Idea lines up Rs 450 cr for expansion

Touches 2 mn subscriber base, plans to increase it to 3.5 mn by year-end

Now that Idea Cellular has accomplished the two million customer mark in the Maharashtra and Goa circle, the company is looking at the next milestone by expanding networks, penetrating the rural markets and with a continued focus on customer service with a Rs 450-crore expansion plan.

The two million customer mark, which is the first for any operator to accomplish in the circle, is being celebrated with the launch of a new campaign that shows its customers as one big happy family.

Vikram Mehmi, chief executive officer of Idea Cellular said, "In the last 10 years, we have invested Rs 2,000 crore in this circle and now, we will invest Rs 450 crore by the financial year-end to retain our leadership position."

Lakshminarayana, circle head, Maharashtra and Goa, said the company is aiming at increasing its subscriber base in the circles to 3.5 million by the year-end.

"The plans are to increase our base transceiver stations (BTS) by 700-750 to 1,700 by the year-end and add 18 more base station controller (BSC) and lastly increase our penetration to cover 800 towns in this circle. This means having a presence in any town that has a population of over 1,000 people," Lakshminarayana said.

The aggressiveness to grow is not limited to the Maharasthra-Goa circle for the company, which has a presence across eight circles. "We have a long term focus to be among the top three players nationally, among the half dozen fighting for the slot," said Mehmi.

What this translates into is a national expansion plan. "We would be investing Rs 750 crore for rolling out our operations in three new circles - Uttar Pradesh (East), Rajasthan and Himachal Pradesh in the next three months," Mehmi said.

Besides, he added, "The company is also planning to increase its cell sites from 1,300 to 10,000 and towns covered from 700 to 4,500 by the end of the year. We are looking at increasing our customer base from over 8 million in eight circles to 12 million by then."