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Telenor India (Uninor) Optimistic about Growth Opportunities in India

Uninnor's Demographics Based Strategy in IndiaTelenor which was embroiled in the 2G Spectrum scam for choosing a wrong partner – Unitech Ltd managed to win 6 Circles in the recently concluded auctions. These 6 circles cover ~600m people and almost 40% of Indian GDP. Penetration rates are lower than average, with Telenor estimating real penetration at just 40%. [Telecom strategy akin to what we recommended Reliance Infotel / Videocon to Bid for in the Auction – the Bottom 16 Circles] Telenor will now reduce its footprint from nine to six circles following the outcome of the 1800MHz re-auction process. It is possible that it will remain in Mumbai following a second auction of unused frequencies, but various conditions and the competitive interest from other operators make this unlikely in our view.

What is noteworthy is Telenor’s low cost business model is well suited to the lower than average income Continue reading Telenor India (Uninor) Optimistic about Growth Opportunities in India