Vodafone Idea & Airtel AGR Fiasco

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pothi

pothi

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Crazyguy030601

Crazyguy030601

Castiel, mea salvator
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Oho! Duopoly on the horizon 🙁
 
igloo

igloo

Not just Internet.
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Hathway Docsis
With this fine even Airtel won't survive.
Rcom n Aircel dues can't be recovered but Jio can use Rcom shared spectrum without making any pending payment.
So they want share in non-telecom stuff too. Back door move from Jio.

This is a 16-year-old dispute between DoT and telcos. DoT argued that a wider number of items - interest income, dividend, profits on the sale of assets, insurance claim and forex gain - should be included as components of AGR. Telcos, for obvious reasons, didn't agree. Telcos like Airtel argued that if they buy a commercial property and sell it for a premium, it doesn't seem right that DoT wants to take a share from it - even if the licences given to telcos contain clauses that include sharing non-telecom revenues with the department.
 
Crazyguy030601

Crazyguy030601

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This is seriously worrying. I got this feeling that we won't have any choice among TSPs pretty soon.
 
JamesHolden25

JamesHolden25

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This is seriously worrying. I got this feeling that we won't have any choice among TSPs pretty soon.
I bet there's gonna be just 3 operators. Jio, Airtel and BSNL. That's exactly what the market needs. It's sad that VIL will be exiting the market, but it looks like this problem was on them after all. They were gaming the system back then, and now the system is gaming them. Airtel won't be able to bid for 5G spectrum after paying the dues for another 5 years. Jio is having the advantage here as they have to pay just 13 crores, which is more or less, spare change for them.
 
pothi

pothi

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The countdown has begun. Only three months were given to settle the due. Vodafone to apply for a waiver, though. Vodafone Idea to seek waiver after court ruling on overdue payments

On the other hand, overall, the recent Court ruling seems to be a bad sign for the economy... Why govt should be first to protest its win in SC against Vodafone Idea, Airtel . Economics looks a bit complex.

For the consumers, one less choice. We could've benefited from Vodafone's experience in 5g in UK... 5G on Vodafone | The fifth generation of mobile technology
 


Crazyguy030601

Crazyguy030601

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The only good thing I can think of (if Vodafone shuts down) is that a lot of band 1 and band 8 spectrum will be freed up for Airtel and band 3 for Airtel and Jio both. Prices will increase further, as it should. I've got this feeling that even if they scrape past this ruling, Vodafone isn't in a good position anyway. They don't have capital for network expansion and they're lagging behind the other two a LOT. And I might be wrong, but Airtel has more high paying customers than Vodafone.
 
Savaiva

Savaiva

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NA
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jio
With this fine even Airtel won't survive.
Rcom n Aircel dues can't be recovered but Jio can use Rcom shared spectrum without making any pending payment.
So they want share in non-telecom stuff too. Back door move from Jio.
Why the f**k would you use your telecom company to do real estate deals when this risk is there?
 
Bruce_Wayne

Bruce_Wayne

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The only good thing I can think of (if Vodafone shuts down) is that a lot of band 1 and band 8 spectrum will be freed up for Airtel and band 3 for Airtel and Jio both. Prices will increase further, as it should. I've got this feeling that even if they scrape past this ruling, Vodafone isn't in a good position anyway. They don't have capital for network expansion and they're lagging behind the other two a LOT. And I might be wrong, but Airtel has more high paying customers than Vodafone.
I thought instead of merging idea and Vodafone these both should have merged with Airtel. Since Airtel has good network pan-india, operating on similar frequencies of VIL, with Airtel as dominant anchor network pan India they should have merged with it. Airtel, VIL both has band 1,3,8, 40 so merger will be not as tedious as now. Let's see what happens. 3-4 operators is good. 2 operators will lead to duopoly.
 
C

C3PO

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This is bad news, though I am currently a Jio subscriber (and a former Vodafone and Idea subscriber) a duopoly doesn't bode well for us customers.
 
C

C3PO

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And yeah, one more company to get affected is You Broadband, a subsidiary of VFI India.
 
Bruce_Wayne

Bruce_Wayne

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Airtel ftth
I bet there's gonna be just 3 operators. Jio, Airtel and BSNL. That's exactly what the market needs. It's sad that VIL will be exiting the market, but it looks like this problem was on them after all. They were gaming the system back then, and now the system is gaming them. Airtel won't be able to bid for 5G spectrum after paying the dues for another 5 years. Jio is having the advantage here as they have to pay just 13 crores, which is more or less, spare change for them.
What ever it be monopoly or duopoly I hope tariffs remain some what affordable from Jio and Airtel since these two networks going to get lot of customers from VIL.
 
amish

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If I had enough money like say Adani... then I would launch my mobile services now (assuming Vodafone would exit).

Vodafone would definitely leave lots of subscribers porting out (forced port out) and not everyone would want Jio or Airtel. If given a choice they would switch to 3rd operator.

Adani could take over Vodafone towers. So he has readily available network setup. Plus he has good (and direct) connection in Government to make things easy for him.

Plus whatever advantage JIO took, the same would be available to him too.

PS: I am not talking about buying Vodafone as a whole but just their assets and "ready" staff. (So as not to get their debt too)