Reliance Communications signs intra-circle roaming agreement with Aircel

Reliance Communications (RCom), the telecom operator controlled by billionaire Anil Ambani, has signed an intra-circle roaming agreement with Aircel. The company is also is in advanced stages of negotiations with several operators for similar agreements.

RCom expects similar agreements to be in place by the second quarter of this financial year, according to a statement issued on Tuesday.

These agreements would help the company in providing wider coverage and uninterrupted service across the country. Once in place, RCom's 2G GSM customers would also be able to roam seamlessly on all partner networks, free of any additional cost.

These ICR agreements will increase RCom's national 2G GSM network footprint by 10,000 base stations and bring in an addressable market of over 150 million customers, adding up to a market opportunity of over Rs10,000 crore.

''We are already in advanced stages of talks with several operators across the country to put these agreements in place, and are delighted to announce the first of many such alliances today - a pan-India 2G GSM ICR agreement with Aircel,'' Gurdeep Singh, president and chief executive officer (wireless), Reliance Communications, said.

''In today's highly-competitive and cluttered telecom scenario, this agreement will expand RCom's network footprint at no upfront cost - a 'Pay As You Use' model - and improve both service quality and operational efficiencies. We believe that the timing for such alliances is just right, as the industry is now moving into consolidation mode,'' he added.

The 2G GSM ICR arrangements with various other operators will see a fast-paced expansion of RCom's GSM network footprint at no extra cost, optimize capex and opex spends and allow the company's customers a seamless roaming experience on partner networks.

In addition, increased capacities will significantly improve both outdoor and in-building coverage, providing RCom customers with an enriched mobility and data experience.

''These agreements will optimize RCOM's network resources and further entrench our position as a pan-India scale operator, while offering our customers dependable and uninterrupted services,'' Singh added.

Kaizad Heerjee, chief operating officer at Aircel, said, ''The telecom industry is at a stage where players are faced with high-operational costs - be it energy, infrastructure, sales or distribution. Given this dynamic nature of the industry, it is inevitable for operators to consider such arrangements with each other to offer continued and seamless mobile services to customers. Our strong infrastructure and network capabilities across the country have enabled us to provide a differentiated, redefined and affordable user experience to our customers.''

''The signing of the MoU with RCom is our first step in this direction, to make mobile services available to all,'' Heerjee said.

The companies will offer the 2G ICR to its customers in some key circles to begin with, which would be expanded to other circles.