Comments on: NTT DoCoMo Moves Into India, Buys a Piece of Tata

By: Redmond making mobile moves

Redmond making mobile moves — Thu, 13 Nov 2008 22:12:26 +0000

[...] Japan’s DoCoMo buys $2.7B piece of Tata [...]

By: Tarun Dua

Tarun Dua — Thu, 13 Nov 2008 18:20:55 +0000

Agree with Chetan. Tata Group and ethics, anyone who has dealt with VSNL/Tata indicom should be able to clarify that misconception.

By: Chetan

Chetan — Thu, 13 Nov 2008 18:03:01 +0000

Om,

Tata Group and Ethics ? I will enlighten you here,

Tata Power invested Rs 500 crore in Broadband Infrastructure and they sold the same to group company VSNL at 50% discount 5 years later. In the end, who lost ? The shareholders of Tata Power. [My question was simple, when India faces severe power shortage, what is the need for Tata Power to invest in broadband ?] I had written to Ratan Tata on 09/23/05 [I still have e-mail Proof] questioning his investment, but as usual like any other Indian CEO/Chairman he didn’t bother to reply.

Also, have a look at this Video featured on CNN IBN about the functioning of their Tata Group’s ISP division :-)
http://in.youtube.com/watch?v=dFpWy0ZoC2M

Almost all the Indian companies are the same – Customers and Shareholders are at the mercy of the management.

By: Tata - Don’t be evil - We Hope | IT Management and Cloud Blog

Tata - Don’t be evil - We Hope | IT Management and Cloud Blog — Thu, 13 Nov 2008 15:33:00 +0000

[...] NTT DoCoMo Moves Into India, Buys a Piece of Tata [...]

By: Om Malik

Om Malik — Thu, 13 Nov 2008 15:15:01 +0000

@Sidharth

I think it is valuation mostly because of the ethics of the parent. secondly, i think NTT sees an upside in the investment itself. it is a fairly good investment — but i guess premium is one of the reasons why Tata might have sold the stake to them versus some private equity group.

By: Sidharth

Sidharth — Thu, 13 Nov 2008 15:11:14 +0000

Absurd valuation. Reason is that Tata Tele is very behind in the marketplace inspite of it being the first provider in many states. They have just about 30% of the subscriber base of Bharti Airtel. And as far as ARPU is considered Tata Tele is probably the worst. I think NTT has paid huge huge premium just to get a toehold in the market