Virgin to augment GSM segment in India

Posted on the February 26th, 2009 under Mobile Companies, Virgin by vicky

The nexus between Virgin Mobile India ( the UK group) and the Tata Teleservices in the mobile industry is chalking out a strategy to forge ahead with the GSM service, targeting the youth in India. As a provider of CDMA technology to TTSL, Virgin offers a whole lot of structured facilities like design, market and service at the benefit of profit sharing. Virgin affirms that the existing set up for the CDMA services will continue for the ensuing GSM service too, says the company’s Indian CEO.

The technology sharing between the two companies will see the implementation of the services once the TTSL launches the GSM service, which is expected to take place this year. With a great potential for the GSM service – nearly 73% of the Indian mobile market- the companies feel that this might be the right moment to step into the GSM world, thereby increasing the APRU, said the CEO(the current APRU of Virgin is 30% more than the industry average).

Aiming the expensive youth to back up their service, the companies have already spread out the economy tariffs- ten paise credit for every minute of incoming calls, 50 paise for STD without any additional rate- and these schemes will continue for GSM service too, in addition to handset bundling. Virgin is sharpening its horizon towards the business phone as well, and the proposal has already started with the negotiations made with Research in Motion (Blackberry mobile manufacturers). The company has in store, the services much awed by novice business people along with data cards.