Saturday, 9 May 2009

Virgin plans GSM entry by partnering with Tata Teleservices – India

Virgin Mobile is planning to enter the GSM market in India via its existing CDMA partner, Tata Teleservices. The partnership with Tata Teleservices will enable Virgin mobile to leverage Tata Teleservices’ GSM licence in 19 circles and GSM spectrum in 13 circles.

The partnership will also enable Virgin Mobile to expand its subscriber base in India as around 70% of the mobile market in India is covered by the GSM network. Virgin Mobile is mulling the option of adopting a franchisee model rather than an MVNO arrangement for its GSM offering. According to Jamie Heywood, Deputy Chief Executive Officer of Virgin Mobile India, the company has a commercial agreement with Tata for offering its service on the GSM network.