Comments on: Impact of Economic Slowdown in Telecom Industry Part I http://www.telecomcircle.com/2009/01/impact-of-economic-slowdown-in-telecom-industry/ Telecom Circle analyses the latest trends and services within the Wireless and Internet space. Fri, 03 Feb 2012 20:56:32 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Mohit Agrawal http://www.telecomcircle.com/2009/01/impact-of-economic-slowdown-in-telecom-industry/comment-page-1/#comment-5 Mohit Agrawal Tue, 20 Jan 2009 17:12:00 +0000 http://www.telecomcircle.com/mohit/?p=6#comment-5 Arun, it is an interesting thought but I think the independent tower companies will find it very difficult to find viability in the current economic scenario. The increased site sharing and collaboration amongst operators on tower companies (read Indus) is forcing the tower companies to reconsider their grand plans for India. All the tower companies including the American Towers, Quipro, etc. are scaling down their plans.<br/><br/>The current business model also means that the operators pay only lease rentals with no Capex implication in case of renting a tower from a vendor. Utilization based business model is possible in the urban areas where the site utilization levels have stabilized. However, in rural areas, it would be difficult as the revenue share percentage would vary with utilization Arun, it is an interesting thought but I think the independent tower companies will find it very difficult to find viability in the current economic scenario. The increased site sharing and collaboration amongst operators on tower companies (read Indus) is forcing the tower companies to reconsider their grand plans for India. All the tower companies including the American Towers, Quipro, etc. are scaling down their plans.

The current business model also means that the operators pay only lease rentals with no Capex implication in case of renting a tower from a vendor. Utilization based business model is possible in the urban areas where the site utilization levels have stabilized. However, in rural areas, it would be difficult as the revenue share percentage would vary with utilization

]]> By: Arun http://www.telecomcircle.com/2009/01/impact-of-economic-slowdown-in-telecom-industry/comment-page-1/#comment-4 Arun Tue, 20 Jan 2009 07:49:00 +0000 http://www.telecomcircle.com/mohit/?p=6#comment-4 Do you think there wil be shift to usage based models at tower vendors/OEM ? Essentially the network equipment vendors will produce and install and then the tower operators pay out a portion of the revenue to them - thus minimizing capex and ensuring steady income for all ? Do you think there wil be shift to usage based models at tower vendors/OEM ? Essentially the network equipment vendors will produce and install and then the tower operators pay out a portion of the revenue to them – thus minimizing capex and ensuring steady income for all ?

]]> By: Mohit Agrawal http://www.telecomcircle.com/2009/01/impact-of-economic-slowdown-in-telecom-industry/comment-page-1/#comment-3 Mohit Agrawal Thu, 15 Jan 2009 11:50:00 +0000 http://www.telecomcircle.com/mohit/?p=6#comment-3 Thanks Karan for your encouraging words. The way our data collection systems are designed, it is very difficult to get exact data on the impact in rural areas. However, there is enough anecdotal information that suggessts that it is largely unaffected Thanks Karan for your encouraging words. The way our data collection systems are designed, it is very difficult to get exact data on the impact in rural areas. However, there is enough anecdotal information that suggessts that it is largely unaffected

]]> By: Karanjit S. Chopra http://www.telecomcircle.com/2009/01/impact-of-economic-slowdown-in-telecom-industry/comment-page-1/#comment-2 Karanjit S. Chopra Wed, 14 Jan 2009 06:39:00 +0000 http://www.telecomcircle.com/mohit/?p=6#comment-2 Very interesting. Would you have any information/ trends on the immediate effect of the economic slowdown on rural India ? Very interesting. Would you have any information/ trends on the immediate effect of the economic slowdown on rural India ?

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