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RCom-Alcatel form global joint venture
| Alcatel-Lucent will have operational control |
To foray into Managed Network Services industry
The seven-year assignment is worth $500 million
MANAGED NETWORK: Vivek Mohan (right), President, Alcatel-Lucent India, Sandip Biswas, Head, Network Management, Reliance Communications, addressing a press conference in Mumbai on Monday.
MUMBAI: Reliance Communications and Alcatel-Lucent on Monday formed a global joint venture to foray into the fast growing $16 billion Managed Network Services industry. The joint venture will cater to CDMA and GSM telecom operators across the globe.
Alcatel-Lucent will have a 67 per cent stake, while RCom has a 33 per cent stake in the joint venture.
A new legal entity is being formed as part of the joint venture. Alcatel-Lucent will have the operational control of the new entity and Reliance Communications is represented in the joint venture through its wholly owned subsidiary and the joint venture would thereafter expand its operations in the global arena.
The first assignment of the joint venture will be to provide managed services for Reliance Communications’ nationwide CDMA and GSM networks in India. The seven-year assignment is worth $500 million.
“World over the biggest challenge telecom operators are facing is to continuously improve competitiveness by reducing operating expenditure and enhancing network quality to provide superior customer experience.
The combined expertise and experience of Reliance ADA Group and Alcatel-Lucent would create an umatched blend of leadership in technology, innovation, scale of operations and customer service to become the world’s leading Managed Network Services Provider,” said Sandip Biswas, Head — Managed Network, Reliance Communications.
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