Convergence Plus Journal

POLICY

Govt. committee for wireless license issue
August 24, 2009

The Indian government will be setting up a committee to draw up plans for issuing long term wireless licenses to mobile service providers, broadcasters and other agencies like defence, security and the police.

The Department of Telecom (DoT) feels that certain issues need to be reviewed such as the periodicity of renewals and wireless licensing on a long-term basis.

DoT defers tax cuts for foreign telcos
August 24, 2009

The Department of Telecom (DoT) has deferred its plans to do away with the double taxation structure that applies to foreign telcos in India.

The structure affects foreign telcos that are carriers of national STD and international ISD traffic within India and between India and other countries and makes it difficult for them to compete with domestic players that are not subjected to double taxation.

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Indian telecom crosses 479 mn subscribers
August 20, 2009

India’s telecom subscriber base increased to 479.07 million at the end of July 2009, taking the country’s teledensity to 41.08 per cent. The wireless subscriber base grew from 427.28 million to 441.66 million.

The number of broadband subscribers grew by 2.7 percent to reach 6.8 million from 6.62 million.

NCAER study says communication to become largest contributor to GDP
August 19, 2009

Nokia India has shared the findings of a study that highlights the role of the communication sector in driving economic growth across rural and urban India. The study – “Economic Impact of the Communication Sector in India” – has been carried out by the National Council of Applied Economic Research (NCAER).

The study indicates that the communication sector will emerge as the single largest sector of India’s economy, with a 15.4% share (equivalent to Rs. 865, 031 crore) of GDP by 2014-15. Communication is recognized as the fastest growing sector, growing by 25.7% during 2001-08.

The communication sector has also had a significant impact on employment in the country. The study predicts that the sector will generate an additional 8.5 million jobs by 2014-15, taking the total number of jobs in the sector to 10.3 million.

According to Mr. Olli-Pekka Kallasvuo, President and CEO of Nokia Corporation said, “This study reinforces the view that the communication sector will continue to be an engine of the Indian economy over the next years. There is plenty of potential for growth in the sector considering that teledensity is currently only around 39.8%.”

Huawei and Grameenphone to Deploy First Solar-powered Base Transceiver Stations in Bangladesh
August 19, 2009

Huawei, a leader in providing next-generation telecommunications network solutions for operators around the world, announced that it has been selected by Grameenphone (GP), a subsidiary of Telenor, to deploy Bangladesh’s first solar-powered base transceiver stations (BTS).

Huawei will install its fourth-generation base stations, using a solar and diesel generator hybrid power solution to provide mobile connectivity in rural areas. The base stations will primarily be powered by harnessing solar energy without having to be linked to an electricity grid. The diesel generator will be used as a backup.

Once deployed, the new system will improve GP’s network performance by preventing service interruption, a previously persistent challenge in Bangladesh due to power instability. It will also lower fuel consumption and CO2 emissions, and reduce the cost of refueling and site visits, thereby lowering GP’s total cost of ownership. These savings will offset GP’s capital investment in just two-to-three years.

HCL Infosystems Ltd announced that its board has approved raising of funds to shape the future growth plans of the company. The funds will be raised from issuance of Convertible Warrants not exceeding Rs. 325 crs including premium to promoters. In addition to this equity shares or equity linked securities or a combination thereof will be issued in the domestic and/or international offerings and/or Qualified Institutional Placements (QIP) for a value of up to Rs. 500 crs including premium. The company expects to get the approval of the shareholders in an extra ordinary general meeting.

Commenting on the announcement Mr. Sandeep Kanwar, Chief Finance Officer, HCL Infosystems Ltd said, “We intend to raise funds to augment our long term resources for future growth, including investing in expansion of our existing & new businesses, development of infrastructure and possible acquisitions in India or abroad, currently we have not identified or entered into an agreement for any acquisition for which we intend to raise such funds”.

Nokia strengthens ecosystem for rural mobility in India
August 19, 2009

Reiterating its philosophy to provide universal access to mobility through a strong, open and collaborative ecosystem, Nokia announced that it has joined hands with a host of stakeholders across the Government and private enterprises to deliver localized & personalized information through the Nokia Life Tools. Being introduced commercially across the country, Nokia Life Tools is a range of innovative Agriculture, Information and Education services targeted at non-urban consumers.

Nokia also announced that it is planning to roll out microfinancing schemes as a major initiative to reduce the affordability barrier and increase mobile penetration in rural India.