Airtel, Vodafone vie for RCom's 2G customers in East

RCom was offering mobile services on 2G network on 900 Mhz in Bihar, Odisha, West Bengal and the Northeast states

Airtel and Vodafone are trying to lure 2G customers of Reliance Communications (RCom) in Bihar, Odisha, West Bengal, Assam and north-eastern states after the latter’s 2G licences on 900-MHz bandwidth expired on December 12.

While Airtel came up with front page advertisements in regional newspapers inviting RCom customers to join its network, Vodafone has launched free call plans for new customers in these states.

On the other hand, RCom has been aggressively campaigning to shift its existing customers to the new 3G network.

However, in Bihar and West Bengal RCom does not own any spectrum anymore.

WAR OF AIR WAVES

• Airtel comes up with front-page advertisements in regional newspapers inviting RCom customers to join its network
• Vodafone launches free call plans for new customers in these states
• In the ads, Airtel mentions it is welcoming only those who have been asked by RCom to port to other telcos
• Vodafone is a step ahead and offering discounts to such customers

“RCom is doing it primarily because 2G does not yield good returns. They want to focus on 3G business which gives better margins because of data usages,” said an analyst. RCom has already upgraded 2G SIM cards of most of its customers with 3G.

The telecom firm not only owns 1,800 MHz spectrum but also has intra-circle roaming (ICR) pact with rival networks like Aircel and Vodafone to offer 2G services to those who haven’t shifted to 3G so far.

Despite all these efforts, RCom is likely to lose sizable chunk of its customers as they have neither shifted to its 3G network nor are covered by the partners’ 2G network.

Last week, RCom asked such customers to upgrade to its 3G service. But many have chosen to shift their mobile service provider instead.

In its advertisements, Airtel carefully mentioned that it was welcoming only those who have been asked by RCom to port to other telecom operators. Vodafone went a step ahead and offered discounts to such customers.