Tag Archives: Tata-WiMax-Broadband

Tata Communications Banking on Managed Services

Cloud-Managed-ServicesChanges in the telecom and internet market, including significant competitive and regulatory pressures, are driving business and IT transformation within network service providers worldwide. To overcome these challenges, operators are steering their businesses towards multi-sided, cross industry collaborative models, wherein service providers equipped with the relevant infrastructure and delivery capabilities will provide managed and end-to-end services. The value additive nature of the managed services business renders it less vulnerable to technology upgradation and hence service providers can charge premium value based prices. Continue reading Tata Communications Banking on Managed Services

End of Tata’s WiMax Broadband Dream Run

In a Conference call with Analysts [I couldn’t make it but here are the excerpts] Tata Communications Ltd, erstwhile VSNL acknowledged the end of its WiMax Dream Run.

Credit Suisse Analysts wrote,

Management expressed disappointment over not having won any spectrum in the recently concluded BWA auctions in India. Management indicated that prices crossed their internal realistic valuations quite early in the auction process, and thus it opted out of the bidding.

Continue reading End of Tata’s WiMax Broadband Dream Run

Skepticism on Tata WiMax Broadband reaches Dalal Street

Analysts do give a company sometime before they react on recommending a stock and the amount of time Tata Communications got was more than anybody expected. What is really commendable is the report released by HSBC Telecom Analysts – Sharma and Grinnan who have openly expressed their views against Tata Communications WiMax Broadband.

The authors say,

We have a sceptical view on WiMax, especially as an effective solution for retail broadband. Furthermore, the recently announced broadband policy is ambiguous and near-term release of broadband spectrum looks unlikely. In our view, WiMax faces a variety of technical challenges, including global spectrum fragmentation,  performance issues relating to TDD operation, technical power management and sub-optimal mobility and voice support. Given this, we believe raising finance to fund WiMax initiatives would lead to value destruction.

It is only now that the management really wakes up to fix issues as Investors began to question them.  E-Mail sent to Tata Communications went unanswered [Thanks to Google Apps, I still have the mail in my archive]. Maybe with the departure of  laidback President [Broadband & Retail] Shankar M. Prasad, services will improve in the company. Also, WiMax as a technology is yet to mature and deliver its best, hopefully it will.