By Aarushi Singh
As competition in the telecom sector is
elevating the need for more focus on R&D is required. Many telcos are
trying to build strategies and investing huge amount on this sector. As the
existing companies and the new comers need to prove themselves.
Recent announcement of Bharti Airtel acquiring consumer mobile business of Tata Teleservices ltd. and Tata
Teleservices Maharashtra was not surprising as acquisition and mergers become
necessary to survive in a competitive market. Over the last 10-15 years, the
telecom sector has experienced advancements like VOIP (voice on internet
protocol), broadband, smart phones, 3G and 4G technologies. These advancements
have made India the world’s second largest telecom market and have third
highest number of internet users in the world.
According to experts all factors necessary
to fuel research and development are present in India which includes demanding
customers, profits aplenty, financing options, intense competition and rapidly
growing market. But the barriers for entry created in this technical market could
collapse as happened in the case of Reliance
Jio an year ago. Low prices helped Reliance to create its customer base and become
the biggest competitor for other companies.
Therefore surviving of the telcos is
totally dependent on the innovation and opportunities which they take up in the
future and how they deal with the changing market scenarios.
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