GSM mobile operators add 35 lakh new subscribers in January
07 Feb 2006
GSM mobile operators continue to add new subscribers at a frenetic pace. The industry added a total of 35 lakh new subscribers in January 2006, the highest monthly addition ever. The total GSM subscriber base expanded by 6 per cent over December 2005.
PSU major BSNL added the maximum numbers during the month. The company has seen growth at better than industry average rates in new customer additions for the past few months.
| Operator | Jan 06 additions in lakh | Total subscribers in crore - Jan 06 | Market share in % |
| Bharti | 10.4 | 1.74 | 28 |
| BSNL | 10.7 | 1.54 | 25 |
| Hutch | 7.7 | 1.37 | 22 |
| Idea | 2.6 | 0.67 | 11 |
The mobile telecom sector is seeing a major shift in pricing strategy to reach the less-affluent customers and expand the customer base. Almost all the players have come out with pre-paid connections offering lifetime connectivity at very attractive price points.
Though average monthly revenues and margins are considerably low in the case of pre-paid connections, the companies can still make money as all of them have enough free capacity in their network.
The CDMA operators have not announced their January numbers.
The telecom ministry is expected to launch its much publicised 'One India' plan to offer standard calling rates on long distance calls across the country. This reduction in calling charges could see more usage and higher revenues for companies. This may also lead to a more rapid expansion of subscriber base at lower price points.
Bharti is trading at Rs375.25 (up 1.57 per cent) at 10.36 AM on the NSE today.