Reliance Communications
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| Reliance Communications Limited | |
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| Type | Public (BSE: RCOM) |
|---|---|
| Founded | 2004 |
| Headquarters |  Mumbai, India |
| Key people |  Anil Ambani, Chairman and Managing Director |
| Industry | Telecommunications |
| Products | CDMA service, GSM service, Broadband Internet Service |
| Website | Reliance Communications |
Reliance Communications (formerly Reliance Infocomm), along with Reliance Telecom and Flag Telecom, is part of Reliance Communications Ventures (RCoVL). According to National Stock Exchange data, Anil Ambani controls 66.75 per cent of the company, which accounts for more than 136 crore shares of the company.[1]Reliance Infocomm is an Indian telecommunications company. It is the flagship company of the Reliance-Anil Dhirubhai Ambani Group, comprising of power (Reliance Energy), financial services (Reliance Capital) and telecom initiatives of the Reliance ADAG Group. Reliance Infocomm is currently managed by Anil Dhirubhai Ambani.
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[edit] History
Reliance Infocomm is the outcome of the late Dhirubhai Ambani's (1932-2002) dream to herald a digital revolution in India by bringing affordable means of information and communication to the doorsteps of India's vast population. Dhirubhai Ambani charted out the mission for Reliance Infocomm in late 1999. He saw in the potential of information and communication technology an opportunity for India to leapfrog over its historical legacy of backwardness and underdevelopment. Between 1999 to 2002 Reliance Infocomm built the fiber backbone for India — 60,000 kilometres of fibre optic backbone, crisscrossing the entire country. This network was commissioned on December 28, 2002, the 70th birth-anniversary of Dhirubhai. This day also marked his first birth anniversary after his demise on July 6, 2002.
[edit] Footprint
At present, Reliance Telecom's cellular services are available in 340 towns within its eight-circle footprint. Reliance Infocomm also offered for the first time in India, mobile data services though its R-World mobile portal. This portal leverages the data capability of the CDMA 1X network.
[edit] Customer Base
As of July 2006 Reliance Infocomm had user base of 23.7 million. RIC is aggressively expanding the reach of its network at the expence of customer satisfaction in order to reach more subscribers by extending its services. By, March 2007 Reliance plans to expand it GSM network to 4,000. It is estimated that the mobile market in India will grow to 140 million subscribers by FY 2008.
[edit] Acquisition of Flag Telecom
In January 2004, Reliance Infocomm (RIC) acquired 100 per cent of the undersea cable company, FLAG Telecom for US$ 211 million through Reliance Gateway Net Limited, a wholly owned subsidiary of RIC. This acquisition provides RIC with an international gateway to global markets.
[edit] Market Cap
Reliance communications has a market cap of 95000 crore indian rupees( About $21 Billion) as of 23rd December 2006. The Rs 68-rise in the share since December 12 increases the value of the promoters’ stake by Rs 9,248 crore, or more than $ 2 billion, a sum that can play a critical role in the battle that Reliance is facing with British Vodafone to control Hutch Essar.The RComm closed 2006 at Rs 471.
[edit] Bid For Hutch
In 2007, Reliance Communications had bid for 67% of Hutch but lost to Vodafone led by its Indian CEO Arun Sarin. Vodafone beat Reliance by quoting US $12 billion.
