INSUBCONTINENT EXCLUSIVE:
consolidation in the sector.
Balesh Sharma told reporters on Thursday the the company will invest in key and profitable areas, focus on
controlling costs in non-priority ones, reduce number of price plans and maintain a minimum low value recharge for subscribers, so all come
under a billing cycle in a bid to raise average revenue per user (ARPU).
He added that the company would focus on expanding 4G at this
comments came on a day Vodafone Idea chairman Kumar Mangalam Birla again met telecom secretary Aruna Sundararajan
Birla had recently met senior government officials as well, to discuss severe cash crunch in the sector and seek a deferral on some
spectrumrelated payments due in March.
Vodafone Idea, which reported its first quarterly results last week, clocked an ARPU of Rs 88
Idea but the whole industry that was suffering
economics will you give away a product below price when you have unlimited demand and limited supply (I am) very confident prices will
25,000 crore via equity, has chalked out a capex plan of Rs 33,200 crore for FY19 and FY20, including Rs 27,000 crore of fresh capex and Rs
6,200 crore drawn from synergies largely due to network integration for expanding 4G network to protect its turf against erstwhile market
leader Bharti Airtel and Jio.
The operator said it will concentrate on expansion of 4G, and plans to increase its coverage to over 80% of
India's population by March 2020, from the current 50%.
The company has been on several cost rationalisation measures since inception and
Sharma said the hiring freeze was one such initiative
said integration of the two telcos and their respective networks is moving ahead of plan and the company will be able to unlock annual
synergies worth Rs 14,000 crore by FY21, compared with the earlier estimated FY23
The telco, like its rival Airtel, will not subsidise handsets but continue to offer bundled offers with multiple handset manufacturers to
bring down smartphone price points, the CEO said.
