Loop Telecom Shuts Operations Across India, Except Mumbai

Loop Telecom seems to be prepping for a nation-wide shutter-down except Mumbai.

Following Supreme Court’s ruling, Loop Telecom seems to be getting ready to pull out wherever its license was cancelled. It will however, continue to operate in Mumbai as operations is held by BPL Mobile.

The apex court in a monumental decision had decided to wipe the slate clean in case of the 2G Spectrum allocation & had cancelled all the 122 License awarded. The scam tainted 2G Spectrum has so far claimed two victims. Earlier Etisalat DB had confirmed its exit & cited the same reason of cancellation of licenses. Apparently, S Tel was the first victim of the axe & had closed its operations.

However, companies like Uninor seem to have defied the odds & have confirmed their participation in the upcoming fresh auctions. In a country with such a vast potential for mobile telephony, such a old technology still has serious implications. Meanwhile, companies are gearing up to offer the latest in service like the 4th Generation Technologies even as 3rd Generation have failed miserably. It just seems odd that companies still have to fight for survival in the 2G world.

However, all may not be doomed. Some smaller players have been pulling up their socks & have been rewarded by the customers. Companies Like Uninor have proven that despite the infighting & the Government atrocities, if one provides quality service, people will recognize & support it. Additionally, most the companies who cite the “cancellation of licenses” as the reason may look at business models of such small companies for inspiration.

Loop Telecom has been sending Text Messages to all its consumers outside Mumbai, asking them to port out to other operators. Apparently, outside Mumbai it only has about 6000 Customers, whereas in the city it has 3.2 Million! Who will gain these customers that Loop has said goodbye too?

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