MTS comes to Delhi, plans to invest $50 million initially

MTS, the CDMA brand of Sistema Shyam Teleservices Ltd (SSTL), announced the launch of its services in the Delhi NCR circle. The company plans to invest $50 million (Rs 230 crore) initially and about $70-80 million (upto Rs 370 crore) within the next five years in order to expand its operations here.
For Delhi subscribers, the company has rolled out a tariff plan called ‘Power of One’ which will be come with per second billing system. MTS is looking at switching to per second billing in other circles too. It has also announced the nationwide availability of its high speed data services called MBlaze.
Vsevolod Rozanov, president and chief executive officer, SSTL, said at the launch, “We have lot of hopes from Delhi. The city is bustling with young population and professionals.”
On being asked why MTS did not look at Delhi initially, Rozanov joked, “Delhi users are very demanding and picky and therefore we thought it is a good idea to launch our services in Delhi later when we have the system in place.”
The operator, which is present in Bihar, Jharkhand, Karnataka, Kerala, Kolkata, Rajasthan, Tamil Nadu and now Delhi, plans to expand its operations in India by launching its services in Bangalore, Mumbai, Maharashtra and Haryana circles by year end.
MTS is also looking at building telecom infrastructure in the country. Rozanov said the company is currently sharing infrastructure with other service providers, which is hindering its prospects of moving to smaller cities and towns. Therefore, it needs to set up its own infrastructural facilities in order to spread its wings further.
The company became a member of CDMA Development Group in September. Commenting on the same, Rozanov said, “The association has helped us a lot in understanding the modern technology. We will also have access to international Roaming very soon.”
Rozanov asserted MTS is a “‘runner up'” in all its existing circles and it does not feel the pressure of competition. He added that the company does not plan to enter the GSM domain and thus it is less susceptible to competition from major players like Airtel.
To promote its launch, MTS will provide free access to all vehicles on the Delhi-Noida Flyway and Delhi-Gurgaon Expressway on October 9 between certain time slots. This marketing exercise is being done to show MTS’ promise of unhindered network access.