Jump to content

Telenor India

From Alfawiki
Telenor (India) Communications Private Limited
Company typePrivate
IndustryTelecommunications
PredecessorUninor
Founded2008
FounderTelenor Group (majority stake)
FateMerged with Bharti Airtel in 2018
Headquarters
India
Area served
India
Key people
Vivek Sood (CEO)
ProductsMobile telephony services, 2G, 4G LTE
Number of employees
~4,000 (retained after merger)
ParentTelenor Group (until merger)

Telenor (India) Communications Private Limited, previously known as Uninor, operated as an Indian mobile service provider and was a fully owned subsidiary of the Norwegian telecom giant Telenor Group. In February 2017, Telenor Group revealed plans to merge its India business with Bharti Airtel through a transaction involving no cash exchange, wherein Airtel would take over pending spectrum liabilities amounting to Rs 1,650 crore, subject to regulatory clearance.

By April 2018, Telenor India had amassed a subscriber base of 36.15 million. The Department of Telecommunications (DoT) granted its final approval for the merger with Bharti Airtel on 14 May 2018.

Establishment and Expansion

In 2008, Unitech Wireless Limited, a unit under the Unitech Group, was formed and secured wireless service licenses across all 22 telecom circles that year. A joint venture was forged between Unitech Group and Telenor Group, with Telenor injecting equity worth 61.35 billion to obtain a controlling share. Following endorsements from the Foreign Investment Promotion Board and the Cabinet Committee on Economic Affairs, Telenor increased its ownership stake to 67.25% through four separate investments.[1] The company adopted the brand name Uninor in September 2007.[2]

Uninor commenced operations in eight telecom circles on 3 December 2007,[3] marking one of the fastest and largest GSM Greenfield deployments globally within India. The brand primarily targeted youthful and ambitious consumers. Within half a year, it expanded into five more circles, including key metropolitan areas such as Mumbai and Kolkata.

Rapid growth was achieved by Uninor through a streamlined operational approach that outsourced significant portions of its network infrastructure to external partners. Utilizing advanced technology allowed for precise service offerings and optimized spectrum utilization.[4] In 2010, the company introduced dynamic pricing strategies—offering discounts based on real-time network congestion by location and time—and streamlined its focus towards broad market penetration, essential services, and cost-effective operations. Marketing and product development centered around simplicity and affordability.

By the second quarter of 2012, Uninor had surged from zero to 45.6 million subscribers in less than two years, becoming the most successful among the new operators licensed in 2006, boasting more than twice the combined customer base of its peers.

License revocations

On 2 February 2012, the Supreme Court of India annulled 122 licenses held by 22 telecom operators, including Uninor. By mid-2012, Uninor began withdrawing its presence from four telecom circles—Karnataka, Kerala, Orissa, Goa, and Maharashtra—to concentrate on its strongest markets in preparation for the 2012 spectrum auction. Subsequently, Uninor terminated services in these regions. During the auction, it obtained licenses and spectrum allocations in six circles: Uttar Pradesh (East), Uttar Pradesh (West) & Uttarakhand, Bihar & Jharkhand, Gujarat, Tamil Nadu, and Andhra Pradesh & Telangana.

Uninor intended to discontinue operations in Rajasthan, Punjab, and West Bengal by 18 January 2013; however, this deadline was extended to 16 February. On 15 February 2013, the Supreme Court mandated that companies lacking spectrum from the November 2012 auction must cease operations immediately.

Following the deadline, Uninor halted services in Punjab, Rajasthan, and West Bengal shortly after midnight on 16 February 2013. A company representative mentioned that by this time, nearly all subscribers in Punjab and West Bengal had ported out after being notified in December 2012. Nevertheless, the sudden court directive prevented Uninor from providing prior notice to its Mumbai customers, where it still served approximately 1.8 million users at the time of shutdown.

Unitech's withdrawal and rebranding

After Uninor’s licenses were revoked, a dispute arose between Unitech and Telenor over control of the company. In October 2012, Unitech exited the partnership by transferring its Uninor assets to Telenor. Subsequently, Telenor established Telewings Communications Services Private Limited as a joint venture with Lakshdeep Investments & Finance holding a 49% stake. By December 2013, Telenor had increased its ownership to 74%.

In 2014, Telenor Group took full ownership of Telewings, making it a wholly owned subsidiary. On 23 September 2015, Uninor underwent rebranding to become Telenor India, accompanied by an investment of ₹100 crore. This rebranding aligned the company’s identity with that of the global Telenor Group. CEO Vivek Sood highlighted that the company had achieved breakeven within four years. The entity Telewings Communications Services Private Limited was renamed Telenor (India) Communications Private Limited.

Acquisition by Bharti Airtel

On 2 January 2017, Bharti Airtel initiated talks to acquire Telenor India. By 23 February 2017, Airtel announced a definitive agreement to purchase Telenor India's assets and subscriber base across seven telecom circles: Andhra Pradesh, Bihar, Maharashtra, Gujarat, Uttar Pradesh (East and West), and Assam. The deal included a spectrum holding of 43.4 MHz in the 1800 MHz band.

By June 2017, Airtel had obtained regulatory clearances from the Competition Commission of India (CCI), SEBI, and relevant stock exchanges. The National Company Law Tribunal (NCLT) sanctioned the merger in August 2017. Shareholders of Airtel approved the acquisition on 21 September 2017; final NCLT approval followed in March 2018.

Following the merger completion, Airtel planned to retain approximately 4,000 employees from both Telenor India and Tata Teleservices. The Supreme Court removed obstacles by dismissing the telecom department’s order demanding a bank guarantee. The Department of Telecom granted final approval on 14 May 2018, enabling Bharti Airtel and Telenor India to conclude the commercial transaction.

Radio Frequency Overview

As of February 2017, Telenor India possessed spectrum allocations in the 1800 MHz range across seven telecom circle regions within the nation.

Telecom circle coverage GSM / FD-LTE
1800MHz
Band 3
Andhra Pradesh and Telangana Template:Ya
Assam Template:Ya
Bihar and Jharkhand Template:Ya
Uttar Pradesh (East) Template:Ya
Gujarat Template:Ya
Haryana Template:Ya
Mumbai Template:Ya
Kolkata Template:Ya
Uttar Pradesh (West) Template:Ya
Tamil Nadu Template:Ya

Introduction of 4G

In February 2016, Telenor initiated 4G network services in Varanasi, utilizing narrow-band LTE technology on the 1800 MHz frequency band. The deployment incorporated Huawei’s lean GSM solution, which compresses data to optimize spectrum utilization. Additionally, Telenor reallocated 1.4 MHz from its existing 2G voice spectrum to support data transmission without compromising voice call quality.

Operations Ceased

Telenor discontinued services in seven telecom circles:

  • West Bengal (ceased operations on 16 February 2013)
  • Karnataka (phased out starting July 2012)
  • Kerala (phased out starting July 2012)
  • Orissa (phased out starting July 2012)
  • Maharashtra & Goa (ended services on 16 February 2013)
  • Punjab (phased out starting July 2012)
  • Rajasthan (terminated services on 16 February 2013)

Subscriber Base

According to the Telecom Regulatory Authority of India (TRAI), Telenor India’s subscriber count reached approximately 41.91 million nationwide as of December 2017.

2G License Dispute

In 2006, Unitech Wireless acquired 2G licenses through a first-come-first-served allocation method, securing licenses for eight entities under the Unitech Group umbrella. These licenses later served as the foundation for Telenor Group’s investment in their joint venture. Subsequently, Unitech Wireless companies were consolidated into Unitech Wireless (Tamil Nadu) Pvt. Ltd., with Telenor contributing ₹61.35 billion for a 67.25% ownership stake, which was utilized as working capital. Each phase of Telenor’s investment received approval from the Foreign Investment Promotion Board (FIPB).

Following the controversy surrounding the allocation of 2G licenses, investigations were initiated by the Indian Central Bureau of Investigation (CBI) against Unitech Ltd.’s Managing Director, Sanjay Chandra, and Unitech Wireless. Sanjay Chandra along with other telecom officials were arrested in early 2011 but subsequently granted bail while legal proceedings continued.

In February 2012, a special court instructed TRAI to propose a fresh allocation process for the 121 licenses granted in 2008, extending deadlines up to January 2013. Despite this, Uninor maintained uninterrupted service.

On 21 February 2012, Telenor Group declared its intention to establish a new Indian company aimed at acquiring new licenses in forthcoming auctions and obtaining FIPB clearance for a majority stake of up to 74%.

By 1 August 2012, Uninor revealed plans to divest its telecom operations before the Supreme Court’s September deadline imposed on companies with canceled licenses. This move faced opposition from minority partner Unitech, which threatened legal measures. Telenor also announced a contingency plan to purchase Unitech Wireless for ₹4,190 crore should no buyers emerge.

An agreement reached in October 2012 resulted in Unitech Ltd. consenting to sell its entire shareholding in Unitech Wireless, culminating in the rebranding of the company as "Telenor India" by September 2015.

Awards and recognition

Telenor India has been honored with a variety of prestigious industry accolades in acknowledgment of its operational excellence and commitment to sustainability:

2016:

  • Efma Award recognizing Telenor Suraksha as the 'Best Disruptive Product or Service'
  • Voice & Data Telecom Leadership Awards for initiatives including Free Life Insurance & Rebranding Campaign, Lean GSM, and Project Sampark

2015:

  • Aegis Graham Bell Award awarded for Project Sampark
  • Exchange4media IPRCC Award in the CSR & Not-for-profit category
  • Recipient of the Greentech Safety Award on five occasions
  • Greentech CSR Gold, Platinum Safety, and Environment Gold recognitions
  • British Safety Council ISA and Global Sector Awards

2014:

  • CII Star Award for excellence in Safety Management
  • Greentech Gold and Environment Excellence Gold Awards
  • British Safety Council International Safety Award with Distinction along with the Global Sector Award

2013:

  • Greentech Gold and Environmental Excellence Gold Awards
  • British Safety Council International Safety Award with Merit

2012:

  • Greentech Gold and Environmental Excellence Gold Awards
  • British Safety Council International Safety Award with Merit

2011:

  • Greentech Gold Award for exceptional performance in Safety Management

See also

External links

  1. ↑ Telenor.com - Approval of Unitech Wireless’ application
  2. ↑ Lua error in Module:Citation/CS1/Configuration at line 2123: attempt to index field '?' (a nil value).
  3. ↑ Lua error in Module:Citation/CS1/Configuration at line 2123: attempt to index field '?' (a nil value).
  4. ↑ Lua error in Module:Citation/CS1/Configuration at line 2123: attempt to index field '?' (a nil value).
Retrieved from "https://www.alfawiki.org/index.php?title=Telenor_India&oldid=88116"