Reliance Soft Launches GSM Service. Targets 25% Market Share On Debut
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Company has been giving. The company has distributed around 10,000 test SIM cards to its employees.
RCom has invested around Rs.800 crore and erected 2500 towers. By mid-December, the company plans to launch the full GSM service.
The testing began in the cities of Mumbai, Bangalore, Surat, Ahmedabad, Lucknow and Ludhiana.
The second stage of funding will involve vendors and associates. The company says, by the time of the official launch of the service, 5 lakh people are expected to me associated with.
Reliance has been making strides into the GSM market. After Qualcomm officials declined to lower the royalty on CDMA phones, it was made clear that Reliance will come up with their full fledges GSM service.
In 2001, Reliance launched its CDMA service and changed the rules of the game. The big player that Reliance is, it can compete aggressively on price. The tariff war was sparked off by the launch of Reliance’s CDMA launch. The tariffs in India are already at the all time low. However, after Virgin’s offer of giving away talk time for incoming calls, Reliance will have to resort to some tactic to lure the users, Knowing Reliance, I believe, that will. Hey have claimed a mammoth figure of 25% market share on launch. That’s huge, considering India’s mobile users base is more than 300 million. It’ll be interesting to see Reliance once again bringing on some turbulence in the market. From the company which started it all.
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