Videocon may partner Jio, BSNL & Airtel for bulk data

KOLKATA: Videocon Telecom is in talks with Bharat Sanchar Nigam ( BSNL), Reliance Jio Infocomm and Bharti Airtel to buy bulk talk-time and a mix of 3G/4G data and resell the same under its own brand in the capacity of a mobile virtual network operator ( MVNO).

The company’s chief executive Arvind Bali told ET that Videocon Telecom will “shortly apply for an MVNO licence” to remain in the mobile services business.

Bali declined to name Videocon’s potential telco partners, citing non-disclosure pacts, but said the company is in “active discussions" with multiple telecom service providers for bulk-buying of airtime and data at wholesale rates in its future role as an MVNO, adding that “volumematrices” to arrive at a wholesale arrangement were being thrashed out.

Telcos, he said, have different business models for MVNOs, and the price primarily depends on volumes, commitment, circle/geography and their own network fill factor in the geography.

BSNL Chairman Anupam Shrivastava confirmed that “preliminary discussions had transpired with Videocon”. A Bharti Airtel spokesperson said “as a policy, it does not comment on market speculation” while Reliance Jio did not reply to ET’s email until press time Tuesday.

“The MVNO route allows us to remain in the telecom services business since Videocon is a strong B2C brand with a robust sales and distribution team,” said Bali.