Dot Rings Mobile Number Portability

[coolrajiv 1]

New Delhi, Aug. 19: The telecom ministry will soon issue guidelines on number portability. According to the department of telecom (DoT), portability will keep tariffs under control.

Recently, some private operators hiked tariffs even as telecom minister A. Raja was exploring the possibility of a tariff reduction.

The incident prompted the government to get cracking on number portability.

“DoT is holding discussions with service providers to finetune telecom regulator Trai’s recommendations on the issue before it changes the license conditions to accommodate number portability,” officials said.

Trai, which favored portability and had recommended that DoT should implement the system by April 2007, was of the opinion that number portability would improve the quality of service and reduce tariff.

The system allows mobile phone users to change service providers without having to change phone numbers.

Usually, unsatisfied customers hesitate to change operators as it entails changes in mobile numbers, which most find inconvenient.

“Number portability will help customers overcome this problem. They will be able to enjoy low tariff, high quality of service, wide coverage and enhanced features offered by particular service providers,” the officials said.

Telecom operators, however, have opposed portability. They said huge investments — to the tune of Rs 18,000 crore — would be required to implement the scheme on a national scale.

Analysts said the operators were apprehensive about the expenses involved in retaining customers, which would affect their profit.

Those who opposed the move said with a teledensity of around 15 per cent, it was too early to implement portability at such a high cost. Teledensity is the number of phone users per 100 people. Since over 90 per cent of subscribers were in the pre-paid category, the sanctity of a number was less relevant, they added.

Mobile number portability has already been implemented in Hong Kong, the UK, Australia, the US, Germany, France, the Netherlands and Singapore.

“There was significant tariff reduction among mobile operators in Hong Kong after the implementation of mobile number portability,” said officials.

Moreover, according to a survey by research firm IDC, “Thirty per cent subscribers are likely to shift to an operator offering a better service, if given the option.”

Even Pakistan, which has a mobile penetration of a mere 6.9 per cent, implemented number portability in April this year.

[srk006 21]

That will be a great move by DoT. Number Portability is much needed in the Indian scenario, only then the customer will be saved from the deficient service providers.

[GSV13 0]

Does this express my excitement

[kshah 452]

I have been waiting for this since year. Once so, I will switch to GSM.

[coolrajiv 1]

A lot of CDMA users will definitely shift to GSM once this happens.

[KumaarShah 143]

me too, count me in for a move to gsm retaining my existing number.

Hope DOT is able to push this reform in.

But I guess, Airtel, Hutch, RCL Idea etc will grease the babus sufficiently to ensure that MNP is delayed as far as possible. Let us not dream in day time. With the recent increases in tariffs, the big two and the others will make enough money to grease the babus well. Maybe they had an inkling of MNP coming and so to grease the babus, they increased the call charges. TRAI willl not be able to do anything other than just shout out loudly against the big two. Remember MNP? here TRAI was unable to convince DOT about the implementation of MNP; just at the last moment, DOT ruled out MNP. Smells fishy? Thats how it is.

[HetalDP 947]

If Reliance Provided WCDMA of 3G in GSM then only i will in Reliance

Otherwise Vodafone or Airtel is my Next Operator

In USA anybody can swith the Operator without loosing its number

The Operator sign the Agreement with Customer with 1 year, 2 year and 3 year Contract and offer them the Goodies, Free Calling and Handsets

if the user want to Break the Contract and wanna switch the Operator then Operator Levies $ 50 as Termination and Processing Cost to user which user have to pay to get back his number. or else have to loose than Number.

Here also the Termination cost will be levied to demoralise the outgoing users. but it will not be much more and if the users can have Better offer in other Operator this does not seems to be any barrier.

Remember when Ever the TRAI opens the Discussion I will ask every RimWebian to Submit their view in Support of MNP (Mobile Number Portability) more the Feed back of users Much the Pressure on them

Lets Hope some thing come out from this.

Edited August 20, 2007 by hetaldp

[supernova 47]

I would also shift to airtel .

[Himanshu Singh 19]

@Adminsitrators,please post this one as a new topic as some error keeps coming if i try to do so.

RELIANCE,MAXIS TALK AIRCEL DEAL

India’s second-largest wireless telecom firm, Reliance Communications Ltd, is in talks with Maxis Communications Berhad Ltd to potentially take a controlling stake in Aircel Cellular Ltd, the Indian unit of the Malaysian cellular operator, according to executives at the two companies and an independent consultant.

Aircel could be worth about $7 billion, or Rs29,000 crore, in a deal scenario, say analysts. Maxis, Malaysia’s biggest cellular phone firm, owns 74% of Aircel with the remaining 26% held by promoters of Hyderabad’s Apollo Hospitals Ltd.

Anil Ambani, who chairs Reliance Communications’ board of directors and also leads its affiliate, Reliance Telecom Ltd, which runs GSM-based cellular networks, has been trying to secure new licences for starting and expanding GSM cellular services across the country for over a year, but Aircel beat him to it by receiving approvals for the new countrywide licences in December. With new licences and wireless spectrum allocated to it in eight circles, or licensed areas (mostly states), and frequency allocations expected in another 13, Aircel is seen by analysts as among the most valuable telecom assets in India. (GSM stands for global system for mobile systems.)

Executives at both Reliance and Aircel refused details, saying in private that the two companies have been exploring options, such as a buyout or a joint venture. A Reliance official said it is too early to talk of specifics such as valuation ahead of regulatory issues at play. Sandip Das, chief executive of Maxis, referred queries from Mint to a company spokesperson who did not immediately revert with answers. Calls to Sangeeta Reddy, an Apollo Hospitals director, for comment were not returned.

A consultant with extensive experience in arranging mergers and acquisitions in India said Ambani was aiming at management control at Aircel. “The buzz has been that Anil Ambani is looking at a controlling stake,” said a partner at a New Delhi-headquartered consulting firm, preferring that he not be identified. “But whether that will be through a direct stake or a deferred stake, such as a call option, will depend on the changes to the crossholding regulations being put in place by the telecom regulator.”

Under telecom M&A regulations, no phone firm in India can hold more than 10% of a competitor in the same licensed area, preventing Reliance from acquiring a GSM operator to expand in the fast-growing market. Despite aggressive marketing tactics, including handset subsidies, Reliance, which runs services on CDMA networks, has found its wireless customer growth lag at around 1.2 million a month against nearly 2.1 million at its bigger GSM rival Bharti Airtel Ltd. Smaller competitor Vodafone Essar Ltd adds some 1.7 million customers despite being present in just 16 of the 22 licensed areas. (CDMA stands for code division multiple access, a cellular telecom standard.) The Telecom Regulatory Authority of India (Trai) is widely expected to recommend the scrapping or relaxation of the 10% cap this week in a review of the M&A rule.

Trai will also rule on whether or not firms can offer both CDMA and GSM based services under the same operating licence. Despite such a relaxation, Reliance is unlikely to be allocated GSM spectrum as Cellular Operators Association of India, a trade body representing GSM networks, has threatened to go to court if its members are not given the first claim over any spectrum made available in the future.

Analysts saw synergies in a Reliance-Aircel union. “There are many reasons why RCom and Aircel are a good fit,” said a Mumbai-based telecom stock analyst, requesting anonymity as the news of the talks isn’t official. “RCom needs the GSM licence and the spectrum that comes with it, and for Maxis, it is a matter finding the right partner to roll out and compete in an extremely competitive market.”

Though Aircel has licences in all 22 licensed areas in India, it has substantial operations in just one: the Tamil Nadu-Chennai circle, which accounts for nearly five of its 7.1 million customers. Analysts pointed out that without a partner, Aircel will have to build its own network infrastructure, or go for a passive infrastructure partner. Aircel will also have to invest in marketing its brand in the other circles as well as build a new management team.

Aircel’s valuation could command a significant premium compared to recent deals. If valued at the $950 per-user rate as February’s Vodafone Group Plc-Hutchison Telecommunications International Ltd’s deal for a two-thirds stake in Indian cellular operator Hutchison Essar Ltd (before it was renamed Vodafone Essar), Aircel’s value will be $7 billion.

But an expert said valuing a company which has realized only a fraction of its “market potential” in the form of subscribers typically involves two stages. “The first aspect is the circles where the company has been operational for some time and has got a decent marketshare. Here you can apply the traditional per-subscriber or multiple-of-revenues valuation,” said Alok Shende, head of the tech practice at consulting firm Frost & Sullivan in Mumbai. The second stage would take into account the target company’s licences in other areas where it is yet to start operations. “Here, we have to go for a five-years-from-now kind of a model where we expect it to have so much revenues or so many subscribers in five years and work backwards,” Shende said, adding that smaller companies are valued at a discount to ones with operations of larger scale and scope such as Hutchison Essar.

Source: The mint

[Himanshu Singh 19]

@Adminsitrators,please post this one as a new topic as some error keeps coming if i try to do so.

TRAI may opt for unlimited players in a circle

Regulator’s proposal at variance with DoT line of thinking; TRAI also to push for a limit of 25% from current 10% which a telecom company can hold in another licencee in the same circle

Telecom regulator TRAI is understood to have recommended continuing the current practice of unlimited number of players in a service area.

“We are not mandating any cap on the number of players,” a senior TRAI official said. The regulator is all set to bring out the recommendations this week.

This proposal will be at variance with the Department of Telecom’s line of thinking. At present, there are 5-8 access providers in each of the 23 service areas.

An increase in the number of service providers for wireless and wireline access telecom services has significantly raised the demand on the limited spectrum resources for wireless access, said a DoT official.

While leading GSM operators wanted to cap the number of players in a circle, saying spectrum is a concern for more number of players, CDMA operators demanded the numbers to be left to market forces.

The regulator is also likely to propose a higher limit of 25% from the current 10% which a telecom company is allowed to hold in another licencee firm in the same circle.

The licensor wants this cap of 10% to go off entirely.

The situations when this 10% limit was proposed are no more there as the industry has matured. Operators should be allowed to hold stake in other companies in the same circle without any hindrance.

The 10% cap had forced Tata group to exit Idea Cellular as Tata Teleservices and Idea cellular were operating in the same circle in most part of the country.

[Honest 836]

Yes my dear friends I too agree that Number Portability must be started by now. This will be of great help for all mobile users throughout India.

Regards.

[kshah 452]

I belive Portability will be introduced only after reliance gets nod to start its GSM operations.

[HetalDP 947]

I belive Portability will be introduced only after reliance gets nod to start its GSM operations.

@kshah

you stole my words

[srk006 21]

I belive Portability will be introduced only after reliance gets nod to start its GSM operations.

and... when will that happen? All the news of Reliance going GSM have faded from the past many weeks.

[sgiitk 32]

I belive Portability will be introduced only after reliance gets nod to start its GSM operations.

and... when will that happen? All the news of Reliance going GSM have faded from the past many weeks.

I thought that the GSM thing was a red herring just to drive a had bargain with Qualcomm.

[kshah 452]

what ever reliance is going to be in GSM and they will be operating like china unicom. No forces can really stop them from getting in to GSM.

[HetalDP 947]

I feeling like Devil, Anybody like it or not

I will be Benefited if Reliance gets GSM

[kshah 452]

Reliance if gets GSM I am sure it will be another price and quality war. Reliance dod changed indian telecom scenario

[coolrajiv 1]

Source - Times of India e-paper

No. portability divides telcos

GSM & CDMA Operators On Opposite Sides Of The Ring On Trai Proposal

New Delhi: The telecom industry is at loggerheads again, with GSM and CDMA operators on opposite sides of the ring. And its not the usual culprit spectrum that is causing discord, but number portability, an issue with serious ramifications on India’s competitive landscape.

Number portability allows a consumer to switch operator for any reason without having to change the number that he currently carries. It is a perfect tool in the hands of the consumer, not only to exercise choice, but also to extract the best quality of service and price for his given needs. Several countries around the world follow this practice. Trai in March 2006 had recommended, after a detailed consultation, that India should usher in number portability in the mobile sector as it will enhance competitiveness.

Generally, existing players who do not wish to lose high paying customers to new entrants, oppose number portability. New entrants seek this regime as it allows them to lure high paying customers to their networks. More so, when operators are of different vintage. In India, metro operators entered in 1994, followed by two GSM operators in 1995.

BSNL entered in 1999 as the fourth GSM operator in 2001, followed by two CDMA operators in 2003. This opens up a nine-year gap between the first operator Modi Telstra, which launched in Kolkata in 1995 and Tata Teleservices, which launched some of its circles in 2004. GSM association COAI says number portability is a misplaced priority. “We have no objection to it as we feel CDMA players will lose even their meagre 30% market share if this is introduced,” says TV Ramachandran of COAI.

Undeterred by the GSM challenge, CDMA association Auspi has been quick to write to telecom minister, A Raja, urging him to usher in number portability at the earliest. “In the absence of number portability, there is no incentive for telcos to surpass the service quality benchmarks set by the regulator. Its introduction will stimulate better service so as to retain existing subscribers and attract new ones,” it says.

Assuring its support, Auspi says neither technical nor operational apprehensions should hold up the rapid implementation of at least mobile, if not fixed line number portability.

However, COAI is quick to point out that operators’ money is better spent on building infrastructure than on number portability. Consumer organisations disagree. They point out that number portability can be implemented within the annual advertising budgets by merely using a part of the advertising budgets of telcos. However, even if the government moves at lightning speed, it will be at least sixto-eight months before consumers can benefit from such a regime.

DIFFERENT CALLS

CDMA operators have urged telecom minister A Raja to usher in number portability at the earliest as it will help telcos to surpass service quality benchmarks set by Trai

However, GSM lobby argues that operators’ money is better spent on building infrastructure than on number portability

In March 2006, Trai had recommended number portability in the Indian mobile sector to enhance competitiveness.

[Nirvana 4]

CDMA operators agree on number portability

Nivedita Mookerji - DNAindia

Friday, August 24, 2007 11:09 IST

NEW DELHI: Even as the government has not acted on the telecom regulator’s recommendation on framing a policy on number portability in mobile phone services for more than a year, Code Division Multiple Access (CDMA) players have now stressed the need for the same.

Number portability enables you to switch from one service provider to another without changing your number.

In a letter to communications minister A Raja, CDMA players, represented by the Association of Unified Service Providers of India (AUSPI), said that the Department of Telecom (DoT) must issue necessary guidelines for implementing mobile number portability.

CDMA players have been favouring number portability in both fixed and mobile networks. Now, they seem to have climbed down a bit, saying only the latter needs to be done for the time being.

AUSPI secretary general SC Khanna said in his letter to Raja: “In case fixed-number portability cannot be introduced at this point of time for any reason, technical or otherwise, mobile number portability should not be held up.”

Global system for mobile communications (GSM) service providers, represented by Cellular Operators Association of India (COAI), is opposed to the idea of number portability in mobile telephony, at this point.

According to COAI, it can be introduced only after the telecom market matures further.

While CDMA operators include Reliance Communications and Tata Teleservices, GSM operators comprise Bharti, Vodafone Essar, Idea, Aircel, and Bharat Sanchar Nigam Ltd.

“Number portability is a very important and effective tool for ensuring competition in the telecom market,” AUSPI’s Khanna has written to the minister.

“Any technical or operational apprehensions should not hold up the implementation of number portability because we have before us the experience of other countries and suitable remedies can always be found,” he said.

The Telecom Regulatory Authority of India had, in March 2006, recommended that mobile number portability should be in place by April 2007.

That was one of the last recommendations/orders by former Trai chairman Pradip Baijal. The government has already missed the Trai deadline by around four months.

The move would have stepped up competition in the telecom industry, thereby improving the quality of service as all service providers would have made an effort to prevent customers from shifting to competition.

The Trai recommendation, issued in March 2006, was only for introducing number portability in mobile telephony and not fixed phones. The regulator wanted the rollout to begin on April 1, 2007, across metros, before moving into A, B and C category cities within six months.

So far, most mobile operators have been against the introduction of number portability, as they didn’t want to let go of the customer base they built. Industry estimates suggest that anything between Rs 1,500 crore and Rs 3,000 crore is required as one-time cost for upgrading the networks to enable number portability.

[HetalDP 947]

CDMA operators agree on number portability

Nivedita Mookerji - DNAindia

Friday, August 24, 2007 11:09 IST

NEW DELHI: Even as the government has not acted on the telecom regulator's recommendation on framing a policy on number portability in mobile phone services for more than a year, Code Division Multiple Access (CDMA) players have now stressed the need for the same.

Number portability enables you to switch from one service provider to another without changing your number.

In a letter to communications minister A Raja, CDMA players, represented by the Association of Unified Service Providers of India (AUSPI), said that the Department of Telecom (DoT) must issue necessary guidelines for implementing mobile number portability.

CDMA players have been favouring number portability in both fixed and mobile networks. Now, they seem to have climbed down a bit, saying only the latter needs to be done for the time being.

AUSPI secretary general SC Khanna said in his letter to Raja: "In case fixed-number portability cannot be introduced at this point of time for any reason, technical or otherwise, mobile number portability should not be held up."

Global system for mobile communications (GSM) service providers, represented by Cellular Operators Association of India (COAI), is opposed to the idea of number portability in mobile telephony, at this point.

According to COAI, it can be introduced only after the telecom market matures further.

While CDMA operators include Reliance Communications and Tata Teleservices, GSM operators comprise Bharti, Vodafone Essar, Idea, Aircel, and Bharat Sanchar Nigam Ltd.

"Number portability is a very important and effective tool for ensuring competition in the telecom market," AUSPI's Khanna has written to the minister.

"Any technical or operational apprehensions should not hold up the implementation of number portability because we have before us the experience of other countries and suitable remedies can always be found," he said.

The Telecom Regulatory Authority of India had, in March 2006, recommended that mobile number portability should be in place by April 2007.

That was one of the last recommendations/orders by former Trai chairman Pradip Baijal. The government has already missed the Trai deadline by around four months.

The move would have stepped up competition in the telecom industry, thereby improving the quality of service as all service providers would have made an effort to prevent customers from shifting to competition.

The Trai recommendation, issued in March 2006, was only for introducing number portability in mobile telephony and not fixed phones. The regulator wanted the rollout to begin on April 1, 2007, across metros, before moving into A, B and C category cities within six months.

So far, most mobile operators have been against the introduction of number portability, as they didn't want to let go of the customer base they built. Industry estimates suggest that anything between Rs 1,500 crore and Rs 3,000 crore is required as one-time cost for upgrading the networks to enable number portability.

Number Portability is already there in USA, Korea, Japan and all these Country have more CDMA / EVDO Phone then GSM and CDMA Networks are Better equiped t Handle MNP and will require least Upgration

in India all GSM National or Regional Operator have Different Regional Head and Servers and Setup

Hutch and Idea have more Scattered Server Setups with much more Incompatible Networks working as they have Acquired the COmpany and Built this Company in Contrary Tata, and Reliance have Rolled out all India level Network in one go with Centralised CC, Servers and Backbones.

Thas the Reason CDMA Player are Favoing it and GSM are not.

What ever the Reason at their end Customer is gonna Benefit from MNP at MOST

[kesav 127]

Govt. and Minister Raja, please heed to the voice of India.

"

WE WANT MNP AT ANY COST........................

EVERY CONSUMER WILL VOUCH FOR IT..............

THIS IS ONE OF THE IMPORTANT MOVE TO ENSURE QUALITY OF SERVICE......

INDIA CAN'T LIVE WITH LOW QUALITY TELECOMMUNICATION............

"

"Till Market Matures..." is a real comedy slogan......Current teledensity is 20%. Our 20% population is much higher than most countries' entire population.

Oppsotion MPs, please take this slogan and shout it in Parliament.

This is voice from the best Indian telecommunaction consumer forum available on the net.

Edited August 27, 2007 by kesav

[jatin_the_great2003 0]

But guys, the Number Portability can be a bit confusing for everybody...

Lets take an Eg: Suppose someone have Rim No. but due to NP, the guy is using Airtel...

Now if someone who have Rim to Rim free might feel that his friend is having Reliance no. and will go on talking with him...

This will reduce in the balance and will create chaos among people....

I personally feel that Numbar Portability is not a good plan as this might only result in a CHAOS...!!!!

Think over it Guys...

[shashank 8]

Dont worry Rim to Rim free will be withdrawn by then

[GSV13 0]

I think every operator will one plan for free onnet calls with introduction of mnp just to stop them from migrating