Tata Docomo - Do the New

Tata Docomo makes an impact in its first month. Tata TeleServices TTSL has reported subs net addition of 2.26 mn for the month of July 2009, surpassing its previous highest monthly net addition of 1.26 mn reported in March 2009. This is a reflection of the positive response to the company’s GSM launch in six circles and innovative ‘per-second’ billing .It seems TTSL’s innovation can have a longer-lasting impact on the dynamics of the Indian wireless market than some of the other new launches.But the sector prospects still remains foggy.

TTSL garners 34.3% net adds market share in the six new GSM circles. Strong response to the new GSM service launch in six new circles has helped TTSL increase subs net adds to its best-ever 2.26 mn (15.7% of market net adds) for the month of July 2009, lower than only Bharti and RCOM. The company’s share of net adds in the new circles of launch was 34.3%, an indicator of the strong initial response to its innovative ‘per-second’ billing structure in its GSM launch.

Tata Docomo’s ‘per-second’ billing concept is capable of making a strong and sustainable impact on the industry’s competitive dynamics. While the company’s July 2009 subs net adds corroborate the ‘strong’ part, the ‘sustainablity' will be tested over the coming months.

Meanwhile the Ads are also doing pretty well !