Airtel's Acquisition of Tata's Consumer Mobile Businesses: A Matter of Choice or Necessity?
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Case Code: BSTR553 Case Length: 14 Pages Period: 1996-2017 Pub Date: 2018 Teaching Note: Available |
Price: Rs.300 Organization: Bharti Airtel, Tata's Consumer Mobile Businesses Industry: Telecom Countries: India Themes: Merger and Acquisition |
Abstract Case Intro 1 Case Intro 2 Excerpts
Indian Telecom Sector
The Indian telecom sector was classified into three segments - wireless, wireline, and internet services - with the sector comprising services offered by both public and private sector entities. The top public-sector entities were Mahanagar Telephone Nigam Limited (MTNL) and Bharat Sanchar Nigam Limited (BSNL) , while the top entity in the private sector was Airtel.
In India, wireless communication through pagers was launched in the year 1995. This provided the much-needed mobility in communication processes. Motorola was the leading player in pager services with 80% of the market share. Mobile communication services were also introduced in the year 1995. However, due to high tariffs, they were not popular. It was only after a change in the telecom policy in the year 1999 that tariffs came down....
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