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With telecom technologies upgrading at a fast pace and market maturing, the trend
with enterprises to seek augmented services with bundled hardware and software on
rental basis is fast catching up. Telecom companies also are luring customers with
end-to-end complete solutions. Keeping this in mind, Coral Telecom has tied up with
the largest telecom companies in India i.e. BSNL and MTNL to supply customer premises
equipments on rent cum revenue share basis.
Rental services business for voice & data services are expected to be a large
market worth at least two million ports per annum in India, which translates into
a market of Rs. 200 crores. This model is being replicated in other countries in
the Indian subcontinent & in Africa.
Model provides a Zero Capex based solution to end customer and absolves the service
provider against challenges on account of technology obsolescence. Coral Telecom
is in an enviable position to succeed in this market because of its PAN India presence
to support service based business platform. Coral as a design house can handle challenges
of technology obsolescence better than other traders and Coral as a manufacturer
has lower break even point in the business.
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