RCom to bring in cheaper mobile tariffs

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New Delhi, Jan. 11

Reliance Communications on Friday said that its proposed GSM services will be based on quality and affordability platforms. The company confirmed that it has received spectrum from the Government to offer GSM mobile services in 14 new circles. This takes its total number of GSM circles to 22 including the 8 operational ones.

The company, which has a pan-India CDMA network, currently owns 40 million subscribers. The GSM foray will enable it to target another 170 million more mobile subscribers.

The company said that its network will cover 97 per cent of the population, 23,000 towns and 6 lakh villages.

Company sources indicated that since RCoM was already offering cheaper tariffs on its CDMA platform, there was scope to launch its GSM services at tariffs that are much lower than the current levels.

Earlier RCom had alleged that existing GSM operators were in a cartel to fix tariffs.

RCom sources also said that it will soon come up with a tender to procure 100 million GSM lines.

This will be the biggest tender in the country yet valued at over $6 billion.

Taken from Business Line

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