Vodafone Idea & Airtel AGR Fiasco


Even bailout attempt won’t help Vodafone Idea compete with peers: Analysts - The Economic Times - Even bailout attempt won’t help Vodafone Idea compete with peers: Analysts

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The German investment bank said, “The Aditya Birla Group (one of VIL’s co-promoters) may even consider getting Vodafone Idea to go into bankruptcy on the chance that it may be able to repurchase the rump of the business.”

It added that this was an “ambiguous area” with the government wanting to avoid promoters buying assets of their failed companies for fear of regulatory arbitrage, even though when it comes to self-declared bankruptcies, the rules are not entirely clear.


Well-Known Member
@godric_gt All the more reasons for customers to jump ship. Especially those who get poor signal & speeds. Maybe that's why we don't see any new tech innovations/features coming from VIL now. Heard many of their staff are busy job hunting than doing the current job😖.


Not just Internet.
New Delhi
Govt should provide relief not sc. Intent is clear . Thats why jio paid peanuts in hurry. To hurt other.


Well, Jio paid dues for 2 years of service only while Vodafone is yet to pay any dues for last 14 years. And, these are not dues only but also penalties alongwith interest.


These telecom operators are to blame for their situation. They all reneged on an agreement with the Govt and took it to court over AGR. They've lost and must pay the amount due with interest and other charges.

That said, should any operator close down now it will be a loss for customers, the Govt, the banks (!!) and last but not the least the employees and dealers. The Govt can't afford to be rigid with this demand and may extend deferred payment terms and hence a lifeline. This does not bode well though. Because these operators will stop investing in technology upgrades and I expect an impact on QoS just like what has happened to BSNL/MTNL after they downsized their employees and cut back on costs.

Vodafone-Idea was shitty enough to begin with 2 years ago when I ported to Jio. I think VF-I customers should seriously consider porting out to Airtel or Jio. Should VF-I survive and pull up their socks they can always port back after a few months.


Here is an example of what these companies are doing with the cash they have, instead of repaying government dues. All this happened in 2014. Vodafone could have used this opportunity to clear out the tax dues first, the interest amount would've been very less then.

Billionaires Ajay Piramal and Analjit Singh have sold their stakes in Vodafone India to Vodafone Group Plc, enabling the British telecom major to take full control of its local telecom venture.

While Piramal Enterprises, the Ajay Piramal Group flagship, sold the 10.97% stake for Rs 8,900 crore, Singh sold his 24.65% holding for Rs 1,241 crore. Both the deals were first reported in economictimes.com on Thursday.

Piramal Enterprises sold its entire stake for Rs 1,960 per share, securing a gain of Rs 3,000 crore — or 52% return — in just two years.
Read more at:
Vodafone buys out Analjit, Piramal from Indian arm for Rs 10,000 crore


^ Government of India is greedy and they have been always.

Telecom Companies saying, charge for the dues for which they have used Govt's infra. Govt. is saying, pay from your revenue.

If I am renting an office, I would pay my rent to the landlord. I wouldn't pay share of my revenue/profit to my landlord.

Govt. is greedy towards businessman and aam admi both.

They simply know how to tax everything but rather don't have anything to give back to the tax payer either.

The schemes which Govt. has launched (any govt) has never favored a tax payer in India. I don't disagree with the development of the Rural Area but I am not Ambani either. I pay my share to you, I expect back from it.

Same does corporate, they have been charging huge corporate taxes for years and years now and now Govt. is biased towards one specific telecom that is Jio.

In so many years, Airtel and Vodafone has agreed to one common stance, that is Govt. is biased towards Jio. Same is said by eCommerce giants.

I'm neither anti-BJP nor Pro-Congress.

I am not saying Vodafone shouldn't pay their dues, but I think kicking a UK Telecom out of India and giving more advantage to Jio (duopoly where Airtel might be the next to exit), will only bring disadvantage to consumers like us.