Maxis sees broadband revenue rising, higher payouts

July 9 (Reuters) – Malaysia’s Maxis (MXSC.KL), which earns more than 90 percent of revenue from its mobile phone business, is keen to more than triple revenue from broadband services on wireless and fixed line in two to three years.

Sandip Das, chief executive of the country’s top mobile phone operator, said the mobile phone business would remain the “bread and butter” of the firm, but even within that it is keen to boost revenue from non-voice segment such as Internet access.

Maxis, which controls about 40 percent of the country’s mobile phone market, and smaller rivals Axiata (AXIA.KL) and Digi.com (DSOM.KL) dominate Malaysia’s mobile phone market.

Maxis is seeking to build its share in fixed-line broadband service by using Telekom Malaysia’s (TLMM.KL) high speed broadband network that aims to provide services to more than 700,000 households in Malaysia.

“When you look at Malaysia, where more than 50 percent of the population is under the age of 25, these are people who have grown on a diet of gadgets,” Das, who joined Maxis from Hutchison Essar Ltd in 2007, told Reuters in an interview.

“In the future, mobile broadband is going to struggle to cater to the data demand of these people.”

“We expect non-voice business for us to be in the region of a about 50 percent by 2012. We expect broadband business to start becoming double digit percentages towards 2012, 2013.”

Currently, non-voice business contributes about 36 percent of of revenue within the company’s mobile phone business.

Das said he hopes to give shareholders annual dividend payouts of more than 75 percent of net profit. “While we have promised what we promised at the IPO, I think we will probably do better than what we promised.”

(Editing by Anshuman Daga)

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India’s Reliance Ind to buy Infotel for $1 bln

MUMBAI, June 11 (Reuters) – Reliance Industries (RELI.BO), controlled by billionaire Mukesh Ambani, will buy Infotel Broadband Services for $1 billion, marking the re-entry of India’s largest-listed firm into the booming telecoms market.

Unlisted Infotel Broadband Services is the only firm to win broadband spectrum in all 22 zones in India in an auction that ended on Friday. The firm is paying 128.48 billion rupees ($2.7 billion) for the spectrum, the government said.

Reliance would pay this fee, a source direct knowledge of the matter told Reuters on Friday.

Reliance will invest about 48 billion rupees by subscribing to fresh equity capital at par to be issued by Infotel Broadband. Reliance will own 95 percent of Infotel, which will function as a unit of the company.

Shares in Reliance closed up 3 percent at 1,046.25 rupees in a Mumbai market .BSESN that rose 0.8 percent.

Industrialist Mukesh Ambani, the world’s fourth-richest man with an estimated fortune of $29 billion, was freed to enter the telecoms sector after ending a pact last month with his long-estranged brother Anil Ambani that prevented them from competing on each other’s turf.

When the brothers split up the family empire in 2005, Anil Ambani gained control of No. 2 Indian telecoms firm Reliance Communications (RLCM.BO), and his brother was widely expected to return to the industry.

While third-generation (3G) spectrum allows high-speed Internet access and data transfer on mobile phones, broadband spectrum would enable firms to provide high-speed wireless data links with better coverage than fixed-line broadband — key for Internet penetration in India’s rural hinterlands, which have poor last-mile fibre connectivity.

Reliance has been working hard break into new markets and broaden its various businesses including refining, oil and gas exploration and petrochemicals, as well as expand its presence outside India.

The company, which owns the world’s largest refining complex and operates India’s largest gas find, is in talks to buy a stake in the shale gas assets of U.S.-based Pioneer Natural Resources (PXD.N), two sources familiar with the matter said on Thursday. [nSGE6590JO]

In April, Reliance bought a 40 percent stake in the Marcellus Shale operations of Atlas Energy (ATLS.O) for $1.7 billion, to form a joint venture at one of the most promising natural gas deposit regions in the United States. [nN09123890]

($1=46.8 rupees)

(Editing by Unnikrishnan Nair )

((pratish.narayanan@thomsonreuters.com; +91 22 6636 9202; Reuters Messaging: pratish.narayanan.reuters.com@reuters.net))

((If you have a query or comment on this story, send an email to newsfeedback.asia@thomsonreuters.com)) Keywords: INFOTEL RELIANCE/

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Reliance to pay Infotel broadband spectrum fee -source

June 11 (Reuters) – Reliance Industries (RELI.BO), India’s largest-listed conglomerate, will pay Infotel Broadband Services’ broadband spectrum fees, a source with direct knowledge of the matter said on Friday.

Energy | Telecommuncations Services

Unlisted Infotel Broadband Services is paying 128.48 billion rupees ($2.7 billion) for the spectrum, the government says, after it became the only firm to win broadband spectrum in all 22 zones in India in an auction that ended on Friday.

Reliance Industries said on Friday it agreed to buy Infotel for about $1 billion. (Reporting by Pratish Narayanan; Editing by Unnikrishnan Nair)

Reliance Ind to buy 95 pct in Infotel for $1.03 bln

June 11 (Reuters) – Reliance Industries (RELI.BO), India’s largest-listed conglomerate, said on Friday it will buy a 95 percent stake in Infotel Broadband Services for 48 billion rupees ($1.03 billion).

Energy

Unlisted Infotel Broadband Services is the only firm to win broadband spectrum in all 22 zones in India in an auction that ended on Friday. The firm is paying 128.48 billion rupees ($2.7 billion) for the spectrum, the government said. ($1=46.8 billion) (Reporting by Pratish Narayanan; editing by Surojit Gupta)

Reliance Ind buys majority stake in Infotel-CNBC

June 11 (Reuters) – India’s Reliance Industries (RELI.BO) has bought a majority stake in Infotel Broadband Services, CNBC TV 18 said on Friday, citing unnamed sources.

Energy | Telecommuncations Services

Unlisted Infotel Broadband Services is the only firm to win broadband spectrum in all 22 zones in India in an auction that ended on Friday. The firm is paying 128.48 billion rupees ($2.7 billion) for the spectrum, the government says. (Reporting by Pratish Narayanan)

Gangtok to have 3 G services

Gangtok, June 23 (ANI): Union Minister of State for Communication and Information Technology, Sachin Pilot has said that the Bharat Sanchar Nigam Limited (BSNL) is to launch 3 G services in Gangtok by August 15.

Announcing the extension of 3 G services to other three districts within 100 days, the Minister said, BSNL would increase its broadband strength to 30 GB PPS to improve services in Sikkim. All the 26 blocks in the State would be covered by broadband services within 100 days.

After a review meeting with BSNL, Postal Department and State I and T in Gangtok, he said, traffic congestion in mobile services in twenty one sectors of the State would be removed by August 15 this year through improved quality of service by BSNL.

Underlying the importance of Sikkim, Pilot said that special measures have been taken to improve the quality of services in North East through communication and information technology, with specific emphasis on Sikkim.

“It is a difficult terrain and the ministry would support the efforts to improve information and technology in Sikkim, as it would increase opportunities for the talented youth,” he added. (ANI)

Large parts of cyclone-hit Kolkata still without power, water

Kolkata, May 27 (IANS) For the third day running after Cyclone Aila swept the city with full fury, large parts of the metropolis continued to remain without water and power Wednesday as irate residents put up road blockades and held protests before utility offices.

From Barasat in the northern suburb to Behala and Tollygunge in the south, people complained of lack of basic amenities, as electric wires dangled dangerously from light posts, telephone cables remained snapped and snapped overhead tram wires hung precariously alongside tracks.

Tram services continued to be suspended, online and ATM networks of banks, mobile telephony and broadband services suffered.

Cyclone Aila turned city life topsy-turvy Monday causing seven deaths and leaving a trail of destruction with most of the major thoroughfares clogged by 1,200 uprooted trees and extensive areas going under water.

After facing flak for not managing to remove the road bottlenecks, civic authorities finally succeeded in clearing most of the trees and rubble Tuesday night as vehicular traffic became normal Wednesday.

But the other services were far from normal.

“We could not sleep since Monday night with power supply yet to be restored even after 48 hours. My one-year-old granddaughter is in a bad state after spending two sleepless nights,” said Anima Ghatak of Bijoygarh in south Kolkata.

“We cannot watch television, and operate water pumps. Water supply continues to be disrupted. Telephone lines are also down. Electricity was restored Tuesday night after 24 hours. But from early morning today (Wednesday) again we don’t have power,” said Urmi Chattterjee of Lake Gardens in the southern part of the city.

Debeshar Dey of Barasat said: “We got electricity for only 10 hours Tuesday night after remaning in the dark since Monday. Again the supply has remain disrupted since Wednesday morning. We have not got any water supply since Monday noon. One has to queue up before the tubewells for hours for a pail of water.”

Sukhendu Sekahr Roy, a Congress leader residing at the upscale south Kolkata locality of Jodhpur Park, said: “We had to live without electricity for 44 hours. Even the power utility CESC could not be contacted. The entire administration seems to have collapsed.”

Bleary-eyed people vented their frustration by obstructing several city roads intermittently since Tuesday. There were protest demonstrations before offices of the CESC and the civic authorities.

West Bengal Chief Minister Buddhadeb Bhattacharjee admitted that people were facing a lot of problems.

“In many areas there is no water. Electricity supply is disrupted in the northern and southern suburbs. We are trying our best. I asked CESC to increase their manpower including engineers. They have done that partially. But more needs to be done,” Bhattacharjee told mediapersons at the state secretariat.

“CESC does not have the experience to tackle such an emergency. So it is taking more time,” he said.

Bhattacharjee also termed people’s anger as natural. “Some people are agitated. That’s natural. Raods have been blocked. But I will only appeal to them to ensure that restoration work is not affected. We have to solve the problems first.”

Meanwhile, Trinamool Congress chief and Railways Minister Mamata Banerjee ripped apart the state government for its failure to restore normalcy even three days after Aila hit the city.

“The government is virtually non-existent. They don’t have any disaster management infrastructure,” she said and instructed Leader of Opposition Partha Chattopadhyay to talk to CESC officials.

On road blockades, she said: “Political parties have not organised such agitations. People have hit the streets spontaneously. You have to respect their feelings.”

Airtel negotiating a deal about outsourcing last-mile broadband connectivity

The Bharti Telemedia subsidiary of the telecom giant Bharti Airtel is reportedly negotiating a deal with two infrastructure service providers Cisco and Alcatel-Lucent, related to outsourcing the ‘last-mile’ connectivity of its broadband operations.

The ‘last-mile’ concept essentially constitutes the last lap of delivering connectivity from an operator’s end to the customer’s place. In the case of broadband services, ‘last-mile’ connectivity can be either through wired lines or over the wireless. By outsourcing its ‘last-mile’ operations, Bharti will be able to not only reduce its operational costs, but also concentrate on its core competencies.

According to NDTV reports, the projected endeavor is being spearheaded by a former senior T-Mobile official, and an agreement would get through in the next couple of months. Bharti Airtel already two outsourcing deals – a 10-year, $750 million agreement for outsourcing its IT network to IBM; and the outsourcing of its telecom network to Nokia and Ericsson.

Talking about the benefits Bharti’s outsourcing polices, Rishi Sahai, Director of Cogence Advisors, said: “You are constantly seeing that they are using largely the vendors’ benefit of scale. That’s one of the reasons they are looking for outsourcing. Secondly, their vendor brings to them global best practices. And, more importantly, once they hive off these assets they can look at others coming and sharing these assets.”

Bharti Airtel announced Airtel Broadband 16 mbps

The largest cellular service provider of India, Bharti Airtel has announced to launch Airtel Broadband, which, according to the company, is the fastest wired broadband plan in India. The Anand, Gujarat based Bharti Airtel has announced two tariff plans – 20GB and 50GB data transfer limits for its Airtel Broadband 16 mbps.

According to Bharti Airtel, Airtel Broadband 16 mbps service, powered by the company’s Ethernet Network, will be launched in Delhi NCR, Chennai and Bangalore in the first phase, and later in the cities of Hyderabad, Pune, Mumbai and Kolkata.

The Airtel Broadband 16 mbps service will be available in 2 Tariff Plans – offering 20GB data transfer limit for Rs.
2999 and offering 50GB data transfer limit for Rs. 4999.

“Airtel has constantly strived to innovate and deliver high quality products to its broadband customers. We are the leading private broadband service provider in the country and pioneered 8 Mbps broadband. It gives us great pleasure now to be able to introduce the fastest, wired broadband service on DSL. We will be able to offer 16 Mbps broadband to 70% of the households in the 3 cities of Delhi NCR, Chennai and Bangalore,” said K Srinivas, Joint President, Telemedia Services, Bharti Airtel, during the launch of Airtel Broadband 16 mbps.

In its press release, Bharti Airtel claimed that Airtel offers its broadband services across 95 cities in the country with approximately 9.92 lakh broadband customers as on December 31, 2008. Airtel provides its broadband service through a fibre backbone of Carrier Ethernet Network with last mile delivery on copper using ADSL2+ technology.