Now colour mobile phones for Rs 777

MUMBAI: India's second largest private telephony major Reliance Communications (Rcomm) has lowered entry level of mobile phone pricing in the country by launching a series of entry-level handsets. The Anil Ambani group company has launched colour mobile phones with prices starting at Rs 777 (around $19) in the country, which is almost half of the existing colour handset prices of Rs 1,600.

At present, the entry-level phones in the country are in the range of Rs 1,000 per black & white handset, while colour handsets are priced at around Rs 1,600-1,800 per piece. Sagem and Motorola are among other major manufacturers providing entry-level B&W and colour handsets in the country.

Rcomm has launched 'Classic 202' priced at Rs 777, along with 'Classic 204' and `Classic 203' that are priced at Rs 844 and Rs 888, respectively. The company is looking at converting the second-hand phone sales in the country by the launch of these handsets.

According to Reliance Communications President (wireless) S P Shukla, "We are confident of extending the benefits of mobility to an entirely new segment of population in metroes, small cities and rural hinterland of India. We believe that this would provide an opportunity for customers looking at second-hand phones to buy a new handset".

The launch also would result in increasing the telephony penetration in the country, which at present stands at 14.7 per cent of the total population, he added.

The newly launched phones are CDMA handsets with SIM provisions, meaning that users can move over to other providers it they are not satisfied with the Reliance Communications' services.

"There are no hidden costs and the user can select a tariff of his choice, or use pre-paid vouchers," he said.

Industry sources said that the handsets were being provided by China-based ZTE Corporation. However, Shukla declined to divulge the name of the vendor, but added that these are branded as 'Classic' by the company.

On expected sales of the newly launched handsets, he said that the company is looking at improving it compared with that of the last financial year. Rcomm sold over 2 million handsets during the last financial year, while its customer base stands at around 30 million.

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