Category Archives: Telecom Sector

Telecom Ministry Presses For Strategic M&A Guidelines

There is no doubt left that post the 2G scam, the telecom industry was taken aback and that is why so much was being talked about the same. There was desperate need to clear out lines of operation so that all the involved parties can get satisfaction. There are recent reports that the communications ministry is in favour of making the M&A norms more liberal so that the best possible services to the customers can be provided.

However, the complete draft has not been made public, close sources have made it clear that there should not be more than six or seven players in a circle (service area). It has been told that post a deal, it should be considered that of the entire total stake, the combined entity should not have more than 25% of the total available airwaves in that region.

Apparently, the telecom department (DoT) panel is not that keen to go with the recommendation given by the TRAI. There is call for making combined entity’s market cap not more than 35%. However, the matter would be discussed by the Telecom Commission in the time to come. There are chances that the matter would get some final look in the next meeting on December 1.

However, bringing the industry, the ministry and the opposition to one common point is not that easy and who better than Telecom Minister Kapil Sibal can tell about this, who would be seeking Cabinet’s approval before enforcing NTP.

There is confirmed news that Telecom Minister would be putting up his best efforts to ensure that this matter is being resolved between the government and service providers soon.

“I will meet with the industry players soon to discuss the 3G roaming issue, industry players have sought time and I am hopeful to resolve the issue”, said Sibal.

Ericsson Join Hands with Airtel

It has been reported that the Swedish firm Ericsson has finalized a deal with Airtel in order to handle more than 70% of Airtel’s network in India, whereas Nokia Siemens Networks (NSN) will be handling the rest of the parts, though the authorities have not disclosed the amount as of now.

“This unique multi-technology managed services partnership with Ericsson will help us focus on creating a compelling service proposition for our customers, as we look to ramp up our market access”, said that Airtel’s Chief Executive Officer for India and South Asia, Sanjay Kapoor, while briefing the contract. Under the spell of the contract, Ericsson will be liable for surplus 15 service areas such as managing Airtel’s networks in regions of Delhi, Haryana, Punjab, Himachal Pradesh, UP, Rajasthan, Jammu and Kashmir, Assam, the North East, Karnataka, Andhra Pradesh, Tamil Nadu, Chennai and Kerala.

In a statement, the company said that Bharti Airtel is one out of the leading global telecommunication companies that successfully delivers its services in around 19 countries across Asia as well as Africa. The service provider has refined its managed services agreement with Ericsson, especially for Indian operations.

In addition, the company authorities have also notified that the five-year contract will support multi-vendor and multi-technology, where Ericsson will be liable for operating maintaining as well as providing its services across 70% of Bharti Airtel’s network across India. Simultaneously, Ericsson will be employed to manage Bharti Airtel’s prepaid customer base.

Sanjay Kapoor has claimed that India can be observed as the third largest internet market with a noteworthy increase in the data traffic, higher number of smartphones as well as wireless networks. Ericsson is believed to have a significant role to create Airtel’s 3G networks in Indian service circles.

TRAI Keen on Eradicating Pesky Calls, Messages

The Telecom Regulatory Authority of India (TRAI) is in the thick of things these days. Not long ago, it dropped a limit on the number of SMSs that a user can send on a daily basis and now, it has stressed that a strict and stern action is deeply required by Telecom service providers in order to entirely wipe out the threat of unsolicited messages and commercial calls.

TRAI officials said: “We are doing an audit of what the service providers are doing and we have found that some service providers need to tighten their measures”.

It is likely to finalize suggestions for blocking stolen and lost mobiles by the end of 2011 with the intent of curbing the illicit practice of handsets market. In addition, it will also discourage the extensive theft of mobiles, not counting the misuse of the stored personal information and other imperative data in such handsets.

While expressing his opinion regarding the guidelines, a TRAI official asserted that the recommendations were expected to be revealed by the end of November, the process has been delayed a bit as TRAI has encountered a few issues related duplicate IMEI numbers being used extensively in mobile handsets accessible all over the market, which is not all that easy to track. And therefore, TRAI is effectively working on soling the issue of concern at earliest. Though the officials of TRAI are not sure how much time will it take in fixing the said issues, it is being expected that TRAI authorities will find some way out to tackle fake IMEI numbers by the end of this year.

The International Mobile Equipment Identity, or IMEI, is a unique serial number allotted to handsets for easing out the process of identification, when and if needed. The number is recorded in the database of EIR, the Equipment Identity Register, of the service provider.

Ericsson Eyes Indian Market As Export Center For Networking Gear

Telecommunication equipment manufacturer Ericsson stated that it was looking at making the country a worldwide export centre for networking gear from its Jaipur plant.

Ericsson India President Fredrik Jejdling stated, “We have recently increased capacity at our facility in Jaipur. In the future, we are looking at making this facility a global export hub.”

But, he refused to remark on the details of investment and time period for beginning for exports from the division.

Commencing with wireline hardware fabrication, it makes 2G and 3G tools at the said division.

Ericsson handles assembly lines offering tools for radio access system, core net, transmission solutions and modules from the division.

With the initiation of novel technologies, comprising 3G and TD-LTE, in the country, the development was done to expand the company’s capacities to hold up the clients in a better way.

“We can now look at exporting to other countries as well,” Mr. Jejdling said.

Ericsson owns manufacturing divisions in Sweden, China as well as Brazil.

Qualcomm applies for BWA spectrum

One of the main players in the field of advanced wireless sector, Qualcomm Incorporated has applied its bid for the Broadband Wireless Access (BWA) spectrum.

It has submitted its application with the government and expects to get an answer very soon.

The leading provider of services, technologies and products in its area of business, Qualcomm has taken this step so that it is able to make Indian partners after the bidding is over.

This is in compliance with the requirements of the Indian Foreign Direct Investment regulations, which ask for an Indian partner with a foreign company, whenever it is looking for investing directly within the country.

The other reason behind this step is that Qualcomm wants to show its capacities in the field of TD-LTE technology. It is looking for partners who can compliment it in this filed, so that it can use the upcoming 3G technology to the fullest of its advantage.

Qualcomm is certain that it would find a partner just in time before the 3G technology is launched in India. With that it will be able to provide its users the best possible experience in the segment.