Virgin Mobile enters India with Tata tie-up

By , IDG News Service |  Mobile & Wireless

Tata Teleservices Sunday unveiled an agreement to launch services under the
Virgin Mobile brand name, aimed at youth in India.

Tata already offers mobile services in the country using CDMA (code division
multiple access) technology.

Virgin Mobile is targeting the country's youth, aged between 15 and 30 years,
which are estimated to be around 400 million, Virgin Group chairman Richard
Branson told reporters in Mumbai.

Virgin Group will not, however, buy into its own network in India as Vodafone
has, nor will it operate as an MVNO (mobile virtual network operator). It has
a revenue-sharing agreement with Tata for the use of the Virgin Mobile brand.
Tata will use its own brand for the mass market and the Virgin brand for the
niche youth market.

India added close to 9 million [m] new mobile subscribers in January, taking
the total number of wireless subscribers to 242 million, according to the Telecom
Regulatory Authority of India (TRAI) in Delhi.

The country's booming mobile market is attracting multinational mobile services
companies to invest in the market. Vodafone Group, for example, last year acquired
a majority stake in Hutchison Essar, a large Indian network operator and services
provider, that was later renamed as Vodafone Essar.

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