HFCL to launch CDMA cellular services in Punjab

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Punjab-based HFCL Infotel Ltd, a business venture of the HFCL Group, will launch its CDMA services in Punjab under the brand name "Ping" in a week's time. Moreover, the company has applied for Unified Access Service Licence (UASL) for 21 circles and is in talks with US-based private equity funds for funding by diluting the equity.

Speaking to Business Standard, Chief Operating Officer G D Singh said, "Punjab is a huge market for the telecom service providers. Viewing immense potential, we are launching this service in the state within a week's time. Rs 100 crore would be invested to roll out the services in the state for which the networking test is going on in advance stage."

The HFCL's Ping brand number series will begin with 9877.

With the launch of HFCL's CDMA services in Punjab, it would become the third player to join the CDMA bandwagon after Reliance and Tata Indicom. Also, it would become the seventh cellular service provider in Punjab. At present Punjab has four GSM players, Bharti Airtel, Spice, Hutch and BSNL, and two CDMA players. As on August 2007, Punjab and Haryana together have about 7.81 million GSM subscribers and 1.4 million CDMA subscribers.

"With the foray into CDMA service, we are targeting a subscriber base of 300,000 by the end of March 2008," Singh said.

"In the first phase we will have our presence in all Punjab towns having a population over 5,000. Initially, we would cover 140 towns and 3,500-4,000 villages across Punjab. The network will have 425 base transceiver stations (BTS). 70-80 per cent of these towers would be on a sharing basis with other operators like Hutch, Spice, Airtel etc," he added.

"In the second phase, for expanding our CDMA services, we would invest about Rs 15-20 crore and cover 5,000 more villages under our network," Singh said.

Besides, CDMA services the company plans to launch its IPTV (Internet Protocol Television) by January 2008 with an investment of Rs 40 crore. Singh said, "Initially our IPTV services will be provided in 45-50 cities and later would be expanded to other cities."

HFCL Infotel Ltd started its basic telephony service in Punjab in October 2000 and today operates WLL services, broadband internet and fixed line services in Punjab with a combined subscriber base of 330,000.