Bharti eyes digital frenemies

Kapoor said as part of the strategic shift from being just a telecom company,the stage is being prepared to become the leader in the data space,where an entirely new ecosystem would grow around smart phones and computers.

As with any other new technology,it is the youth which would power the data revolution.

We have a large youth population 400 million people in the sub-14 years age bracket, Kapoor said.

He said speed would be key to customer experience in the data,be it for watching movies over phone or computers,video chats or simple web surfing. Optic fiber provides the best speeds unmatched by any other wireless technology. However,the problem is that fiber is not available everywhere and it is not possible to lay it across the country as the investment is not fungible, Kapoor said.

3G and BWA enter this space,with the Qualcomm acquisition expanding Bharti8217;s national footprint to 18 circles slightly less than Reliance Industries,which through its acquisition of Infotel Broadband holds spectrum for all 22 circles.

Kapoor said going forward,BWA services would be focussed in areas where fiber fails to provide the last-mile linkage. We will use 2G and 3G technology to deliver data to mobile phone users,but given the paucity of optic fiber and copper lines which provide fixed line data,we will rope in 4G spectrum to provide broadband services in areas we can8217;t reach through the fiber, Kapoor explained.

The strategy will unfold somewhat like this: WiFi routers with customers at 8216;dark spots8217; where fiber doesn8217;t reach will connect to the 4G airwaves and instead of backhauling on the fiber which until now has been the last mile,the company would backhaul on the 4G airwaves through LTE technology.

Analysts say strong competition for Bharti coming only from RIL. However,it has a certain edge it provides services across the bouquet,including 2G,DTH,BWA and 3G. Even other mobile operators do not have an expansive range of services which Bharti provides. Kapoor refused to name any competitor,merely saying technology is going to be available to everyone and would not be anybody8217;s exclusive prerogative. However,he added that the industry has always functioned on interoperability and continue to do so with new practices coming in.

So far,Bharti has rolled out BWA services in two circles Kolkata and Karnataka and 3G services in all 13 circles and has maximum users. RIL has not started services and has only tied up an exclusive content-sharing arrangement with the TV18 group. Its major handicap is lack of voice services,for which it would have to enter into pacts with other mobile operators.

8220;Under interoperability,people will collaborate on various aspects such as content sharing. While others such as Google,Yahoo and Apple would want to come into our space,we may want to go into theirs. The concept of 8216;frenemies8217; will become a reality where one will fiercely compete and collaborate with same people whenever required. But the space is very large and there will be enough room for everyone, Kapoor said.