Feeds

Vodafone and DoCoMo bundle into India

Big bucks into a big market

Choosing a cloud hosting partner with confidence

Vodafone is to spend $5bn buying out local partner Essar for control of India's second-largest operator, while DoCoMo is spending $175m to improve 3G coverage in the country.

Vodafone already owns a significant stake in Essar, having paid Hutchinson Telecommunications more than $10bn for a controlling interest back in 2007. But now Vodafone wants to take that interest right up to the limit allowed by regulations on foreign ownership, and will be spending another $5bn to do so.

The deal, which leaves Essar Group entirely out of the picture, will take Vodafone up to 75.4 per cent ownership – just over the 74 per cent permitted under Indian law. But Vodafone reckons it can flog off that 1.4 per cent holding to someone local, and is happy to do so in order to end up with the maximum ownership it is allowed.

While officially called "Vodafone Essar", the network has never used that branding locally, being known as "Vodafone" since changing its name from "Hutch Essar" following the initial investment, so end users shouldn't see any change.

But Vodafone isn't the only company getting excited about India, with Japanese operator NTT DoCoMo today announcing that it's sinking $175m into Tata Teleservices, in which it holds 26 per cent. The money won't extend that ownership, as it is in response to a rights offering by the operator, which wants more cash to extend its 3G coverage. But it is indicative of the confidence the world has in the expansion of the mobile industry in India. ®

Beginner's guide to SSL certificates

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.