[qi:83] For AT&T (T) and Verizon (VZ), it has become impossible to ignore one of the world’s fastest-growing mobile markets: India. The Wall Street Journal reports on a recent trip AT&T CEO Randall Stephenson took to India, in which he was looking to make a wireless play in partnership with local telecom company Telecom Mahindra.
“You can’t look at the market and not get excited,” Stephenson told the Wall Street Journal. This wouldn’t be AT&T’s first Indian venture; it previously had a stake in Idea Cellular, but sold it for $210 million. That company now has a market capitalization of $8 billion.
Now there are reports that Verizon might be working with a new entrant — Videocon — as part of its India strategy. Verizon confirmed that it has a partnership with Videocon, but that is for fixed-line services including international long distance. It is still not clear if their partnership extends to the wireless business. British Telecom is also considering offering wireless services in India. India is expected to have 500 million mobile subscribers by 2010.
Update as of Monday, Oct. 1: AT&T’s Indian unit, in partnership with Mahindra, has applied for licences to provide services in all the telecoms circles or zones that make up India’s telecoms markets. lhas Yargop, president for information technology sector at Mahindra & Mahindra, told Reuters that AT&T would hold 74 percent in the partnership and Mahindra Telecommunications would own the rest.
Should be “Telecom Mahindra”
Om,
how is the Indian market readiness for data applications? Is it still voice & person 2 person sms?
Thanks,
-Uday.
I believe and think, it is huge market and usage of VOICE/SMS & DATA will need more horsepower to process them. Telecom industry in India is boom and will grow really high.
In India, SMS marketing strategy is also key factor and company pays hefty amount to market their product by SMS. SMS is free in India.
No wonder all big companies prefer to invest their in India.
Its WIN WIN situation for any company who can step in.
“SMS is free in India.”
Free to receive, I believe. You pay to send. Either way, the US telecoms are looking at a much different way to offer mobile services. A much better way for the consumers too.
SMS is free (in India) for receiving . It is chargeable to send an SMS; ranges from a low tariff for a simple text messages to a high tariff for MMS and special SMS (like responding to a TV show query etc).
I think for now it is SMS and VOice. I am pretty sure that India is going to be one of those countries that is going to skip the entire 3G thing and go straight to WiMAX/4G option. There is a lot of excitement there, and why not. It can clearly help connect the rural and non-metro areas.
not to sound selfish but if att goes in india how that gonna help us in america i don’t see it helping us i see it as them just trying to get more money even if it comes from india.
Right data applications.. haha.. if they could boost the speed of EDGE here at least i’d be happy.. its not like theyre going to get any piece of the 3G spectrum…
It’s Ulhas Yargop (the U is missing). and the company is Mahindra Telecommunications, which is a holding company with some private investment from the Mahindra family.
In India, SMS marketing strategy is also key factor and company pays hefty amount to market their product by SMS. SMS is free in India.
Right data applications.. haha.. if they could boost the speed of EDGE here at least i’d be happy.. its not like theyre going to get any piece of the 3G spectrum…