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 Home > V&D 100 - 2005 Volume 2 > MTNL: Leisurely pace not good enough
  V&D 100 - 2005 Volume 2
MTNL: Leisurely pace not good enough
Continued from page: 1

Wednesday, July 06, 2005

"Being a PSU, we are constrained by certain guidelines"

While players like Reliance have surged ahead in the game for acquiring more CDMA subscribers, MTNL registered only a marginal growth, despite being the first player to launch these services. What is your game plan here?
There are two major reasons. First, Reliance surged ahead with minimal verification of the customers and low entry-level costs. Second, MTNL's expansion plans in the CDMA segment could not be materialized expeditiously because of certain unavoidable constraints. I am told that non-payment rate from Reliance customers is as high as 35 percent, leading to liquidation and consolidation problems.

It is not fair to compare us with private companies like Reliance because our mode of operations is very different. Being a PSU, we are constrained by certain guidelines in purchase decisions, which impacts our response to market forces.

We have to get our decisions ratified by the board. There are very strict purchase guidelines and we cannot deviate from them.

However, talking about our CDMA services, we are now expanding our network in a big way. We finalized tenders for eight lakh CDMA lines, to be deployed during FY 2004–05.

In the wake of unified licensing, what initiatives have you taken to position MTNL as an integrated service provider. What is your strategy for targeting the enterprise segment?
Through a specially commissioned team, we are offering integrated services to the enterprise segment, after carefully studying the requirements on case-by-case basis.

What are MTNL's various offerings to the enterprise segment? How strong has been your focus on towards this segment?
MTNL is hooking the enterprise segment by offering attractive packages and value additions in telecom services. Some recent efforts include introduction of CUG scheme and provision of free EPABX, as also synergising with BSNL to address the high bandwidth data demands.

What are MTNL's initiatives in providing value-added services on mobiles? How much revenue do MTNL's value-added mobile services bring in? What are your targets this year?
MTNL is taking initiatives in providing a host of value-added services on mobile phones. We have many value-added services on the anvil.

We are talking to many content providers and application providers for that. Recently, we commissioned WAP on both Garuda (WLL) and Dolphin (GSM) services and many more services are in the pipeline.

Can you name a few customer service initiatives that you have taken towards improving customer service?
MTNL keeps introducing customer service initiatives to improve the services and customer delight. A few recent initiatives include appointment of a large number of direct selling agents for easy accessibility and establishment of call centers and a host of informatory and interactive services through the Internet, and the introduction of digital signature certification.

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