Does Reliance change its strategy?

Publié le par Jean Arnal

Does Reliance change its strategy?

Surprisingly Reliance (India) has applied for new GSM spectrum, and plans to start operations in Mumbai, New Delhi, and several other circles. Reliance was known as a CDMA operator in India (with some 20m mobile subscribers) while it also has a small GSM network in Northeast India (2.2m users). Most of its CDMA network is, however, fixed wireless (wireless local loop). As Reliance said it should not increase its capex, the move should be made at the expense of its CDMA business. Looking to expand in rural India as other operators, Reliance should have been attracted by lower handset costs, essential for success. GSM is the dominant cellular technology (more than 75%) in India. It is expected that Reliance would continue to run both networks at least for a while.

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