The great telecom debacle of India


Telecom company Vodaphone knew this money was due but they kept on fighting the case. Airtel made provisions for it in case of govt. does not agree. Let Vodaphone be taken over by someone else. This is not new drama which india inc. does. You need to understand from whom this analysis is coming, he is a biased person. If this is such a critical issue then why he is not expecting political parties to take up the matter in the parliament and set aside the so called stupid condition. But why no political party wants to discuss it.

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No one would like to kill a cash cow. The reason why the absurd law has not yet been revisited is that Govt is generating revenue from it. The same goes with fuel prices too where both central and state Govt earn taxes. Only time can force one to relook and reconsider alternatives.

There was a time when Vodafone and Idea used to activate unwanted VAS and debit money without customer’s consent. They’re now paying the price losing subscriber base continuously.

These have little to no significance on the business. Everything what an end user goes through will not have any impact on the business. In fact, even if some end users are facing some trouble with a company, if the company is profitable, investors will stay with it. If such end users move in exodus, which will be reflected in quarterly or yearly numbers, then there will be significant impact.

There is no niche, a specialty that can be created with all the technologies, so all service providers more or less follow the same approach for profitability, otherwise they will not be in the business. Technology sometimes is a commodity, it does not matter who sells it.