Reliance Jio Leads In 5G Development, Vi Struggles With Funding

Vi (Vodafone idea) is facing challenges due to a paucity of funds and has fallen behind its competitors in the race to roll out 5G technology
5G
5G

Indian Telecom operators Reliance Jio and Bharti Airtel have made significant progress in deploying 5G infrastructure, a recent telecommunications report by Emkay Research has pointed out. 

Vi (Vodafone idea) is facing challenges due to a paucity of funds and has fallen behind its competitors in the race to roll out 5G technology. As of July 2, 2023, approximately 2,75,000 base transceiver stations (BTSs) have been deployed. The last three months have seen a rise of 1,35,000 BTSs alone.

The six states where almost 50 per cent of the BTSs have been added are Maharashtra, Uttar Pradesh, Tamil Nadu, Karnataka, Gujarat, and West Bengal. The research of Emkay also stated that “RJio has leadership in 5G rollout, with approximately 80 per cent share of the overall industry’s BTS deployment, while Airtel is being selective in its 5G BTS deployment.”

According to the report, Vi will only be able to launch 5G services in 10 circles across seven states using internal accruals of approximately Rs 8300 crore. Nokia and Ericsson have refused to supply 5G equipment to Vi on credit, leading to additional market share losses in those areas. Vi is actively pursuing fundraising options, including a potential infusion of Rs 2000 crore by its promoters. Even if Vi manages to secure additional funding and launch 5G services in all its priority circles, it will struggle to catch up to Airtel’s current 5G rollout and will significantly lag behind Jio’s 5G BTS deployment, as per moneycontrol report based on Enkay research.

Related Stories

No stories found.
logo
Outlook Business & Money
business.outlookindia.com