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Section F, Group 1Indian Telecom Industry

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Evolution 1995

NTP 1999 - > growth 1999-2003

Per month net addition >6mn 2006-07 Subscriber base boom 2008-09

Price war 2009-11

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Prepaid vs postpaid

Technologies

 ARPU (Average Revenue Per User) Minutes per Use (MoU)

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Major Players In Telecom IndustryThere are 3 types of players in telecom services:

• State owned companies (BSNL and MTNL) 

• Private Indian owned companies (Reliance Communication, TataTeleservices)

• Foreign invested companies (Vodafone Essar, Bharti Airtel, Idea )

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Operator  No Of subscribers('000)  Market Share 

Bharthi Airtel 162203  19.99 

Reliance telecom  135719  16.72 

 Vodafone Essar 134570  16.58 

BSNL  91834  11.32 

Idea  89503  11.03 

Tata  89139  10.98 

 AIRCEL 54843  6.76 

Uninor  22792  2.81 

Sistema  10057  1.24 

 Videocon  7106  0.88 

Others  13823  1.70 

TOTAL  811589 

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19.99

16.72

16.5811.32

11.03

10.98

6.76

2.813.81

Percentage Market Share

Bharthi Airtel

Reliance telecom

 Vodafone Essar

BSNL

Idea

Tata AIRCEL

Uninor

Others

 All India GSM Cell Subscribers as on

 Mar ‘10 

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Bharti Airtel

Founder Sunil Bharti Mittal 

Bharti ‘s Famous “Minute Factory Model” combined with a lowcost structure.

New identity seems to focus clearly as their portrayal of a

global brand

Brand ambassdors being Saif and Kareena

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VODAFONE

Predecessor Hutchison Essar

From Pug to Zoozooperstars Vodafone ZOOZOO Magic

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BSNL India's largest public sector Telecommunications Company

Undisputed Leader in Broadband with 60 % Market Share.

It has1.5 Million 3G Users out of 60 Million Total Consumer

Base.

Deepika padukone became Brand Ambassador of BSNL India

By replacing Preety Zinta.

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AIRCEL COO -Gurdeep Singh

Joint enterprise between Maxis Communications and the

Apollo Hospitals.

Mass marketing in Southern India

Roped in Indian Captain M S Dhoni as the brand ambassador.

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Present and Future Industry

estimates

0

200000

400000

600000

800000

1000000

1200000

1400000

1600000

2008 2009 2010 2011f 2012f 2013f  

   N  o  o    f  m

  o    b   i    l  e  p    h  o  n  e  s  u    b  s  c  r   i    b  e  r  s    (    '  0  0  0    )

End of Year (f denotes forecast)

MOBILE

MOBILE

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0

20

40

60

80

100

120

140

160

180

200

2008 2009 2010 2011f 2012f 2013f  

   I  n    d   i  a  n   N  a   t   i  o  a  n    l   R  u  p  e  e

End of Year (f denotes forecast)

GSM ARPU

CDMA ARPU

ARPU

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0

5000

10000

15000

20000

25000

30000

35000

40000

2008 2009 2010 2011f 2012f 2013f  

   F   i  x  e    d   L   i  n  e   S  u    b  s  c  r   i    b  e  r  s    (

    '  0  0  0    )

End of Year (f denotes forecast)

Fixed-Line

Fixed-Line

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0

50000

100000

150000

200000

250000

300000

350000

400000

450000

2008 2009 2010 2011f 2012f 2013f  

   N  o  o    f   i  n   t  e  r  n  e   t  s  u    b  s  c  r   i    b  e

  r  s    (    '  0  0  0    )

 Year (f denotes forecast)

Internet

Internet

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2G SCAM 

TRAI

DoT

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Sources and references Business Monitor International India

Telecommunications Report Q3 2011

CRISIL Telecom Services Industry Report April 2011

TRAI website http://www.trai.gov.in/ 

 Websites of telecom service providers:

http://www.airtel.in/ 

http://www.vodafone.in/  http://www.ideacellular.com 

http://www.bsnl.co.in/ 

http://www.aircel.com/