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Reliance Infocomm devising aggressive packages to woo corporates

23-November-2002
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Reliance Infocomm devising aggressive packages to woo corporates

Reliance Infocomm is devising aggressive packages to hook corporate customers to its basic telecom services to be launched next month. The company will offer ‘phenomenally low’ prices for industrial and corporate clients. It may offer a one-time payment scheme with free calls for a few months — in tune with its three-year package for Rs 15,000 to retail consumers — to corporates as well.

Reliance Infocomm will launch its services in Gujarat and then gradually spread its operations to other circles. The company plans to cover around 600 cities and towns in the first phase of rollout.

Reliance’s entry into the basic telecom market with limited mobility (WLL-Wireless in Local Loop) is expected to add new dimensions to the telecom industry in India. While the aggressive pricing strategy of Reliance is expected to start a price war in the industry, it will initiate a fight between GSM (Global System for Mobile communication) and WLL on commercial terms.

Telecom experts, however, differ on the fallout of the ambitious and aggressive rollout plans of Reliance Infocomm.

The Reliance strategy, according to experts, will initially be aimed at taking as many subscribers as possible on board with lucrative offers so that the subscriber base can later be capitalised to earn revenues from services like long distance traffic.

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