Network OperatorsAirtel buys out Augere to expand 4G coverage

Airtel buys out Augere to expand 4G coverage

Airtel has signed an agreement to acquire a 100% stake in Augere Wireless Broadband India, which will become a wholly owned subsidiary of the telecom operator. The deal means the company’s 4G services will have a presence in over 300 towns across 15 circles in the future.

Augere Wireless Broadband India owns 20MHz of broadband wireless access (BWA) spectrum in the Madhya Pradesh and Chhattisgarh network circle. It had won the block of 2300MHz 4G band in the 2010 auctions for Rs 122.46 crore. The France Telecom-owned company hasn’t made any use of it since then, giving unclear regulatory laws as the reason.

25072015-301

While Airtel hasn’t disclosed the cost of the new deal, the Economic Times pegs the value of the contract at around Rs 150 crore. Both the 4G and 3G bands will play an important part in the next phase of the telecom operator’s growth in the country, with internet usage increasingly becoming its main cash cow.

The brand had posted around an 80% growth in its data revenue in the first fiscal quarter ending in June. Back in March, Airtel tied up with China Mobile, the world’s largest telecom company, to strengthen its infrastructure by developing 4G technology and standards. The companies will also jointly source devices and equipment.

Also Read: Airtel starts 4G services in Tawang, Kohima, Dimapur

Airtel had started the commercial rollout of its LTE facilities earlier this month in 296 towns covering 14 circles. It launched the service in three towns across Nagaland and Arunachal Pradesh this week. The network provider is probably looking to aggressively expand its LTE footprint and make use of its early advantage.

Airtel will eventually have to face competition from brands like Reliance Jio, which plans to begin its pan-India release by December, and Vodafone.

Related Articles

Latest Posts