Reliance Communications would introduce mi-fi devices soon; these would be able to connect to 10 devices simultaneously, with a four-hour battery backup. We look forward to how the company prices and bundles its mi-fi plans. This will use the underlying CDMA EVDO network for Data Communication.
On stagnant 3G investments, the RCom management said that the company has the largest metro footprint amongst Indian telcos and currently do not see much scope for expansion, especially given the relatively low market-readiness for 3G services. The management said that its plan is to currently milk existing 3G assets, with likely expansion in the future, as adoption increases.
Expectedly, the management did not give too many details on their auction strategy, however it re-assured that (1) RCOM is in a healthy financial situation and (2) it has sufficient fallback options in its seven renewal circles to maintain business continuity. We expect the current auctions to be tougher for RCOM than what the management commentary suggests.
