Tag Archives: Telecom-Tariff-War

RCom Reveals – Wireless Revenues Included Handset Sales – Discrepancy in Revenues Explained

Breaking News in Global MediaThis has come as a surprise to me and most of the analysts in the call that Reliance Communications booked revenues by sales of proprietary CDMA handsets as Wireless Revenues. JeeZ!!!! This means actual Wireless Services Revenues far below competitors ? Since Tata Indicom is unlisted, we don’t know about it. But Airtel & Vodafone did bundle handsets, did they also do the same ? This explain the discrepancy in Wireless Revenues reported by the company to BSE & NSE and that reported by TRAI. [ Anyway, I am not an accounting major to audit and pin-point, but you understand the practice followed here] More excerpts from the call as follows, [My comments in Brackets] Continue reading RCom Reveals – Wireless Revenues Included Handset Sales – Discrepancy in Revenues Explained

Airtel Freedom Plus – 20% to 44% Expensive than Simple Reliance Tariffs

Yesterday at the Analyst call, Bharti Airtel executives denied to cut call tariffs. However, shortly after they announced Airtel Freedom Plan which is the Biggest Marketing Gimmick by Bharti Airtel.

Airtel is clearly worried about two competitors – Reliance Communications and Tata DoCoMo and hence the new tariff plan. Airtel Freedom Plan is based on the core themes of DoCoMo’s Per Second Billing and RCom’s Simple Tariffs which the customers are demanding. Airtel’s marketing team designed this Continue reading Airtel Freedom Plus – 20% to 44% Expensive than Simple Reliance Tariffs

Bharti Airtel – Banking on Brand + Coverage + Won’t Match Lowest Tariffs

The management of Bharti Airtel hosted Analyst call this afternoon and continued to reaffirm their stand that Tariff cut is uncalled for by them. Mr. Akhil Gupta said,

As seen time and again, STRONGER Player do emerge winner even though they suffer in short term. Lost to new operators will be irreparable. We are Truly Integrated Telco with 35% of EBITDA from non-wireless business. We acknowledge that price is important but as market leader, we do not find any reason to match Lowest Common Denominator. We may suffer temporary setback in Revenue / profit Growth, but in the long run we have a great opportunity.

Mr. Manoj Kohli said, Continue reading Bharti Airtel – Banking on Brand + Coverage + Won’t Match Lowest Tariffs