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Gains ahead for Jio, Bharti as telco market heads towards a duopoly

Experts see the telecom sector heading towards duopoly

Topics
Reliance Jio | telecom market | Bharti Airtel

Ram Prasad Sahu & Aneesh Phadnis  |  Mumbai 

Bharti Airtel (Airtel) and Reliance Industries (Jio) appear to be the key gainers of the Supreme Court's judgment in the adjusted gross revenues (AGR) case.

Brokerages believe a short pre-payment period of 10 years, as compared to the longer time frames the Street was working with will limit its ability to invest in expanding its network and cede market share to its larger better-funded peers. The stock reaction, too, seems to suggest the sector may be heading towards becoming a duopoly; Airtel was the biggest gainer rising 6.4 per cent, while Reliance Industries was up half a per ...

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First Published: Tue, September 01 2020. 20:27 IST
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