Tata Docomo to invest $150 mn in Karnataka

BANGALORE, INDIA: Tata Docomo, the GSM platform of Tata Teleservices Ltd (TTSL), has earmarked $150 million for the network and capacity expansion in the Karnataka circle.

Speaking to media during the announcement here today, Yatish Mehrotra, Tata Docomo's hub-head for South India, said that this new investment would double the overall investment done in the region by the GSM service provider.

He said, “We are doubling our investment in the Karnataka circle. We plan to invest about $150 million by March 2010. We had already invested around $ 150 million since our launch in July 2009.”

He said this investment would help in increasing the network area and infrastructure in existing and even newer geographies.

At present Tata Docomo offers services in 450 towns and around 3000 villages. Nationally, it has invested around $2 billion since July 2009.

On being asked about the competitive pricing in the market, Mehrotra said that Docomo has managed to grow its subscriber base constantly. There has been a marginal change in the growth figures, even after adoption of the pulse billing scheme by the competitors.

According to the data shared by Mehrotra, TTSL has around 3.8 million customers. Last four months, around 3.5 million have subscribed to a new number, out of which 1.96 million customers came to TTSL. Hence, the company claims to to grab more than 50 per cent of the new subscriber base.

“Our USP as fair and transparent telecom service provider that gives relevant innovation has resonated well among the customers, who continued using Tata Docomo, over other options,” he said.

Mehrotra hinted that Tata Docomo will soon introduce many value-added services related to application, 3G and data.