Virgin Mobile entering India

Posted on | May 19, 2007 |

Virgin Mobile is entering the Indian market through a 50:50 joint venture with Tata TeleServices, possibly in the next month.

Virgin will exclusively license the Virgin Mobile brand and technology expertise in the area of value-added services (VAS) and handsets to TTSL. This will allow CDMA operator TTSL to use Virgin’s core expertise in marketing and service innovation to create offerings which will be largely targeted at the youth segment

The Tata Indicomm brand will be positioned as the mass market brand while Virgin will be a more youthful brand as it is seen globally. The move is likely to help TTSL expand market share from the current 7.1% (over 11 million users) as Virgin, one of the most respected service brands in the world, has a global connect with the youth segment. Youth comprise nearly 50% of Indian cellular users.

Virgin Mobile is the world’s first mobile virtual network operator (MVNO).

It does not maintain its own network and instead has contracts to use the existing networks of other providers, on which it offers services under the Virgin brand. The company is present in six countries

Category: Tata

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