The Hindu : Chennai Telephones studying competitive pricing package

Online edition of India's National Newspaper
Sunday, Dec 15, 2002

Southern States

Southern States - Tamil Nadu-Chennai

Chennai Telephones studying competitive pricing package

By N. Ravi Kumar

CHENNAI DEC. 14 . Over a month after facing competition in the WLL (wireless in local loop) segment and a fortnight ahead of the entry of another player, Chennai Telephones is examining the possibility of introducing a competitive pricing package.

The BSNL entity, which opened bookings for 20,000 WLL lines on November 25, is actively considering waiving off the registration fee on the `poor man's mobile', to start with for a select group of subscribers.

Chennai Telephones recently sent a proposal to the BSNL headquarters seeking permission to waive the registration fee of Rs. 2,000 for corporates and bulk customers with good track record who apply for WLL connections. The scheme could be availed by bank employees after furnishing a guarantee from their employers, the Chief General Manager of Chennai Telephones, S.S. Iyer, told The Hindu.

The move was expected to increase the popularity of its WLL services — the existing WLL subscriber base of the Chennai Telephones is 10,000. While about 1,500 applications have been received after November 25, the number was expected to go up manifold once activation of the connections begins next week. The Tamil Nadu Telecom Circle for promoting its GSM mobile connections adopted a similar strategy.

Underscoring the significance of competitive pricing strategies "for survival", Mr. Iyer said by mid-December Chennai Telephones was planning to sell WLL handsets, at a `subsidised' price of Rs. 5,000 each, to the subscribers.

For the convenience of the subscribers, it already allowed registration for the WLL connections at any of the customer service centres in the seven area offices. Seeking to make available the phones at a location close to the subscribers, it was also planning to activate the WLL equipment at all customer cells functioning in the area offices; customer service centres in strategic locations and all Teleshoppe.

Stating that the prospective subscribers, especially traders and businessmen, were purchasing applications in bulk, he said the estimated subscriber base for WLL phones in a few years would be about four lakhs, with many preferring it to GSM cellular connections.

Towards improving the coverage under the service, 21 more WLL Base Tower Stations (BTS) would be added by March-end to the existing 15 facilities. More towers would be added in the next financial year, he said, adding that for North Chennai areas towers would be established at Flower Bazaar, Kalmandapam, Perambur, Ennore and Manali. At present, there was only one BTS in the area at Harbour.

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Chennai Telephones studying competitive pricing package