Aiming to capture a major pie of the data market, Reliance Communications (RCom) has launched 3G mobile services in five additional circles, taking its total footprint to 18 service zones.
The services in the five new circles — Karnataka, Andhra Pradesh, Tamil Nadu, Kerala and Uttar Pradesh (East) – will commence from June 20.
RCom, controlled by billionaire Anil Ambani, will provide the services by entering into intra-circle roaming (ICR) agreement with other operators. The company, however, did not disclose the operators it had entered into agreements to provide 3G services.
According to industry sources, RCom has entered into roaming agreements with Aircel to provide the services across these circles. RCom officials declined to comment on the roaming agreements.
On April 30, Telecom Disputes Settlement and Appellate Tribunal (TDSAT) had overturned a ban on sharing on 3G spectrum, a move that enables operators to provide the services in circles they did not win airwaves.
“This makes our service available in all metros and major metros in the country, enabling us to target the fast-growing data market in these circles. Together, these circles account for 80 per cent of incremental smartphone sales in the country,” said Gurdeep Singh, Chief Executive Officer, Consumer Business at RCom.
Launching services in the five additional circles would help RCom cover 80 per cent of country’s 3G data revenue market. RCom is targeting corporates, small and medium enterprises and high-value customer markets, the company said in a statement.
This expansion will help the telecom operator, which straddles both GSM and CDMA technologies, to further consolidate its data leadership position in the Indian market. The rollout would also help the company offer high-speed 3G services in the entire southern part of the country and UP-East.
At present, the company’s present footprint covers 13 circles (Delhi, Mumbai, Kolkata, Punjab, Rajasthan, Madhya Pradesh, West Bengal, Himachal Pradesh, Bihar, Orissa, Assam, North East and Jammu & Kashmir).
Shares in RCom closed down 3.95 per cent at Rs 148.25 on a weak BSE that ended down 0.43 per cent on Wednesday.