Cloudy Weather Report Ramallah, Palestine +4°C, Cloudy

Breaking News

Home | Tech |

Bharti Airtel planning new strategy for the African market

Bharti Airtel planning new strategy for the African market

Bharti Airtel is going back to the drawing board to chart a new strategy for the African market, following what it termed as an unexpected and surprising response to its low-cost model from the continent.

The Indian telecom company told participants at the Mobile World Congress 2012 in Barcelona, Spain, that it was surprised to find that the African market did not increase its talk-time, which was critical to supporting its low-cost model.

“Unlike India, we were surprised that in Africa, lower tariffs could not increase volumes. In Africa, subscribers use the money saved on lower-calling rates to buy food and not to talk more.

“This means that we have to think of a new model that works there,” the firm’s chairman and MD, Mr Sunil Mittal, said.

This vindicates data released by the Communications Commission of Kenya at the height of the price wars, which indicated that low calling rates failed to lift talk-time.

The announcement is a signal that the firm could opt out of the low-cost model, which has forced mobile operators across most of the 17 countries it operates in Africa to follow suit.

It will also be welcome relief to Safaricom and Telkom Orange, who have described the low-cost model as unsustainable.

The firm, however, said Africa remains critical to its future growth and hoped to transfer experiences and success in its business model to the developed markets.

Mr Mittal said Africa and other emerging markets need smartphones and tablets to be priced below $50 to allow the data evolution that is shaping up to turn into real growth.

“My suggestion is that countries can give a huge tender to a single phone maker to deliver the smartphones as long as they are below $50,” he said.

Disclaimer: Opinions expressed here are those of the writers and do not reflect those of BlackSeer.com. BlackSeer.com accepts no responsibility legal or otherwise for their accuracy of content. Please report any inappropriate content to us, and we will evaluate it as a matter of priority.
What's next

Tags

India tech Africa Bharti Airtel Indian telecom Communications Commission of Kenya Sunil Mittal

Related Articles

Mac computers 'infected with malware'

More than half a million Apple computers have been infected with the Flashback Trojan, according to a Russian anti-virus firm.Its report claims that about 600,000

Can computers have true artificial intelligence?

Is it possible to create true artificial intelligence and, if so, how close are we to doing so, asks mathematician Professor Marcus du Sautoy.It was

Jonathan Urges MDAs to Connect to Satellite

The China Great Wall Industry Corporation (CGWIC) on Monday formally delivered the communication satellite, Nigcomsat-1R; which it helped Nigeria launch last year to President Goodluck

Most Watched Videos

View all posts

UN considers sanctions against both Sudans

UN Security Council has discussed possible sanctions against Sudan and South Sudan, as it seeks to pull the two countries back from the brink of

Former Nigerian Presidents Expressing Their Views On The State of Affairs

Former Nigerian Presidents Expressing Their Views On The State of Affairs

Most Read News

View all posts

Most Watched Movies

Innocent Pain 4 - Part 2

Features: MIKE EZURONYE, NGOZI EZEONU, YUL EDOCHIE, CHINWETALU AGWU.Enyioma (Mike Ezuruonye) and his friend Osondu (Yul Edochie) were driving down the road and

4 PLAY RELOADED 3 - Part 2

4 PLAY RELOADED 3Is it love or just a game? The chit chatting and lamentations never end, with mixed fortunes of agonizing and joyous experiences.

My Heart- Part 2

Starring: Nkiru Sylvanus, Pascaline Edwards, Kofi Adjololo, Omar Sheriff Captan, Irene Opare, Emmanuel Armah, Zimmerang Clottey

The King's Search 4

Starring: Jim Iyke, Tonto Dike, Clem Ohameze

Every Single Day

Beatrice(Onyeka Onwenu)is a school teacher who is having an affair with Okoro(Enebeli Elebuwa)she has set her eyes on making sure he marries her

Brain Box

Dozie (Osita Iheme) & Eke (Chinedu Ikedieze) are two young boys full of ambition but their quest to make money lead them into doing

ACT OF FAITH 2

ACT OF FAITH For years they yearned to no avail for the fruit of the womb. Suddenly, events took a dramatic turn after she got

Keziah

Cletus (John Okafor) has a beautiful daughter Keziah (Mercy Johnson) who is a sex maniac, despite having a good christain and moral upbringing. Starring: Charles

Final Spirit of Love 2

Udoka's uncle is careful in selecting who would have his neice's hand in marriage. One after another, he screens young men to find his