Mobile Pundit

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Reliance GSM services by March ‘07

Posted on | June 20, 2006 |

Business Standard reports that Reliance Communications may launch its GSM services in Delhi and Mumbai by March 2007. It expects the 1,800 MHz spectrum to be allocated by October.

The company has also roped in JM Morgan Stanley (JMMS) as financial advisor for a proposed re-organisation.

Even though the exact details for the reorganistaion were not available, sources speculate that this could be bringing all its telephony operations - internet, CDMA, GSM and submarine cable - under one umbrella.

Reliance maintains that it has no intention to exit its CDMA business. The company plans to operate a national GSM network through its subsidiary Reliance Telecom.

Reliance has earmarked around Rs 2500 crore for its GSM foray into new circles. It plans to invest about Rs 1200 crore for the Mumbai and Delhi circles, and about Rs 1500 crore for the existing GSM eight circles.

The funding for the project will be done from the $1.4 billion capex for FY07, and Reliance Communications expects the GSM rollout to cost around one-third of a greenfield rollout.

  • Will save 30% on basic infrastructure, because the cell sites, the steel structures and the back haul network will be common to both CDMA and GSM networks.
  • The cost of equipment has reduced by half in the last four or five years.
  • Will save another 15% on distribution as it will use its 200 Web Worlds to sell the GSM service.
  • Branding cost will be lower as the main brand is already well established, though it may create a sub-brand.

Comments

7 Responses to “Reliance GSM services by March ‘07”

  1. GPRS facility should be given
    November 8th, 2006 @ 5:11 am

    GPRS facilty should be given as early as possible. Still poor signal quality in rural areas and most of the areas signal is not available particularly along the highways and railways.

  2. ashok dayal gurnani
    August 25th, 2008 @ 11:16 am

    dear sir ,

    as we r waiting that when reliance telecom should change cdma to gsm in gujarat state . as i m from bhuj kutch having 9 CUG conections in my company, we r 100% satisfied with ur network services as well CUG bill plans but not satisfied with ur cdma mobile devises (espicialy in nokia n LG ). so its better u should apply GSM in reliance so atleast we should use good GSM mobile with large options . thanks

  3. Dr Varun sardana
    September 2nd, 2008 @ 5:47 am

    When this GSM reliance service will be launched.

  4. maqbul
    December 12th, 2008 @ 3:17 am

    as we r waiting that when reliance telecom should change cdma to gsm in gujarat state . as i m from surat

  5. Anuj Mittal
    December 13th, 2008 @ 6:46 am

    GPRS facilty should be given as early as possible. Still poor signal quality in rural areas and most of the areas signal is not available particularly along the highways and railways. come soon

  6. NIRAV
    December 28th, 2008 @ 4:33 am

    dear sir ,

    WHEN WILL IT STARTS GSM SERVICES
    as we r waiting that when reliance telecom should change cdma to gsm in gujarat state . as i m from CHHATRAL - KALOL having 6 CUG conections in my company, we r 100% satisfied with ur network services as well CUG bill plans but not satisfied with ur cdma mobile devises (espicialy in nokia n LG ). so its better u should apply GSM in reliance so atleast we should use good GSM mobile with large options . thanks

  7. shreya jhamtani
    January 7th, 2009 @ 7:37 am

    To the Reliance industries,
    Reg:reliance CDMA policy to GSM policy.
    Recently i stepped into a vadafone store,to interpret knowledge abot the new nokia supernova,since one of my relative had purchased it and i liked it a lot.but as i am not permitted to buy a non-CDMA cell phone,i am quite disappointed at our reliance policy.I request ull to come out with a GSM system so that i can buy the super nova on my birthday or either include the nokia supernova in your phone range.PLEEEEEEEEEEEEEEEEEEESE!!ill be waitin for a reply!

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  • VeerChand Bothra

    Entrepreneur, Mobile Marketer, Social Media enthusiast, Mobile Monday Mumbai founder

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