Tata Tele Plans $1.5 Bn GSM Spend

Tata Teleservices Limited has decided to launch its GSM services in the country. It Tata Tele Plans $1.5 Bn GSM Spend will spend approximately Rs 6,450 crore for expansion of its GSM network by 2010. It will also spend some amount to promote its already existing CDMA service. The company is expected to launch GSM services by the end of financial year 2009. The company will also bid for 3G spectrum.

Earlier in the March, the Department of Telecommunications (DoT) permitted Tata Teleservices to operate GSM services using the same license of CDMA. Tata has been directed to pay fees for GSM services, which are likely to start in 19 circles.

Tata Teleservices has already got license to operate in Tamil Nadu, Karnataka, Kerala, Pondicherry, Andhra Pradesh and Orissa.

Tata has a subscriber base of about 27 million customers in the country, and it is expected to add more customers after introducing GSM services.

The Chief Technology Officer of Tata Tele services, AG Rao said that the company will invest in passive infrastructure and transmission equipment. There is no need to add more cell sites as CDMA sites are enough to operate the new services.

The company is also expected to launch its Blackerry services this year. The company is working on internal testing and logistical requirements to start the service as soon as possible. The launch of Blackberry services in India got delayed due to concerns of security agencies.