Calcutta, Feb. 19: Tata Teleservices will invest about Rs 4,500-5000 crore to roll out the Indicom brand in the 11 new circles it has acquired through the unified licence.
The company has set an August date for the launch and is now busy readying its network infrastructure, sources said.
A programme management office that will oversee network and capacity augmentation in the existing circles has already been set up.
Tata Teleservices offers basic telephone, internet — broadband as well as dial-up — and NLD (national long distance) services. Telephone services include wireline phones, fixed wireless phones and CDMA mobile.
Sources said Ericsson has already been assigned the contract for the network. However, company officials refused to confirm and said it is still in talks with various vendors.
A contract, valued at $150 million, has already been signed with Ericsson to strengthen the infrastructure in the existing circles. The Tata group company also plans to open an office in Calcutta to look after operations in the eastern region.
Tata Teleservices currently operates in Andhra Pradesh, Delhi, Maharashtra, Karnataka, Tamil Nadu and Gujarat.
The new licence, which was acquired for Rs 417 crore, includes the circles of Calcutta, West Bengal, Bihar, Orissa, Haryana, Himachal Pradesh, Kerala, Punjab, Rajasthan, Uttar Pradesh (east and west).
The company currently has a customer base of 1.5 million but hopes to raise it to 5 million once it achieves a national presence.
An investment of Rs 7,500 crore over a seven-year period has already been earmarked for the six circles where it is currently operating and generating employment opportunities for over 50,000 people.
The company is planning strategic changes in terms of brand promotion and marketing. Pre-paid services will also be introduced soon.