RCom to focus on exploding data market
13 Aug 2012
Reliance Communications is betting big on data and would focus on wireless mobile data market during the remaining quarters of this financial year as revenues from voice calls wanes.
''RCom is aiming at data leadership to increase its data market share from the present 20 per cent to 24 per cent,'' RCom president and chief executive (wireless business) Gurdeep Singh said.
According to Singh, there is a huge revenue opportunity from the data market. The data market is likely to grow from the current Rs7,000 crore to over Rs35,000 crore in the next 4-5 years, he said in an analysts call.
Late on Saturday, the Anil Ambani group company reported a 3.2 per cent rise in first quarter net profit at Rs162 crore on a consolidated basis, compared with a net profit of Rs157 crore recorded during the same period a year ago. (See: RCom Q1 net profit up 3 per cent at Rs162 crore)
The company, which provides both GSM and CDMA services, is now focusing on the wireless mobile data market, Singh said, adding, RCom's network is ''built for the internet''.
The Mumbai-based company would also look at roping in customers of Uninor - across circles such as Tamil Nadu, Kerala, Karnataka and Orissa – by launching new offerings.
Uninor had announced shutting down of operations, after its licences were cancelled following the 2G spectrum scam.
The company has 4 million active 3G users with an average consumption of 240 megabyte of data per user. The company's wireless business has posted revenue of Rs2,451.4 crore in the June quarter, Singh said.
RCom is also strengthening its 2G GSM network via intra-circle roaming agreements with other teleom operators.
