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Telecom Roundup: RCom-VAS; Telecom Licences, Tariffs; CDMA Subs; 3G vs 4G

— Mahesh Prasad, President of RCom’s Applications, Solutions and Content group has told Business Standard in an interview that the net contribution from VAS (the story says ‘network contribution’) each month is in the range of 10-15 per cent. Mobile advertising is a very small component of this.

— The Department of Telecom (DoT) believes that with new players entering the fray, tariffs in India – already the lowest in the world – will fall by as much as 50 percent.They expect at least six (AT&T, (NYSE: T) Spice, HFCL, DLF, Parsvnath and BPL Mumbai) of 20 applicants for pan-India licences to convert their letters of intent into licences by paying a licence fee of Rs. 1650 crore. COAI (the GSM lobby) is contesting this move of collecting a non-refundable fee of Rs. 1650 crores without guaranteeing spectrum.

— TRAI is considering putting a cap on the number of tariff packages being offered by telcos, because which makes it confusing for customers. Apparently, there are over 5000 packages being offered. That explains Airtel’s latest advertisement, that pokes fun at confusing tariff plans. Another thing: only six million subs out of 252 million subscribers have registered for the “do not call” registry.

— The number of CDMA users increased by 1.94 million to 52.99 million as of October 31. Reliance Communications added 1.20 million users, while Tata Teleservices added 711,245 subs.

— Some questions being asked about India’s 3G policy in The Asian Age: Why Not 4G?. The issue appears to be that there isn’t a clear definition of, which is why 3G is the only option as per former TRAI member DPS Seth. I have this conspiracy theory – with IP based telephony, voice revenues are likely to decline, replaced by subscription charges for data transfer. Telco revenues will be hit. Currently, they charge as per pulse rates. Also, do read this article from over a year go.

One Response to “Telecom Roundup: RCom-VAS; Telecom Licences, Tariffs; CDMA Subs; 3G vs 4G”

  1. Apparently, there are over 5000 packages being offered. That explains Airtel’s latest advertisement, that pokes fun at confusing tariff plans. Another thing: only six million subs out of 252 million subscribers have,m , thanks