Vodafone India’s results suggest some company specific factors at play while also serving to highlight some cautionary aspects pertaining to the Indian wireless industry. Several metrics appear subdued relative to peers, be it mobile subscriber adds, data subscriber adds, EBITDA margins voice usage, all of which reflects in softening ARPUs and slowing revenue growth.
Vodafone has specifically called Continue reading Cracks Appear in Vodafone’s India Operations
Over the past 12 months, Indian Telecom Operators have started disclosing Data Revenues and metrics separately to give a sense of the performance of Data Networks in India. Currently, data revenue is being driven by 2G data, as 3G smartphone penetration is still low and 90% of data subscribers are still on 2G. However, 3G data revenue is set to pick up. On the back of rising investments in 3G networks, improving smartphone penetration and narrowing data pricing arbitrage between 2G and 3G. Continue reading India QoQ 3G Data Growth Strong and Rising
Before I write about the M&A in Indian Telecom, I’d like to write a little more on the evolution of Wireless Data / Broadband services.
Investment Bankers and Strategists at Telecommunication companies are pitching that Data as the next Big driver for the sector, especially with the advent of cheaper access devices. Let us study the Rise of Data as Percentage of Revenues for Telcos in Asia Pacific – Singapore, Hong Kong, Japan, Korea, Taiwan, China and Malaysia. All these markets are ahead of India in the Telecom revolution and thus they have a lesson which Reliance / Mukesh Ambani and others can peruse through to learn from. Continue reading Wireless Data / Broadband – Percentage of Total Revenues + Risk = Caution to Reliance