An amount of 35,000 to 40,000 crore, saved by the moratorium over the next four years, can be used to write off debt and invest more in technology and investments to further develop the business, said Sunil Bharti Mittal, Chairman of Bharti Airtel, on Thursday.
With the postponement of spectrum and average gross income (AGR) payments, Bharti Airtel will have enough money to take any counter action and use it appropriately, Mittal said. Airtel invests around 20,000 crore each year in network extensions, new technologies and partnerships.
No room for cartelization
Speaking to some media outlets, Mittal said he reached out to Nick Read, Managing Director of Vodafone, and Kumar Mangalam Birla, Chairman of the Aditya Birla Group, to collaborate in areas such as sharing infrastructure to cut costs. . Mittal added that he would also speak to Mukesh Ambani, president of Reliance Industries, about it, but ruled out the possibility of cartelization between players. Mittal also made it clear that he would not discuss tariff issues with them.
“We will benefit from around 35,000 to 40,000 yen from the moratorium in the form of cash flow, which means that all the demands that we have in the market can be met, like public market debt for us. We need to use this cash advantage that the government has provided, which can be further invested in the country and move the business forward, ”he said.
Mittal said he informed the head of Vodafone that Vodafone Idea had a “lifelong opportunity” to take over what was a “lost cause”, and that it was time for Vodafone Group and Birla to step up their own contribution to their business.
He said that after the telecommunications packages announced by the government on Wednesday, it is time to join forces to take the telecommunications sector to new heights, and he would like to take the lead in ensuring that the industry is working. in close collaboration.
“I contacted Nick Read yesterday, I will contact Mukesh Ambani and talk to him and make the industry really become a model for many other infrastructure industries in the country,” Mittal said.
“I think if I were in their shoes, it’s an opportunity to recover a lot of value in the hands of people who have invested large sums of money. Vodafone invested $ 20 billion, I’m sure Birla would have put in billions of dollars. It is time that they really took advantage of this to bring their own money and their own resources, to relaunch the besieged company, ”he added.
Asked about reports of Bharti Airtel’s potential links with Indian hardware makers for the launch of co-branded or bundled phones, Mittal said the company was ready to release an affordable smartphone, if needed.
However, “as a philosophy we like people to buy their own phones … we supply the fuel, you buy your car, choose your color or features … and rather don’t start supplying your phone but the preparation is there, ”he said. added.
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