service can be easily available

though Wireless Router and USB Modem. This service
is not at all expensive, since it provides you with
wireless freedom. The basic plan of Tata Photon
commences with 0.5 GB download limit at Rs. 500 per
month. You can also access the services of Tata
Photon by making use of USB modems which will at
first cost you around Rs. 3500.

USB modem is the most appropriate choice for the

Laptop or Home PC users. All you are required to do is
to plug in the USB Modem into the Laptop and now
you can easily access the high-speed Internet
connectivity. The wireless router would be best suited
for the small organizations where the access of
Internet on several computers is simultaneously
required. Wireless router is very quick and easy to
install, since it does not need any wire. In order to use
the wireless router, you would simply have to install
the device into your home or office.

Services of Tata Photon

• Easy to maintain.
• Surf Intranet or Internet with high and consistent
speed.
• Send or receive SMS along with voice capabilities.
• Stay connected transversely the network of Tata
Indicom.

This new invention by Tata Indicom enables an

individual to experience the high-speed Internet
facility from everywhere. Tata Photon Services are
available in around 35 cities like Delhi, Mumbai,
Ahmadabad, Chennai, Bangalore and Hyderabad are
few among others.

TATA SKY:

History

It is a joint venture between the Tata Group, that owns 80% and STAR
Group that owns a 20% stake. Tata Sky was incorporated in 2004 but
was launched only in 2006. It currently offers close to 196 channels (as
of december 2010) and some interactive ones; this count includes some
numbers off HD channels offered by Tata Sky (as Tata Sky-HD) and
interactive services also.

The company uses the Sky brand owned by British Sky Broadcasting.

In October 2008, Tata Sky announced launching of DVR service Tata

Sky+ which allowed 90 hours of recording in a MPEG-4 compatible Set
Top Box. The remote is provided with playback control keys and is
being sold with special offers for existing suscribers.

In 2008, Singapore-based Temasek Holdings picked up 10% stake in

Tata Sky from the Tata Group. This has diluted Tata's stake in the
venture to 75%.

STAR’s parent company, News Corporation, owns an International

group of DTH businesses that include Sky Italia in Italy and Foxtel in
Australia.

Tata Sky+

Tata Sky+ is a premium set-top box-cum-Personal Video Recorder or

even known as DVR Digital Video Recorder that allows recording up to
130 hours of live TV, recording one programme while watching
another, pause, fast-forward and rewind a live telecast and review a TV
programme. Also Tata Sky+ provides service using MPEG-4 digital
compression technology.Sky Pros.

Tata Sky HD

Tata Sky HD was launched on June 14, 2010, and has channels in their
native resolution of 1080i or 720p. The STB is compatible with 5.1 CH
surround sound as well. The service currently offers four HD channels -
National Geographic Channel HD, Discovery HD, Showcase HD (Pay
Per View) , Star Plus HD (upscaled SD channel) and Neo Cricket HD
(Event Based). More channels such as Star Movies HD and other
popular sports channels in HD format are expected to be added soon.

Certifications and Honours

ISO 27001:2005 accreditation

In March 2009, Tata Sky, became the first Indian direct-to-home (DTH)
service provider to be awarded the ISO 27001:2005 accreditation, the
benchmark for information security ISO 27001:2005 is an international
standard that provides specifications and guidance for the
establishment and proper maintenance of an Information Security
Management System (ISMS). The assessment for the certification was
conducted by Intertek Systems Certification, the management systems
business unit of Intertek Group. This certification confirms that every
transaction carried out through Tata Sky’s IT systems are highly
secure.

Escalating competition in the direct-to-home (DTH) market has

pushed up the project cost of Tata Sky, the joint venture
between the Tata group and global media baron Rupert
Murdoch's Star India, by a third. From the initially envisaged Rs
3,000 crore, Tata Sky's project cost has moved up to Rs 4,000
crore.

"The subsidies involved in aggressive pricing are high. We have

also brought forward certain futuristic projects, such as the
introduction of personal video recorders. These have increased
the project cost to Rs 4,000 crore, which we are prepared for.
This is a long gestation infrastructure business requiring very
large investments," Vikram Kaushik, managing director and
chief executive officer, Tata Sky said to Televisionpoint.com.

In 2007, the Tata group had brought in global private equity

player Temasek by offloading 10 per cent stake in the company
at a valuation of close to $ 55.5 million. The Tata group holds 70
per cent in the joint venture, while Star India holds the remaining
20 per cent.

Tata Sky was forced to offer larger subsidies on set-top boxes,

thanks to its rival Dish TV giving away free set-top boxes in May
this year. Prior to that, Dish TV had started offering monthly
subscription packages as low as Rs 100 per month unleashing a
price war in the business that has only one more player, DD
Direct. In response, Tata Sky decided to offer higher subsidies
on its set top boxes cutting the price paid by subscribers to Rs
1,499 from Rs 3,000.

"We set a record by adding a million subscribers in 11 months

and two million in 23 months. The problem that is emerging now
is finding out what new subscribers are willing to pay. Having
penetrated premium households across India, we now are
addressing consumers who need to see the value proposition,
which is why we have cut the price of our base package by 20
per cent and come out with t several add-on packages," Kaushik
added.

Kaushik claimed the company had spent a substantial sum on

offering 10 proprietary interactive services to differentiate the
service, since DTH regulations do not allow exclusivity of
content. The company was also offering hefty subsidies to
households with more than one Tata Sky connection. The
monthly subscription package in this case was Rs 125 per
month, instead of Rs 200 per month for the base package. A new
base package price of Rs 100 too has been announced.

The company is going in for aggressive branding; development

of software and roll-out of subsidised personal video recorders,
which, it believes, will change the paradigm for high-quality TV
experiences. "We are setting up a separate distribution chain,
dedicated staff for maintenance of these products and
specialised back end staff for this offering," said Kaushik.
Despite the competitive market conditions emanating from price
discounting by Sun TV (Rs 999 annual subscription package),
entry of Reliance ADAG's Big TV and proposed entry of Bharti in
the DTH business, Tata Sky's revenue target remains the same -
Rs 5,000 crore turnover in five years. This level of turnover was
projected on an investment of Rs 3,000 crore.

It began as the "Tata Computer Centre", for the company Tata Group
whose main business was to provide computer services to other group
companies. F C Kohli was the first general manager. JRD Tata was the
first chairman, followed by Nani Palkhivala.

One of TCS' first assignments was to provide punched card services to a

sister concern, Tata Steel (then TISCO). It later bagged the country's
first software project, the Inter-Branch Reconciliation System (IBRS)
for the Central Bank of India. It also provided bureau services to Unit
Trust of India, thus becoming one of the first companies to offer BPO
services.

In the early 1970s, Tata Consultancy Services started exporting its

services. The company pioneered the global delivery model for IT
services with its first offshore client in 1974. TCS's first international
order came from Burroughs, one of the first business computer
manufacturers. TCS was assigned to write code for the Burroughs
machines for several US-based clients. This experience also helped TCS
bag its first onsite project - the Institutional Group & Information
Company (IGIC), a data centre for ten banks, which catered to two
million customers in the US, assigned TCS the task of maintaining and
upgrading its computer systems.

In 1981, TCS set up India's first software research and development

centre, the Tata Research Development and Design Center (TRDDC) .
The first client-dedicated offshore development center was set up for
Compaq (then Tandem) in 1985.

In 1989, TCS delivered an electronic depository and trading system

called SECOM for SIS SegaInterSettle, Switzerland. It was by far the
most complex project undertaken by an Indian IT company. TCS
followed this up with System X for the Canadian Depository System and
also automated the Johannesburg Stock Exchange (JSE). TCS
associated with a Swiss partner, TKS Teknosoft, which it later acquired

In the early 1990s, the Indian IT outsourcing industry grew

tremendously due to the Y2K bug and the launch of a unified European
currency, Euro. TCS pioneered the factory model for Y2K conversion
and developed software tools which automated the conversion process
and enabled third-party developers and clients to make use of it

In 1999, TCS saw outsourcing opportunity in E-Commerce and related

solutions and set up its E-Business division with ten people. By 2004, E-
Business was contributing half a billion dollars (US) to TCS

On 9 August 2004, TCS became a publicly listed company much later

than its rivals, Infosys, Wipro and Mahindra Satyam.

During 2005, TCS ventured into a new area for an Indian IT services
company - Bioinformatics[

In 2Tata Administrative Services (also known as TAS) is the in-house

leadership training and development program for the Tata Group. It
provides for group employees to be part of the administrative activities
of various Tata group companies. The program was founded in 1956
and serves as a feeder for the leadership teams of the many Tata
companies.[1] The program was started by J. R. D. Tata with the Tata
Group relying on TAS for developing their elite management cadre. As
such, TAS has been instrumental in developing most of the CEOs of the
group companies.[2]

Formerly known as the Tata Administrative Service, TAS was

conceived by JRD Tata, the late chairman of the Tata group, in the
1950s. His dream was to select and groom some of the best young
Indians, provide them opportunities for professional growth, and use
that pool of talent as a group resource, one that could be tapped by
companies across the Tata organisation.[citation needed].

Most companies today allow a degree of job rotation for career growth.
TAS, essentially a training programme, is perhaps the only employment
brand in Indian business that consciously recruits for lifelong mobility,
across companies, industries and functions, in order to impart that
macro view of business which is critical in preparing young
professionals for general management.

To grow and renew the Tata talent pool continuously, TAS recruits
young postgraduates from leading business schools each year and puts
them through an intensive 12-month programme. The TAS manager
has, as his or her career canvas, India's largest business house, with the
widest range of industries and functions around which to plan and build
a lifetime career of professional and personal growth.

Tata values The TAS recruitment process at campuses strives to

associate the Tata brand with values such as integrity, excellence and
nation building, while highlighting the group's entrepreneurial spirit.

TAS has been recast in recent years, with an increased focus on

facilitating mobility across group companies. Over the past three years,
concentrated communication, consistent engagement and competitive
compensation packages have helped TAS regain and strengthen its
position as an attractive employment destination for top talent.

The programme's one-year training module, renamed 'group

orientation and learning' (GOAL), emphasises structured orientation
through classroom inputs and field visits. It builds TAS trainees'
perspective on the seven core sectors of the Tata group, its current and
future challenges, and its drive to become a truly global organisation.

Training module The training module consists of four cross-functional,

cross-business and cross-located assignments. These include three
business stints of 15 weeks duration in sales and marketing,
manufacturing and operations, and corporate strategy, finance and
human resources. A seven-week rural assignment exposes the trainees
to community work and rural India, helping instil in them a true
picture of the life of ordinary Indians.

Another facet of the module is the mentorship programme for TAS

managers placed with group companies. This was initiated to create a
platform for the personal and professional development of TAS
managers post placement. Additionally, TAS managers are then taken
through a development plan that lasts five years.
00Tata Teleservices is part of the Tata Group which employed
Smritilekha Das. Tata Teleservices spearheads the Group’s presence in
the telecom sector. Incorporated in 1996, Tata Teleservices was the first
to launch CDMA mobile services in India with the Andhra Pradesh
circle.

The company acquired Hughes Telecom (India) Limited [now renamed

Tata Teleservices (Maharashtra) Limited] in December 2002. With a
total Investment of Rs 19,924 Crore, Tata Teleservices has created a
Pan India presence spread across 20 circles that includes Andhra
Pradesh, Chennai, Gujarat, J & K, Karnataka, Delhi, Maharashtra,
Mumbai, North East, Tamil Nadu, Orissa, Bihar, Rajasthan, Punjab,
Haryana, Himachal Pradesh, Uttar Pradesh (E), Uttar Pradesh (W),
Kerala, Kolkata, Madhya Pradesh and West Bengal.

Having pioneered the CDMA 3G1x technology platform in India, Tata

Teleservices has established 3G ready telecom infrastructure. It
partnered with Motorola, Ericsson, Lucent,Zte and ECI Telecom for
the deployment of its telecom network.

The company is the market leader in the fixed wireless telephony

market with a total customer base of over 3.8 million.

Tata Teleservices’ bouquet of telephony services includes Mobile

services, Wireless Desktop Phones, Public Booth Telephony and
Wireline services. Other services include value added services like voice
portal, roaming, post-paid Internet services, 3-way conferencing, group
calling, Wi-Fi Internet, USB Modem, data cards, calling card services
and enterprise services. Some of the other products launched by the
company include prepaid wireless desktop phones, public phone booths,
new mobile handsets and new voice & data services such as BREW
games, Voice Portal, picture messaging, polyphonic ring tones,
interactive applications like news, cricket, astrology, etc.

In collaboration with Tata Business Support Solutions, Tata

Teleservices Ltd provided its expertise and infrastructure to provide
call center and toll-free number facilities for the after-sales services of
Tata Swach, a water purifier developed by Tata Chemicals.

Tata Indicom "Non Stop Mobile" allows pre-paid cellular customers to

receive free incoming calls.
Tata Teleservices Limited along with Tata Teleservices (Maharashtra)
Limited have a subscriber base of 36 million customers (as of April
2009) in more than 5,000 towns. Tata Teleservices has also acquired
GSM licenses for specific circles in India.

Tata Telelservices is an unlisted entity. Tata Group and group firms

own the majority of the company, NTT docomo holds 26% while
investor C. Sivasankaran holds 8%., the company went through an
internal restructuring exercise that executives claim would bring about
agility to the organization.

Senior management

The Board of Directors for TTSL includes Tata Sons Chairman Ratan
Tata, while the company is currently headed by its Managing Director,
Mr. Anil Kumar Sardana

Market data

Tata Indicom in April 2009, crossed the 35 million subscribers mark in

the wireless category with an overall subscriber base of over 36 million.

Tata Teleservices is no. 2 slot in terms of Market Share in Delhi NCR

region with a subscriber base of 5 million.

Network

Tata Teleservices operates primarily on the CDMA network. Tata

Indicom’s enterprise solutions work on the CDMA 3G-1X technology.

The total tower strength of Tata Indicom is currently at 18,500 towers

nationwide.

Business areas

Tata Teleservices offers multiple tariff plans in both the Post-paid and
Pre-Paid category. It also offers Mobile Value Added Services to
subscribers.

Branding
The Tata Indicom brand is endorsed by bollywood actress Kajol &
cricketers Irfan Pathan and Yousuf Pathan.

Tata Teleservices has recently launched the Virgin Mobile Brand to

target the youth segment.

Rural Telephony

TTSL also maintains a distribution network across villages , where in

people are appointed and trained by TTSL – who visit villages on a
bicycle or a two-wheeler at defined times on defined days of the week,
selling recharge vouchers and servicing equipment; each runner covers
between 200 to 300 customers.

The company joined hands with Tata Chemicals, Tata Kisaan Sansar
network, disseminating information through these centres and using
them as local distributors.

Retail

The company's retail business has around 3,000 outlets nationally,

comprising 600 TTSL owned stores and around 2,500 stores in the
Franchisee format. Tata Indicom already covers the top 700 towns in
India in terms of population through Tata Indicom Exclusive Stores.

Tata Indicom also maintains an online portal for its customers i-choose
where the customers can buy Tata Indicom post-paid connections and
prepaid recharge vouchers with an upfront commitment of activation
and delivery of the handset within 72 hours.

Value added services

Tata Teleservices, in October 2007 launched Tata Zone, an

infotainment portal on Tata Indicom BREW-enabled mobile phones, in
Hindi. This service has applications, pricing details, downloads and
browsing instructions in Hindi. The rationale behind this was simple: -
66% of all Indians speak Hindi, while less than 5% understand English.

Under its VAS bouquet, TTSL offers services such as News, Games,
Faith and Prayers, Ringtones, Streaming TV, Fun Shows, Video Zone,
Song Download Express, Cricket, Internet Surfing, Astrology, and
Mobile Office among others.

Tata Indicom plans to provide m-commerce, mobile advertising and

social networking under its VAS offerings.

Tata Teleservices Limited (TTLS) (BSE: 532371) is a subsidiary of the

Tata Group headquartered in Navi Mumbai, an Indian conglomerate. It
operates under the brand name Tata Indicom in various telecom circles
of India. In Nov 2008, Japanese telecom giant NTT Docomo picked up a
26 per cent equity stake in Tata Teleservices for about Rs 13,070 crore
($2.7 billion) or an enterprise value of Rs 50,269 crore ($10.38 billion).[1]
In Feb 2008, TTSL announced that it would provide CDMA mobile
services targeted towards the youth, in association with the Virgin
Group on a Franchisee model basis.

Tata Teleservices Provides mobile services under 3 Brand names:

• Tata Indicom (CDMA Mobile operator)

• Tata DoCoMo (GSM Mobile operator)
• Virgin Mobile (CDMA Mobile operator)
• Virgin Mobile (GSM Mobile operator)

Modern growth

A large population, low telephony penetration levels, and a rise in

consumers' income and spending owing to strong economic growth have
helped make India the fastest-growing telecom market in the world. The
first operator is the state-owned incumbent BSNL. BSNL was created
by corporatization of the erstwhile Indian Telecommunication Service,
a government unit responsible for provision of telephony services.
Subsequently, after the telecommunication policies were revised to allow
private operators, companies such as Vodafone, Bharti Airtel, Tata
Indicom, Idea Cellular, Aircel and Loop Mobile have entered the space.
see mobile operators in India. In 2008-09, rural India outpaced urban
India in mobile growth rate. Bharti Airtel now is the largest telecom
company in India.

India's mobile phone market is the fastest growing in the world, with
companies adding some 18.98 million new customers in Oct 2010.
The total number of telephones in the country crossed the 742.12 million
mark on Oct 31st, 2010. The overall tele-density has increased to
62.31% by Oct 31st 2010.[5] In the wireless segment, 18.98 million
subscribers were added in Oct 2010. The total wireless subscribers
(GSM, CDMA & WLL (F)) base is more than 706 million now. The
wireline segment subscriber base stood at 35.43 million with a decline of
0.14 million as of Oct 31st 2010.

History

Telecom in the real sense means transfer of information between two

distant points in space. The popular meaning of telecom always involves
electrical signals and nowadays people exclude postal or any other raw
telecommunication methods from its meaning. Therefore, the history of
Indian telecom can be started with the introduction of telegraph.

Introduction of telegraph

The postal and telecom sectors had a slow and uneasy start in India. In
1850, the first experimental electric telegraph Line was started between
Kolkata and Diamond Harbor. In 1851, it was opened for the British
East India Company. The Posts and Telegraphs department occupied a
small corner of the Public Works Department,[14] at that time.
Construction of 4,000 miles (6,400 km) of telegraph lines connecting
Kolkata (Calcutta) and Peshawar in the north along with Agra,
Mumbai (Bombay) through Sindwa Ghats, and Chennai in the south, as
well as Ootacamund and Bangalore was started in November 1853. Dr.
William O'Shaughnessy, who pioneered telegraph and telephone in
India, belonged to the Public Works Department. He worked towards
the development of telecom throughout this period. A separate
department was opened in 1854 when telegraph facilities were opened to
the public.

Introduction of the telephone

In 1880, two telephone companies namely The Oriental Telephone

Company Ltd. and The Anglo-Indian Telephone Company Ltd.
approached the Government of India to establish telephone exchanges
in India. The permission was refused on the grounds that the
establishment of telephones was a Government monopoly and that the
Government itself would undertake the work. In 1881, the Government
later reversed its earlier decision and a licence was granted to the
Oriental Telephone Company Limited of England for opening telephone
exchanges at Calcutta, Bombay, Madras and Ahmedabad and the first
formal telephone service was established in the country.[15] 28 January
1882, is a Red Letter Day in the history of telephone in India. On this
day Major E. Baring, Member of the Governor General of India's
Council declared open the Telephone Exchanges in Calcutta, Bombay
and Madras. The exchange in Calcutta named "Central Exchange" was
opened at third floor of the building at 7, Council House Street. The
Central Telephone Exchange had 93 number of subscribers. Bombay
also witnessed the opening of Telephone Exchange in 1882.

Further developments

A Mobile Phone Tower.

• 1902 - First wireless telegraph station established between Sagar

Islands and Sandheads.
• 1907 - First Central Battery of telephones introduced in Kanpur.
• 1913-1914 - First Automatic Exchange installed in Shimla.
• 23 July 1927 - Radio-telegraph system between the UK and India,
with Imperial Wireless Chain beam stations at Khadki and
Daund, inaugurated by Lord Irwin by exchanging greetings with
King George V.
• 1933 - Radiotelephone system inaugurated between the UK and
India.
• 1953 - 12 channel carrier system introduced.
• 1960 - First subscriber trunk dialing route commissioned between
Lucknow and Kanpur.
 • 1975 - First PCM system commissioned between Mumbai City
and Andheri telephone exchanges.
• 1976 - First digital microwave junction introduced.
• 1979 - First optical fibre system for local junction commissioned
at Pune.
• 1980 - First satellite earth station for domestic communications
established at Secunderabad, A.P..
• 1983 - First analog Stored Program Control exchange for trunk
lines commissioned at Mumbai.
• 1984 - C-DOT established for indigenous development and
production of digital exchanges.
• 1995 - First mobile telephone service started on non-commercial
basis on 15 August 1995 in Delhi.

While all the major cities and towns in the country were linked with
telephones during the British period, the total number of telephones in
1948 was only around 80,000. Even after independence, growth was
extremely slow. The telephone was a status symbol rather than being an
instrument of utility. The number of telephones grew leisurely to
980,000 in 1971, 2.15 million in 1981 and 5.07 million in 1991, the year
economic reforms were initiated in the country.

While certain innovative steps were taken from time to time, as for
example introduction of the telex service in Mumbai in 1953 and
commissioning of the first [subscriber trunk dialing] route between
Delhi and Kanpur and between Lucknow and Kanpur in 1960, the first
waves of change were set going by Sam Pitroda in the eighties.[16] He
brought in a whiff of fresh air. The real transformation in scenario
came with the announcement of the National Telecom Policy in 1994.[17]

Indian telecom sector: recent policies

• All the villages shall be covered by telecom facility by the end of

2002.
• The Communication Convergence Bill 2001introduced in the
Parliament on August 31, 2001 is presently before the Standing
Committee of Parliament on Telecom and IT.
• National Long Distance Service (NLD) is opened for unrestricted
entry.
 • The International Long Distance Services (ILDS) have been
opened to competition.
• The basic services are open to competition.
• In addition to the existing three, fourth cellular operator, one each
in four metros and thirteen circles, has been permitted. The
cellular operators have been permitted to provide all types of
mobile services including voice and non-voice messages, data
services and Public Call Office PCOs utilizing any type of
network equipment, including circuit and/or package switches
that meet certain required standards.
• Policies allowing private participation have been announced as
per the New Telecom Policy (NTP), 1999 in several new services,
which include Global Mobile Personal Communication by
Satellite (GMPCS) Service, digital Public Mobile Radio Trunked
Service (PMRTS), Voice Mail/ Audiotex/ Unified Messaging
Service.
• Wireless in Local Loop (WLL) has been introduced for providing
telephone connections in urban, semi-urban and rural areas
promptly.
• Two telecom PSUs, VSNL and HTL have been disinvested.
• Steps are being taken to fulfill Universal Service Obligation
(USO), its funding and administration.
• A decision to permit Community Phone Service has been
announced.
• Multiple Fixed Service Providers (FSPs) licensing guidelines were
announced.
• Internet Service Providers (ISPs) have been allowed to set up
International Internet Gateways, both Satellite and Landing
stations for submarine optical fiber cables.
• Two categories of infrastructure providers have been allowed to
provide end-to-end bandwidth and dark fiber, right of way,
towers, duct space etc.
• Guidelines have been issued by the Government to open up
Internet telephony (IP).

Emergence as a major player

In 1975, the Department of Telecom (DoT) was separated from Indian

Post & Telecommunication Accounts and Finance Service. DoT was
responsible for telecom services in entire country until 1985 when
Mahanagar Telephone Nigam Limited (MTNL) was carved out of DoT
to run the telecom services of Delhi and Mumbai. In 1990s the telecom
sector was opened up by the Government for private investment as a
part of Liberalisation-Privatization-Globalization policy. Therefore, it
became necessary to separate the Government's policy wing from its
operations wing. The Government of India corporatised the operations
wing of DoT on 1 October 2000 and named it as Bharat Sanchar Nigam
Limited (BSNL). Many private operators, such as Reliance
Communications, Tata Indicom, Vodafone, Loop Mobile, Airtel, Idea
etc., successfully entered the high potential Indian telecom market.

Privatization of telcommunications in India

The Indian government was composed of many factions (parties) which

had different ideologies. Some of them were willing to throw open the
market to foreign players (the centrists) and others wanted the
government to regulate infrastructure and restrict the involvement of
foreign players. Due to this political background it was very difficult to
bring about liberalization in telecommunications. When a bill was in
parliament a majority vote had to be passed, and such a majority was
difficult to obtain, given to the number of parties having different
ideologies.

Liberalization started in 1981 when Prime Minister Indira Gandhi

signed contracts with Alcatel CIT of France to merge with the state
owned Telecom Company (ITI), in an effort to set up 5,000,000 lines per
year. But soon the policy was let down because of political opposition.
She invited Sam Pitroda a US based Non-resident Indian NRI to set up
a Center for Development of Telematics(C-DOT), however the plan
failed due to political reasons. During this period, after the assassination
of Indira Gandhi, under the leadership of Rajiv Gandhi, many public
sector organizations were set up like the Department of
Telecommunications (DoT) , VSNL and MTNL. Many technological
developments took place in this regime but still foreign players were not
allowed to participate in the telecommunications business.[18]

The demand for telephones was ever increasing. It was during this
period that the Narsimha Rao-led government introduced the national
telecommunications policy [NTP] in 1994 which brought changes in the
following areas: ownership, service and regulation of
telecommunications infrastructure. They were also successful in
establishing joint ventures between state owned telecom companies and
international players. But still complete ownership of facilities was
restricted only to the government owned organizations. Foreign firms
were eligible to 49% of the total stake. The multi-nationals were just
involved in technology transfer, and not policy making.[18]

During this period, the World Bank and ITU had advised the Indian
Government to liberalize long distance services in order to release the
monopoly of the state owned DoT and VSNL; and to enable competition
in the long distance carrier business which would help reduce tariff's
and better the economy of the country. The Rao run government
instead liberalized the local services, taking the opposite political parties
into confidence and assuring foreign involvement in the long distance
business after 5 years. The country was divided into 20
telecommunication circles for basic telephony and 18 circles for mobile
services. These circles were divided into category A, B and C depending
on the value of the revenue in each circle. The government threw open
the bids to one private company per circle along with government
owned DoT per circle. For cellular service two service providers were
allowed per circle and a 15 years license was given to each provider.
During all these improvements, the government did face oppositions
from ITI, DoT, MTNL, VSNL and other labor unions, but they
managed to keep away from all the hurdles.[18]

After 1995 the government set up TRAI (Telecom Regulatory Authority

of India) which reduced the interference of Government in deciding
tariffs and policy making. The DoT opposed this. The political powers
changed in 1999 and the new government under the leadership of Atal
Bihari Vajpayee was more pro-reforms and introduced better
liberalization policies. They split DoT in two- one policy maker and the
other service provider (DTS) which was later renamed as BSNL. The
proposal of raising the stake of foreign investors from 49% to 74% was
rejected by the opposite political party and leftist thinkers. Domestic
business groups wanted the government to privatize VSNL. Finally in
April 2002, the government decided to cut its stake of 53% to 26% in
VSNL and to throw it open for sale to private enterprises. TATA finally
took 25% stake in VSNL.[18]
This was a gateway to many foreign investors to get entry into the
Indian Telecom Markets. After March 2000, the government became
more liberal in making policies and issuing licenses to private operators.
The government further reduced license fees for cellular service
providers and increased the allowable stake to 74% for foreign
companies. Because of all these factors, the service fees finally reduced
and the call costs were cut greatly enabling every common middle class
family in India to afford a cell phone. Nearly 32 million handsets were
sold in India. The data reveals the real potential for growth of the
Indian mobile market.[19]

In March 2008 the total GSM and CDMA mobile subscriber base in the
country was 375 million, which represented a nearly 50% growth when
compared with previous year.[20] As the unbranded Chinese cell phones
which do not have International Mobile Equipment Identity (IMEI)
numbers pose a serious security risk to the country, Mobile network
operators therefore planned to suspend the usage of around 30 million
mobile phones (about 8 % of all mobiles in the country) by 30 April.[21]
5–6 years the average monthly subscribers additions were around 0.05
to 0.1 million only and the total mobile subscribers base in December
2002 stood at 10.5 millions. However, after a number of proactive
initiatives were taken by regulators and licensors, the total number of
mobile subscribers has increased greatly to 706.69 million subscribers
as of Oct 31st 2010.[5][22]

India has opted for the use of both the GSM (global system for mobile
communications) and CDMA (code-division multiple access)
technologies in the mobile sector. In addition to landline and mobile
phones, some of the companies also provide the WLL service. The
mobile tariffs in India have also become lowest in the world. A new
mobile connection can be activated with a monthly commitment of
US$0.15 only. In 2005 alone additions increased to around 2 million per
month in the year 2003-04 and 2004-05.[citation needed]

In June 2009, the Government of India banned the import of several

mobile phones manufactured in China citing concerns over quality and
the lack of IMEI's which make it difficult for authorities in India to
track the sale and use of such phones.[23] In April 2010, the Government
was also reported to be blocking Indian service providers from
purchasing Chinese mobile technology citing concerns that Chinese
hackers could compromise the Indian telecommunications network
during times of national emergency. A series of attacks on Indian
government websites and computer networks by suspected Chinese
hackers has also made Indian regulators suspicious with regards to the
import of potentially sensitive equipment from China. The companies
reported to be affected by this are Huawei Technologies and ZTE.[24][25]
[26]

Telecommunications Regulatory Environment in India

LIRNEasia's Telecommunications Regulatory Environment (TRE)

index, which summarizes stakeholders’ perception on certain TRE
dimensions, provides insight into how conducive the environment is for
further development and progress. The most recent survey was
conducted in July 2008 in eight Asian countries, including Bangladesh,
India, Indonesia, Sri Lanka, Maldives, Pakistan, Thailand, and the
Philippines. The tool measured seven dimensions: i) market entry; ii)
access to scarce resources; iii) interconnection; iv) tariff regulation; v)
anti-competitive practices; and vi) universal services; vii) quality of
service, for the fixed, mobile and broadband sectors.

The results for India, point out to the fact that the stakeholders perceive
the TRE to be most conducive for the mobile sector followed by fixed
and then broadband. Other than for Access to Scarce Resources the
fixed sector lags behind the mobile sector. The fixed and mobile sectors
have the highest scores for Tariff Regulation. Market entry also scores
well for the mobile sector as competition is well entrenched with most of
the circles with 4-5 mobile service providers. The broadband sector has
the lowest score in the aggregate. The low penetration of broadband of
mere 3.87 against the policy objective of 9 million at then end of 2007
clearly indicates that the regulatory environment is not very conducive.
[27]

Revenue and growth

The total revenue in the telecom service sector was 86,720 crore
(US$18.8 billion) in 2005-06 as against 71,674 crore (US$15.6 billion) in
2004-2005, registering a growth of 21%. The total investment in the
telecom services sector reached 200,660 crore (US$43.5 billion) in 2005-
06, up from 178,831 crore (US$38.8 billion) in the previous fiscal.[28]
Telecommunication is the lifeline of the rapidly growing Information
Technology industry. Internet subscriber base has risen to 100 million
in 2010.[29] Out of this 10.52 million were broadband connections.[5]
More than a billion people use the internet globally.

Under the Bharat Nirman Programme, the Government of India will

ensure that 66,822 revenue villages in the country, which have not yet
been provided with a Village Public Telephone (VPT), will be
connected. However doubts have been raised about what it would mean
for the poor in the country.[30]

It is difficult to ascertain fully the employment potential of the telecom

sector but the enormity of the opportunities can be gauged from the fact
that there were 3.7 million Public Call Offices in December 2005[31] up
from 2.3 million in December 2004.

The value added services (VAS) market within the mobile industry in
India has the potential to grow from US$500 million in 2006 to a
whopping US$10 billion by 2009.[32]

Emergence as a major player

In 1975, the Department of Telecom (DoT) was separated from Indian

Post & Telecommunication Accounts and Finance Service. DoT was
responsible for telecom services in entire country until 1985 when
Mahanagar Telephone Nigam Limited (MTNL) was carved out of DoT
to run the telecom services of Delhi and Mumbai. In 1990s the telecom
sector was opened up by the Government for private investment as a
part of Liberalisation-Privatization-Globalization policy. Therefore, it
became necessary to separate the Government's policy wing from its
operations wing. The Government of India corporatised the operations
wing of DoT on 1 October 2000 and named it as Bharat Sanchar Nigam
Limited (BSNL). Many private operators, such as Reliance
Communications, Tata Indicom, Vodafone, Loop Mobile, Airtel, Idea
etc., successfully entered the high potential Indian telecom market.

Privatization of telcommunications in India

The Indian government was composed of many factions (parties) which

had different ideologies. Some of them were willing to throw open the
market to foreign players (the centrists) and others wanted the
government to regulate infrastructure and restrict the involvement of
foreign players. Due to this political background it was very difficult to
bring about liberalization in telecommunications. When a bill was in
parliament a majority vote had to be passed, and such a majority was
difficult to obtain, given to the number of parties having different
ideologies.

Liberalization started in 1981 when Prime Minister Indira Gandhi

signed contracts with Alcatel CIT of France to merge with the state
owned Telecom Company (ITI), in an effort to set up 5,000,000 lines per
year. But soon the policy was let down because of political opposition.
She invited Sam Pitroda a US based Non-resident Indian NRI to set up
a Center for Development of Telematics(C-DOT), however the plan
failed due to political reasons. During this period, after the assassination
of Indira Gandhi, under the leadership of Rajiv Gandhi, many public
sector organizations were set up like the Department of
Telecommunications (DoT) , VSNL and MTNL. Many technological
developments took place in this regime but still foreign players were not
allowed to participate in the telecommunications business.[18]

The demand for telephones was ever increasing. It was during this
period that the Narsimha Rao-led government introduced the national
telecommunications policy [NTP] in 1994 which brought changes in the
following areas: ownership, service and regulation of
telecommunications infrastructure. They were also successful in
establishing joint ventures between state owned telecom companies and
international players. But still complete ownership of facilities was
restricted only to the government owned organizations. Foreign firms
were eligible to 49% of the total stake. The multi-nationals were just
involved in technology transfer, and not policy making.[18]

During this period, the World Bank and ITU had advised the Indian
Government to liberalize long distance services in order to release the
monopoly of the state owned DoT and VSNL; and to enable competition
in the long distance carrier business which would help reduce tariff's
and better the economy of the country. The Rao run government
instead liberalized the local services, taking the opposite political parties
into confidence and assuring foreign involvement in the long distance
business after 5 years. The country was divided into 20
telecommunication circles for basic telephony and 18 circles for mobile
services. These circles were divided into category A, B and C depending
on the value of the revenue in each circle. The government threw open
the bids to one private company per circle along with government
owned DoT per circle. For cellular service two service providers were
allowed per circle and a 15 years license was given to each provider.
During all these improvements, the government did face oppositions
from ITI, DoT, MTNL, VSNL and other labor unions, but they
managed to keep away from all the hurdles.[18]

After 1995 the government set up TRAI (Telecom Regulatory Authority

of India) which reduced the interference of Government in deciding
tariffs and policy making. The DoT opposed this. The political powers
changed in 1999 and the new government under the leadership of Atal
Bihari Vajpayee was more pro-reforms and introduced better
liberalization policies. They split DoT in two- one policy maker and the
other service provider (DTS) which was later renamed as BSNL. The
proposal of raising the stake of foreign investors from 49% to 74% was
rejected by the opposite political party and leftist thinkers. Domestic
business groups wanted the government to privatize VSNL. Finally in
April 2002, the government decided to cut its stake of 53% to 26% in
VSNL and to throw it open for sale to private enterprises. TATA finally
took 25% stake in VSNL.[18]

This was a gateway to many foreign investors to get entry into the
Indian Telecom Markets. After March 2000, the government became
more liberal in making policies and issuing licenses to private operators.
The government further reduced license fees for cellular service
providers and increased the allowable stake to 74% for foreign
companies. Because of all these factors, the service fees finally reduced
and the call costs were cut greatly enabling every common middle class
family in India to afford a cell phone. Nearly 32 million handsets were
sold in India. The data reveals the real potential for growth of the
Indian mobile market.[19]

In March 2008 the total GSM and CDMA mobile subscriber base in the
country was 375 million, which represented a nearly 50% growth when
compared with previous year.[20] As the unbranded Chinese cell phones
which do not have International Mobile Equipment Identity (IMEI)
numbers pose a serious security risk to the country, Mobile network
operators therefore planned to suspend the usage of around 30 million
mobile phones (about 8 % of all mobiles in the country) by 30 April.[21]
5–6 years the average monthly subscribers additions were around 0.05
to 0.1 million only and the total mobile subscribers base in December
2002 stood at 10.5 millions. However, after a number of proactive
initiatives were taken by regulators and licensors, the total number of
mobile subscribers has increased greatly to 706.69 million subscribers
as of Oct 31st 2010.[5][22]

India has opted for the use of both the GSM (global system for mobile
communications) and CDMA (code-division multiple access)
technologies in the mobile sector. In addition to landline and mobile
phones, some of the companies also provide the WLL service. The
mobile tariffs in India have also become lowest in the world. A new
mobile connection can be activated with a monthly commitment of
US$0.15 only. In 2005 alone additions increased to around 2 million per
month in the year 2003-04 and 2004-05.[citation needed]

In June 2009, the Government of India banned the import of several

mobile phones manufactured in China citing concerns over quality and
the lack of IMEI's which make it difficult for authorities in India to
track the sale and use of such phones.[23] In April 2010, the Government
was also reported to be blocking Indian service providers from
purchasing Chinese mobile technology citing concerns that Chinese
hackers could compromise the Indian telecommunications network
during times of national emergency. A series of attacks on Indian
government websites and computer networks by suspected Chinese
hackers has also made Indian regulators suspicious with regards to the
import of potentially sensitive equipment from China. The companies
reported to be affected by this are Huawei Technologies and ZTE.[24][25]
[26]

Telecommunications Regulatory Environment in India

LIRNEasia's Telecommunications Regulatory Environment (TRE)

index, which summarizes stakeholders’ perception on certain TRE
dimensions, provides insight into how conducive the environment is for
further development and progress. The most recent survey was
conducted in July 2008 in eight Asian countries, including Bangladesh,
India, Indonesia, Sri Lanka, Maldives, Pakistan, Thailand, and the
Philippines. The tool measured seven dimensions: i) market entry; ii)
access to scarce resources; iii) interconnection; iv) tariff regulation; v)
anti-competitive practices; and vi) universal services; vii) quality of
service, for the fixed, mobile and broadband sectors.

The results for India, point out to the fact that the stakeholders perceive
the TRE to be most conducive for the mobile sector followed by fixed
and then broadband. Other than for Access to Scarce Resources the
fixed sector lags behind the mobile sector. The fixed and mobile sectors
have the highest scores for Tariff Regulation. Market entry also scores
well for the mobile sector as competition is well entrenched with most of
the circles with 4-5 mobile service providers. The broadband sector has
the lowest score in the aggregate. The low penetration of broadband of
mere 3.87 against the policy objective of 9 million at then end of 2007
clearly indicates that the regulatory environment is not very conducive.
[27]

Revenue and growth

The total revenue in the telecom service sector was 86,720 crore
(US$18.8 billion) in 2005-06 as against 71,674 crore (US$15.6 billion) in
2004-2005, registering a growth of 21%. The total investment in the
telecom services sector reached 200,660 crore (US$43.5 billion) in 2005-
06, up from 178,831 crore (US$38.8 billion) in the previous fiscal.[28]

Telecommunication is the lifeline of the rapidly growing Information

Technology industry. Internet subscriber base has risen to 100 million
in 2010.[29] Out of this 10.52 million were broadband connections.[5]
More than a billion people use the internet globally.

Under the Bharat Nirman Programme, the Government of India will

ensure that 66,822 revenue villages in the country, which have not yet
been provided with a Village Public Telephone (VPT), will be
connected. However doubts have been raised about what it would mean
for the poor in the country.[30]

It is difficult to ascertain fully the employment potential of the telecom

sector but the enormity of the opportunities can be gauged from the fact
that there were 3.7 million Public Call Offices in December 2005[31] up
from 2.3 million in December 2004.
The value added services (VAS) market within the mobile industry in
India has the potential to grow from US$500 million in 2006 to a
whopping US$10 billion by 2009.[32]

Telephone

On landlines, intra-circle calls are considered local calls while inter-

circle are considered long distance calls. Currently Government is
working to integrate the whole country in one telecom circle. For long
distance calls, the area code prefixed with a zero is dialed first which is
then followed by the number (i.e. To call Delhi, 011 would be dialed first
followed by the phone number). For international calls, "00" must be
dialed first followed by the country code, area code and local phone
number. The country code for India is 91.

Telephone Subscribers (Wireless and Landline): 742.12 million (Oct

2010) [5]

Land Lines: 35.43 million (Oct 2010)[5]

Cell phones: 706.69 million (Oct 2010) [5]

Yearly Cell phone Addition: 218.29 million (Oct 2009-10)[5]

Monthly Cell phone Addition: 18.98 million (Oct 2010) [5]

Teledensity: 62.51 % (Oct 2010) [5]

Projected Teledensity: 1 billion, 84% of population by 2012.[33]

Mobile telephones
See also: List of mobile network operators of India

With a subscriber base of more than 680 million,[5] the Mobile

telecommunications system in India is the second largest in the world
and it was thrown open to private players in the 1990s. The country is
divided into multiple zones, called circles (roughly along state
boundaries). Government and several private players run local and long
distance telephone services. Competition has caused prices to drop and
calls across India are one of the cheapest in the world.[34] The rates are
supposed to go down further with new measures to be taken by the
Information Ministry.[35] In September 2004, the number of mobile
phone connections crossed the number of fixed-line connections and
presently dwarfs the wireline segment by a ratio of around 20:1.[5] The
mobile subscriber base has grown by a factor of over a hundred and
thirty, from 5 million subscribers in 2001 to over 680 million
subscribers as of Sep 2010 [5] (a period of less than 9 years) . India
primarily follows the GSM mobile system, in the 900 MHz band. Recent
operators also operate in the 1800 MHz band. The dominant players are
Airtel, Reliance Infocomm, Vodafone, Idea cellular and BSNL/MTNL.
There are many smaller players, with operations in only a few states.
International roaming agreements exist between most operators and
many foreign carriers.

India is divided into 23 telecom circles. They are listed below:[36]

• Assam
• Andhra Pradesh
• Bihar & Jharkhand
• Chennai
• Delhi & NCR
• Gujarat & Daman & Diu
• Haryana
• Himachal Pradesh
• Jammu and Kashmir
• Karnataka
• Kerala & Lakshadweep
• Kolkata
• Madhya Pradesh & Chhattisgarh
• Maharashtra (excluding Mumbai) & Goa
• Mumbai
• North Eastern States (Arunachal Pradesh, Manipur, Meghalaya,
Mizoram, Nagaland, & Tripura)
• Orissa
• Punjab
• Rajasthan
• Tamil Nadu excluding Chennai & Puducherry
• Eastern Uttar Pradesh
• Western Uttar Pradesh & Uttarakhand
• West Bengal (excluding Kolkata), Andaman & Nicobar Islands &
Sikkim
History of telecom industry in India

The history of telephone services in India found its beginning when a

50-line manual telephone exchange was commissioned in Kolkata in the
year 1882 in less than five years after Alexander Graham Bell invented
the telephone. While India became independent in the year 1947, the
country had about 82,000 telephone connections, which slowly rose up
to 3.05 million by the year 1984. The telecom sector in India was a
government monopoly until the year 1994 when liberalization was
gradually unrolled. For the first time, cellular services were launched in
India in Kolkata in the year 1995.

An Overview of the Telecommunication Industry in India

A mobile handset

Talking of telecommunications sector in India today, we can primarily

identify two segments namely Fixed Service Provider (FSPs) and
Cellular Services. Some of the essential and basic telecom services
forming part of Indian telecom industry include telephone, radio,
television and Internet. Telecom industry in the country lays a special
emphasis on some of the advanced and the latest technical innovations
like GSM( Global System for Mobile Communications), CDMA(Code
Division Multiple Access), PMRTS(Public Mobile Radio Trunking
Services), Fixed Line and WLL(Wireless Local Loop ). Especially, India
has a flourishing market in GSM mobile service, while the number of
subscribers is on rapid and dramatic increase. The Indian
telecommunications industry boasts as being one among the most
rapidly growing chunks on the globe. Experts around the world
estimate that India holds the promise of emerging as the second largest
telecom market of the world.

Figures published by the Telecom Regulatory Authority of India

(TRAI), reveal that the number of telecom connection subscribers in
India reached 562.21 million in December 2009, marking a 3.5 percent
increase over the number 543.20 million reported in November 2009.
This figure indicates that the average teledensity (number of telephones
per 100 persons) has gone up to 47.89.

On account of a dramatic increase in the earnings from mobile and

landline connections, the telecom industry in India made revenue of
US$ 8.56 billion during the quarter ending on December 31, 2009
thereby witnessing a recovery from the economic downturn.

Business Monitor International has stated that at present, India is

adding up about 8-10 million mobile subscribers every succeeding
month. Estimates have revealed that by June2012, almost half India’s
population will be in possession of a mobile phone. This will result in
about 612 million mobile subscribers, making up a teledensity of about
51 per cent by the year 2012.

Over and above, a study undertaken by Nokia has brought out that the
communications sector will grow as the single largest chunk of the
India’s GDP making up about 15.4 per cent by the year 2014.
Estimates made in February 2009 show that the Indian equipment
market valued at US$ 24 billion, while Nokia was glowing as the market
leader reporting more than US$ 3.4 billion revenues in 2008-09.
Ericsson followed Nokia with revenue of about US$ 2.11 billion.

The latest reports published by Evalueserve state that the availability of

the 3G spectrum has given hopes of finding about 275 million Indian
subscribers using 3G-enabled services. This will take up the number of
3G-enabled handsets to reach near to 395 million by the end of 2013.

A Frost & Sullivan industry analyst has predicted that by the year 2012,
revenues from fixed line subscriptions in India will reach up to US$ 12.2
billion, while the revenue from mobile connections will reach up to US$
39.8 billion.

In a significant step taken to boost up the auction of 3G spectrum, the

Indian Government has permitted prospective bidders to call for short-
term funds from the domestic market in the country, while allowing
refinancing out of external commercial borrowings (ECBs) within a
period of 12 months. Estimates show that the government can mop up
US$ 7.53 billion from the auction of 3G spectrum to be completed
shortly. The reserve price has been fixed at US$ 753.74 million.

BSNL, the state-managed telecom operator has introduced 3G services

in more than 318 cities benefitting 856,000 subscribers. BSNL has been
venturing to cross more than 400 cities in the near future eventually
rolling this service across 760 cities by September 2010. While the
debate on 3G is seen continuing, TRAI has already started consulting on
the next higher level of telecom services. 4G or the fourth generation
enables downloads faster than all the earlier versions.

Today, India is the largest market in the world adding up a dramatic

number of about 20 million mobile subscriber lines every month in an
average. On the other hand, the number of landlines is found gradually
decreasing. At the end of the first quarter in 2010, we find that the
overall telecom subscriber penetration has gone up by more than 52 %.
Though this might occur as a relatively low volume compared with a
number of other nations, this comes as a quantum leap noting the
figures recorded a few years back. Mumbai and Delhi (NCR) enjoy the
status among a few other metro areas around the globe boasting of
more than 25 m mobile subscribers in each of these regions. At present,
The FDI cap in the telecom sector in India is 74 %. In a recent move,
UK’s Vodafone Group has purchased a 52 % stake in Hutchison Essar,
the fourth largest mobile service provider in the country. Bharti Airtel
has the credit of being the first Indian operator to cross a subscriber
base of 50 million.

It is predicted that mobile number portability (MNP) will be available

throughout India by the second quarter of 2010, initially in the cities of
Chennai, Delhi, Kolkata and Mumbai, the four metros of India. Also,
3G (third generation) mobile services are found being introduced in all
the major cities across the nation. The country has auctioned three 3G
spectrum slots to private bidders. However, the number of subscribers
for broadband connections is increasing at a slow pace.

Fixed-line Telephony

• Public Players
o Subscribers
• Private Players
o Subscribers

Mobile Telephony

• Public Players
o Subscribers
• Private Players
o Subscribers
Internet

Investment

The Indian telecom sector can be broadly classified

into Fixed Line Telephonyand mobile telephony. The
major players of the telecom sector are experiencing
a fierce competition in both the segments. The major
players like BSNL, MTNL, VSNL in the fixed line and
Airtel, Hutch, Idea, Tata, Reliance in the mobile
segment are coming up with new tariffs and discount
schemes to gain the competitive advantage. The
Public Players and the Private Players share the fixed
line and the mobile segments. Currently the Public
Players have more than 60% of the market share.

Market shares of public and Private Players

Both fixed line and mobile segments serve the basic

needs of local calls, long distance calls and the
international calls, with the provision of broadband
services in the fixed line segment and GPRS in the
mobile arena. Traditional telephones have been
replaced by the codeless and the wireless
instruments. Mobile phone providers have also come
up with GPRS-enabled multimedia messaging,
Internet surfing, and mobile-commerce. The much-
awaited 3G mobile technology is soon going to enter
the Indian telecom market. The GSM, CDMA, WLL
service providers are all upgrading themselves to
provide 3G mobile services.

Along with improvement in telecom services, there is

also an improvement in manufacturing. In the
beginning, there were only the Siemens handsets in
India but now a whole series of new handsets, such as
Nokia's latest N-series, Sony Ericsson's W-series,
Motorola's PDA phones, etc. have come up. Touch
screen and advanced technological handsets are
gaining popularity. Radio services have also been
incorporated in the mobile handsets, along with other
applications like high storage memory, multimedia
applications, multimedia games, MP3 Players, video
generators, Camera's, etc. The value added services
provided by the mobile service operators contribute
more than 10% of the total revenue.
The leading cellular service providers have the
following number of subscribers:

Service No. of CDMA No. of GSM

Provider Subscribers Subscribers
Reliance 2.75 crores 38.76 lakhs
Tata 1.07 crores
Airtel 3.37 crores
MTNL 24.98 lakhs
BSNL 2.44 crores
Hutch 2.44 crores
Idea 1.3 crores
Spice 25.56 lakhs
BPL 10.62 lakhs
Aircel 48 lakhs

Bharti Airtel has the largest customer base with 31%

market share, followed by Hutch and BSNL with each
holding 22% market share.

The 2007 budget has brought further relief to the

customers with the reduction in the tariffs, both local
and long distance, and with slashing down the
roaming rentals. This is likely to lead to even more
people going for cellular services and more and more
use of the value added services. However, landline
telephony is likely to remain popular, too, in the
foreseeable future. MTNL, the largest landline service
provider, has recently taken some bold initiatives to
retain its market share and, if possible, expand it.

Indian Telecom Analysis (2008-2012)

Telecom industry in India has undergone a revolution in the
recent years. The country is ranked second worldwide in terms
of having the largest telecommunication network, after China.
With the ongoing investments into infrastructure deployment,
the country is projected to see high penetration of Internet,
broadband and mobile subscribers.

According to our new analytical study on the sector “Indian

Telecom Analysis (2008-2012)”, mobile telephony continues to
fuel growth of the Indian telecom sector, with mobile
subscribers projected to grow at a CAGR of around 11%
between 2009-10 and 2013-14. Other segments of the industry
such as Internet and broadband are also anticipated to witness
strong growth in terms of both subscriber addition and network
infrastructure deployment over the forecast period.

Tele-density in India has improved significantly over the recent

years and has reached around 51% in the fiscal year 2009-10,
owing to improving network infrastructure. The launch of
advanced telecom services like 3G and IPTV will also drive the
growth in Indian telecom subscriber base over the forecast
period. Furthermore, mobile handset market is also expected to
register a robust growth in near future. In this regard, our report
provides rational analysis of the factors which are driving the
growth of mobile handset market in India. Also, various factors
driving the overall telecom market in market have been
thoroughly analyzed in the report.

The report provides a detailed study of the Indian telecom sector

and gives an analysis of the competitive environment prevailing
in the industry. The report thoroughly studies fixed, mobile,
Internet and broadband markets in terms of players and number
of subscribers. It also presents the future outlook of the Indian
telecom sector to help clients identify the growth opportunities
in the market.

External Factors

–Government & Social

Telecommunications in India were introduced in 1851 when the British
Raj first laid telegraph lines near Calcutta. Later, in 1881, the telephone
was invented by Graham Bell and British firms introduced what was
then known as POTS (Plain Old Telephone Services) into the colony. By
the time India achieved independence in 1947, the country had 321
telephone exchanges in urban areas with a tele-density of just about 0.25
phones per 1000 people. Telecommunication has been a state subject
since independence, especially till the mid 80s, when the government
controlled all the aspects of the sector through the ministry of Posts and
Telegraphs as a natural monopoly. Telephones continued to be looked
upon more as a luxury than as an essential means of communication
that could benefit business and administration. The result was a
concentration of telephones around urban and metropolitan centres.
Policy makers however, shifted their stand on telephones being a luxury
rather than an essential infrastructural tool for efficient business and
economic growth in the seventh 5 year plan (1985 to 1990). Thus began
the real development of telecommunications in the country. After a long
and extended debate over the ineffective development of the
telecommunication in the country, the Public Accounts Committee of
the Lok Sabha recommended a complete overhaul of
telecommunications and a long sought after reorganisation was
undertaken in 1986 to split the public, postal and telecom operations
into separate departments.
The growth of telecommunications in the real sense began with the late
prime minister, Rajiv Gandhi initiating the liberalisation of the sector
firstly by demonopolizing telecom equipment manufacturing in 1985.
This allowed private firms to manufacture telephones, while the
Department of Telecommunications (DOT) licensed switching
technology from various foreign firms. A simultaneous thrust was
provided to the national development of telecommunications equipment
by hiring non-resident Indian engineer, Satyen
(Sam) Pitroda to start the Centre for Development of Telematics with
the goal of designing an indigenous digital telecommunication switch,
whose manufacture would be licensed to local firms.
When actual reforms were initiated in 1994, there were three
incumbents in the fixed service sector, namely DoT (Department of
Telecom), MTNL and VSNL. Of these, DoT operated in all parts of the
country except for Delhi and Mumbai while MTNL operated in Delhi
and Mumbai, and VSNL provided international telephony.An
essential part of the entire game of privatisation is the setting up
of tariffs in order to be beneficial for all the players. This task
has been entrusted by the government to the newly formed body
for the purpose, The Telecom Regulatory Authority of India
(TRAI). TRAI issued its first directive regarding tariff-setting
following National Telecom Policy of 1994 aimed at re-balancing
tariffs and to usher in an era of competitive service provision.
As the NTP 1994 did not fulfil many of the important areas, so
TRAI introduced a reformed policy in 1999, called the New
Telecom Policy or NTP 1999.
Telecommunication is one of the fastest growing segments in
the country with the tele-density (number of telephones per
every hundred people) reaching 14.40% at the end of July 2006,
compared to 8.6% in Dec 2004. This was primarily because of
the liberalisation of the sector by Government of India, which
made telecom services readily accessible and affordable. This
phenomenal growth in Indian telecom has drawn the attention of
the world.
–Technology

The latest technology in telecom is 3G. 3G is the third generation of tele

standards and technology for mobile networking, superseding 2.5G. It is
based on the International Telecommunication Union (ITU) family of
standards under the IMT-2000.[1]

3G networks enable network operators to offer users a wider range of

more advanced services while achieving greater network capacity
through improved spectral efficiency. Services include wide-area
wireless voice telephony, video calls, and broadband wireless data, all in
a mobile environment. Additional features also include HSPA data
transmission capabilities able to deliver speeds up to 14.4 Mbit/s on the
downlink and 5.8 Mbit/s on the uplink.

Unlike IEEE 802.11 networks, which are commonly called Wi-Fi or

WLAN networks, 3G networks are wide-area cellular telephone
networks that evolved to incorporate high-speed Internet access and
video telephony. IEEE 802.11 networks are short range, high-
bandwidth networks primarily developed for data.

Service providers provide different services on networks. BlackBerry is

the latest one.BlackBerry services bring together smart phones and
software services to provide customers with easy wireless access to
email, phone, web and multimedia applications. At present, four
telecom operators - Reliance Communications, Airtel, Vodafone and
Tata Teleservices - are providing BlackBerry services.
Introduction of new technology in Telecommunications Services Sector
is always welcome by the customers since telecommunication has
become the dire need of the hour. Hence new technology causes
customer expansion and high profit margins.

-Demographics
The following demographic statistics are from the CIA
World Factbook
Total Population

1,147.996 million (July 2008 est. CIA)

Rural Population

72.2%, male: 381,668,992, female: 360,948,755

Age structure:
0–14 years: 30.8%, male: 188,208,196, female:
171,356,024
15–64 years: 64.3%, male: 386,432,921, female:
364,215,759
65+ years: 4.9%, male: 27,258,259, female:
30,031,289 (2007 est.)

The median age of Indians is 25.1 years.

The majority of the Indian population is in the age

group of 15-64 years. Mostly users of mobile phones
belong to this category of age. Hence, Indian holds a
great potential market for telecom service providers.
Even yuong generation of India is attracted more and
more towards cell phones and this has become a
trend and need of even small children in India. This
assures a high growth in this industry in future.

Most of the service providers have covered majority

of the urban population of India. But many far fledged
villages of India still need to be connected through
mobile phones. The untapped rural population of
India is a huge proportion of the 72.2% total rural
population of India. Also, the demand for telecom
service in rural people is increasing day by day. This
further ensures growth in the industry.

Demand Analysis

- Real and Nominal Growth & Supply/Demand Analysis

Indian telecom continues to register a significant growth in the current

fiscal year. This has been due to the impact of economic reforms and
pro-active policies of the government. Today, Indian telecom network
with about 364 million connections in October 2008 is the third largest
in the world .Indian telecom has achieved another milestone as it has
become the second largest wireless network in the world by surpassing
USA. With the current pace, where about nine million telephones are
being added every month, the target of 500 million connections by 2010
is well within our reach.

The total number of telephones has increased from 76.53 million on

March 31, 2004 to 363.95 million on October 31 2008. While 94.63
million telephones were added during the twelve months of 2007-08,
about more than nine million subscribers are being added every month
during the current fiscal year. Tele- density has also increased from 12.7
per cent in March 2006 to 31.50 per cent in October 2008. Rural
teledensity increased to 13.4 per cent in October 2008 with 109.05
million rural telephone connections. Urban teledensity on the other
hand has been 74.61 per cent in October 2008.

The growth of wireless services has been phenomenal, with wireless

subscribers growing at a compound annual growth rate (CAGR) of 87.7
per cent per annum since 2003. The share of private sector in total
telephone connections is now 77.44 per cent as per the latest statistics
available for October 2008 as against a meager 5% in 1999.

Rural telephones have gone up from 12.3 million in March 2004 to

109.05 million in October 2008 with a teledensity of 13.04%. The target
of 100 million rural telephones by 2010 has been achieved well in
advance.

It is also envisaged that internet and broad-band subscribers will

increase to 40 million and 20 million, respectively, by 2010. As per the
latest available statistics for September 2008, about 5.7% villages have
broadband coverage and the number of rural broadband connections is
1.55 lakh.

Foreign direct investment (FDI) is one of the important sources to meet

the huge funds that are required for rapid network expansion. The FDI
policy provides an investor-friendly environment for the growth of the
telecom sector. The policy of the Government of India is to strive to
maximize the developmental impact and spin-offs of FDI. At present,
74% to 100% FDI is permitted for various telecom services. The total
FDI equity inflows in telecom sector have been 1261 million USD during
2007-08.

The government is now looking forward to achieve the target of 600

million telephone subscribers by the end of Eleventh Plan and to
achieve rural teledensity of 25% by means of 200 million rural
connections at the end of 11th Plan. It is also envisaged that internet and
broad-band subscribers will increase to 40 million and 20 million,
respectively, by 2010.

Supply Analysis

–Degree of Concentration

Today, the telecommunications industry is a vast one with a large

number of private players who are constantly bringing down the cost to
consumers thereby making services more affordable and helping
improve life in general and business in particular. On the Indian
business scene are successful government owned institutions like MTNL
and BSNL on the one hand, and even more successful and aggressive
players like the Tata’s and Reliance on the other. Competition has just
begun and is heating up every day with either lowering of tariffs or
introduction of newer and improved services to keep a larger share of
the market. Reliance, for instance, has been one of the recent, more
aggressive players in the telecom business when it introduced a wireless
phone in the market for as low as Rs. 500.
–Ease of entry
Friction does exist between existing players and the newer entrants, as
also between the providers of
services based on different technologies (CDMA Vs Cellular). The same
needs to be resolved with government intervention through the
regulator in order to further improve the services. The telecom sector
today is not a small one and covers various services and many players
within each service. One of the most vibrant developments in
telecommunications has been Cellular telephony – a technology that
gives us
the power to communicate anytime and anywhere. This segment, a part
of the broader telecommunications industry, has today spawned an
entire industry in mobile telecommunication. Mobile phones today are
an integral part of growth, success and economic efficiency of
businesses. The government in India has today
recognized, providing world-class telecommunications infrastructure as
the key to rapid economic and social development of the country.

–Industry capacity

Conservative estimates put a tag of a 3% increase in the growth of GDP

for every 1% rise in the tele-density in the nation. Accordingly, this
sector has received a great thrust from the government for investments
and development.

Profitability

Increased FDI Flows

The Telecom sector is one of the largest attractor of Foreign Direct
Investment in the country, accounting for almost a fifth of FDI
approvals since 1991.
Heavy investment in Infrastructure
The cellular industry is responsible for the single largest chunk of
investment by any individual industry.
The industry has already invested over Rs. 20,000 crores and is
expected to invest even more in the years to come.
Revenue Generation for the Government of India
The cellular telephony sector is poised for big growth going forward
provided the government controls the
sector and its players in a healthy manner. Basic and Cellular telephony
form the back bone of communications in the country though the
internet too has played a pivotal role.

Employment Generation

As the number of licensees goes up and they start their operations with
77 networks on air, the employment opportunities in this sector will be
huge.

Key Findings
 • Much of the growth in Asia Pacific Wireless
Telecommunication Market is spurred by the growth in
demand in countries like India and China.
• India ‘s mobile phone subscriber base is growing at a rate
of 82.2%.
• China is the biggest market in Asia Pacific with a
subscriber base of 48% of the total subscribers in Asia
Pacific. Compared to that India ’s share in Asia Pacific
Mobile Phone market is 6.4%. Considering the fact that
India and China have almost comparable populations,
India’s low mobile penetration offers huge scope for
growth.
• The Internet Access Market in India is all set to grow twice
the existing value what with the increase in
deregularization, literacy level, increasing consumer
awareness, PC penetration etc.
• Broadband Wireless Market in India is all set to take off in a
big way. Over 70% of the households in India has no
access to wired lines and the number of mobile phone
users far outnumbers PC owners. Such a scenario
presents a very good opportunity for Wireless Broadband
Services.

Key Issues and Facts Analyzed

The research report also addresses the issues and facts that are
critical to your success:

• What are the emerging trends in the Telecom sector in

India?
• What is the future Outlook of the Telecom market in India?
• Who are the Key players in the Telecom Market in India?
• What opportunities exist for the Telecom market?
• What are the Challenges faced by the industry?
• How is the market affected by other factors prevailing in
the economy?
• What are the emerging technologies in the Telecom
Sector?
Key Players Analyzed

This section provides the overview, key facts, financial

information, future plans and business strategies of prominent
players in the Indian Telecom market like Reliance
Communications, Bharti Airtel, Hutchison Essar, Idea Cellular,
Aircel Ltd, MTNL, BSNL VSNL and Sify Ltd.

Research Methodology

Information Sources
Information has been sourced from namely, books, newspapers,
trade journals, and white papers, industry portals, government
agencies, trade associations, industry news and developments
and through access to more than 3000 paid databases.

Analysis Methods
The analysis methods includes the following: Ratio Analysis,
Historical Trend Analysis, Linear Regression Analysis using
software tools, Judgmental Forecasting and Cause and Effect
Analysis.