Discussion Vodafone might exit India

[iDJ]

We need foreign products, but make in India, invested in India, employment to India like iPhone from India not from China.

Due to aggressive pricing by Jio. Many employees of telecom companies lost their jobs including my relatives and friends. Pricing didn't needed to be that agressive that stops competition from market.

 

[Anuj Setia]

Sorry to burst the bubble of the so called Jai Bharat. If VF exits india, Idea will cease to exist as well. God knows what govt. is planning for BSNL.

So only players left will be Airtel and Jio which means full power to Ambani and Mittal. Get ready to pay exorbitant charges.

 

[Ashok Varma]

Due to aggressive pricing by Jio. Many employees of telecom companies lost their jobs including my relatives and friends. Pricing didn't needed to be that agressive that stops competition from market.

Jio pricing was more aggressive than others from inception (minimum 49 or 98).

 

[TheCapedCrusader]

If vodafone makes an exit means it will create a bad impression on India to foreign investors.

 

[Esmail]

If Vodafone leaves India, then we have JAI Bharat. Jio Airtel Idea Bsnl Pure Swadesi Telecos

Not completely. Airtel has shareholding by SingTel which is Singapore based company.

 

[WizarD]

If Vodafone collapses in India what will Idea do?

Idea may acquire controlling shares, an eventual merger with Airtel could not be ruled out.

Not completely. Airtel has shareholding by SingTel which is Singapore based company.

Axiata (Malaysia) has 8% share in Vodafone-Idea.

 

[JollyLNB]

Not completely. Airtel has shareholding by SingTel which is Singapore based company.

Singtel has equity stakes in several other carriers across Asia like AIS (Thailand), Globe (Philippines), Telkomsel (Indonesia) and Optus (Australia). These carriers including Airtel along with some other carriers not owned by Singtel (like Maxis of Malaysia) form what is called the Bridge Alliance.

Idea may acquire controlling shares, an eventual merger with Airtel could not be ruled out.

Axiata (Malaysia) has 8% share in Vodafone-Idea.

Axiata has a very small stake in Idea which does not amount to much. Axiata is not considered to operate in India the way it operates in Nepal, Bangladesh and Sri Lanka. All of us have seen the Bangladesh cricket jersey with the Robi logo and the Sri Lankan jersey with the Dialog logo. In Nepal it is called Ncell. Ncell was acquired from the Swedish company TeliaSonera (now Telia Company) in 2016.

The things is, Vodafone is extremely sensitive to policy and price fluctuations and I am quite surprised they held onto their India operation for that long. Aside from European operations, Vodafone has exited almost every country.

Vodafone Japan- Exiting long back what is now known as Softbank
Smart Tone - Vodafone HK- Vodafone exited and now it's only smart tone
Verizon- Vodafone sold it's 40%+ share in VZW (which is btw crazy profitable company in the USA)
Vodafone Australia- Sold 50% stake to Hutchison.
Vodafone Qatar- Qatar foundation

Vodafone brand name is, however of much value. Recently, Ukrainian operator MTC (which is a russian company) licensed the "Vodafone" brand name for its Ukrainian operation.

You have very in-depth knowledge, and I appreciate it, but Vodafone has a big presence in Africa and not only Europe. Vodacom in South Africa and other countries and Safaricom (minority stake) in Kenya.

Yes, Vodafone has sold or reduced its stake in many non-European countries. This year it sold off its New Zealand operation. Next year it will enter Oman, but it is unlikely to own more than half of the Omani operator there.

In Europe, Telenor acquired the Swedish operations of Vodafone in 2006 and renamed them to Telenor.

If Vodafone leaves India, then we have JAI Bharat. Jio Airtel Idea Bsnl Pure Swadesi Telecos

Sorry to burst the bubble of the so called Jai Bharat. If VF exits india, Idea will cease to exist as well. God knows what govt. is planning for BSNL.

So only players left will be Airtel and Jio which means full power to Ambani and Mittal. Get ready to pay exorbitant charges.

Moral of the story: There will be only two truly Indian telecom companies if Vodafone exits: Jio and BSNL/MTNL. Jai Bharat will become BJ. If MTNL was called PTNL, I would have said BJP.

 

[WizarD]

Axiata has a very small stake in Idea which does not amount to much. Axiata is not considered to operate in India the way it operates in Nepal, Bangladesh and Sri Lanka. All of us have seen the Bangladesh cricket jersey with the Robi logo and the Sri Lankan jersey with the Dialog logo. In Nepal it is called Ncell. Ncell was acquired from the Swedish company TeliaSonera (now Telia Company) in 2016.

As per figures online, total equity of VO-ID is 8.6 billion USD and Axiata has 8.17% share in it, which is ~0.7 billion USD (around 5,000 crores rupees).

 

[JollyLNB]

As per figures online, total equity of VO-ID is 8.6 billion USD and Axiata has 8.17% share in it, which is ~0.7 billion USD (around 5,000 crores rupees).

8% may not be very big, nor is it something tiny like 0.6%, but it has come after Axiata repeatedly diluted its stake in Idea. Clearly Axiata has it only as a sort of token. It is not very interested in the operations of Idea.

 

[ghaju]

In today's Deccan Chronicle it's saying vodafone is likely to quit india biz due to the recent supreme court order to pay dues. So Vodafone doesn't see a future in india.