Private sector telecom company Bharti Airtel has said that it is not in favor of subsidizing smartphones to compete with rivals. The company’s Chief Executive Officer (CEO) Gopal Vittal said that the game of equipment subsidy is going to ‘destroy’ the price.
New Delhi: Private sector telecom company Bharti Airtel has said that it is not in favor of subsidizing smartphones to compete with rivals. The company’s Chief Executive Officer (CEO) Gopal Vittal said that the game of equipment subsidy is going to ‘destroy’ the price. Whose biggest loss falls especially at the lower level of the market. He said that to counter the strategy of device subsidy on smartphones of rival companies, Airtel will resort to other methods so that it can remain attractive in terms of price and competitive in the market.
Announcement after quarterly results
In an investor call after the company’s third-quarter results were announced, Airtel CEO Vittal said, “As far as device subsidy on smartphones is concerned, we cannot comment on it until we understand what it is for.” . But to combat this, we will adopt different methods. We have a complete plan to deal with it. We will deal with this in a very ‘smart’ way. With this we will also remain attractive in terms of value. At the same time, they will also remain competitive in the market. Bharti Airtel has said that it is preparing to make space in spectrum below GHz to increase coverage in indoor and rural areas.
Emphasis on maximum spectrum policy
Vittal said that Airtel is moving ahead on the maximum spectrum strategy which strikes a balance between renewal and capacity requirement. Bharti Airtel recently announced that its network is ready for 5G. The company has said that after the fifth generation mobile service, it does not expect a special change in its capital expenditure background. Vittal said, ‘We do not believe that after 5G, there will be a special change in our investment’ profile ‘. When you invest in 5G, you will stop investing in 4G, because the capacity will have to be built in 5G. You will have more spectrum in these bands. This will ultimately reduce the cost of producing one gigabyte. ‘
When asked about the company’s spectrum strategy and spectrum renewal plan, Vittal said that Bharti Airtel wants to strengthen its hold in spectrum less than Gigartz. With this, the company will be able to expand its scope in indoor areas as well as rural areas.
