Idea Cellular Explained

Idea Cellular Limited
Former Name:Birla Communications Limited (1995-1996)
Birla AT&T Communications Limited (1996-2001)
Birla Tata AT&T Communications Limited (2001-2002)
Type:Public
Fate:Merged with Vodafone India into Vodafone Idea
Successor:Vodafone Idea
Area Served:India
Isin:INE669E01016
Industry:Telecommunications
Products:Mobile telephony, wireless broadband
Revenue: (2016)[1]
Operating Income: (2016)
Net Income: (2016)
Assets: (2016)
Equity: (2016)
Members:220.00 million
Members Year:June 2018
Parent:Aditya Birla Group
Founder:Aditya Birla Group
Defunct: (as company) (as brand)
Location:Gandhinagar, Gujarat, India[2]

Idea Cellular was an Indian telecommunications company based at Mumbai, Maharashtra.[3] It was an integrated GSM operator and had 220.00 million subscribers as of June 2018.[4]

In 2018 Idea Cellular merged with Vodafone India into Vodafone Idea.[5]

History

Idea Cellular was incorporated as Birla Communications in 1995 after GSM licenses were won in Gujarat and Maharashtra circles. The company name was changed to Idea Cellular and the brand Idea was introduced in 2002 after a series of name changes following mergers and joint ventures with Grasim Industries, AT&T Corporation and Tata Group.[6] Following the exit of AT&T Corporation and Tata Group from the joint venture in 2004 and 2006 respectively, Idea Cellular became a subsidiary of Aditya Birla Group.[7] Malaysia based Axiata had bought around 20% stake in the company in 2008 for US$2 billion.[8]

Idea previously bought a 40.8% stake in Spice Telecom, for over 2,700 crore.[9]

Merger with Vodafone India

The entry of Jio in 2016 had led to various mergers and consolidations in the Indian telecom sector.[10] It was announced in March 2017 that even Idea Cellular and Vodafone India would be merged. The merger got approval from Department of Telecommunications in July 2018. On August 30, 2018, National Company Law Tribunal gave the final nod to the Vodafone-Idea merger [11] The merger was completed on 31 August 2018, and the newly merged entity was named Vodafone Idea.[12] [13] [14] [15] The merger created the largest telecom company in India by subscribers and by revenue. Under the terms of the deal, the Vodafone Group holds a 45.2% stake in the combined entity, the Aditya Birla Group holds 26% and the remaining shares will be held by the public.

On 7 September 2020, Vodafone Idea unveiled this new brand identity, Vi, which involved the integration of the company's erstwhile separate brands Vodafone India and Idea Cellular into one unified brand.

Operations

In the 2010 3G spectrum auction, Idea paid for spectrum in 11 circles.[16] After the launch of MNP in India, Idea further strengthened its customer base because it was the mobile network with most net port-ins.[17]

Radio frequency summary

Idea Cellular owned spectrum in 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz and 2500 MHz bands across the country.

Telecom circle coverageE-GSM
900MHz
Band 8
GSM / LTE-FDD
1800MHz
Band 3
UMTS
2100MHz
Band 1
LTE-TDD
2300MHz
Band 40
LTE-TDD
2500MHz
Band 41
Tamil Nadu
Uttar Pradesh (East)
Note: The above table contains Vodafone Idea radio frequency details because they used to share their networks with each other via ICR (intra-circle roaming agreement) in some circles. For example, Idea had started giving its customers in Delhi access to 4G services in May 2018 via the Vodafone network.

See also

Further reading

Notes and References

  1. Web site: Consolidated Result 2016-17.
  2. Web site: Idea Cellular – Cell Phone Services . 28 June 2012 .
  3. Web site: Idea Cellular – Cell Phone Services 3G, Prepaid, Postpaid & Wireless Internet . 2014-07-29 . www.ideacellular.com . en.
  4. Web site: Press Release No. 23/2018. 16 February 2018. Telecom Regulatory Authority of India. 20 February 2018.
  5. News: Idea-Vodafone say merger complete, now India's largest telco with 408 million active users. 31 August 2018. Indiatimes.
  6. Web site: Idea Cellular – Cell Phone Services 3G, Prepaid, Postpaid & Wireless Internet . 2014-07-29 . www.ideacellular.com . en.
  7. Web site: Cingular Allows Agreement to Sell Stake in Indian Wireless Service Provider to Expire . U.S. Securities and Exchange Commission . 2015-06-07.
  8. News: www.ETTelecom.com . Malaysian Telco Axiata may soon exit Vodafone Idea as stock continues its slide - ET Telecom . en . 2020-06-14.
  9. Web site: Spice Telecom buy to leave Idea Cellular richer . Kumar. Arun. 2008-06-30. Hindustan Times. 2020-12-21.
  10. News: The shakeup in India's telecom sector. Raj. Amrit. 2017-10-21. www.livemint.com. 2018-04-21.
  11. News: NCLT gives go-ahead to Idea-Vodafone merger . Parbat . Kalyan . 2018-08-31 . The Economic Times . 2018-09-01 . Sengupta . Devina.
  12. Web site: Vodafone Idea Limited Campaign . 2019-07-24 . www.vodafoneidea.com . en.
  13. News: Idea approves merger with Vodafone India, to create India's largest telco. The Economic Times. 20 March 2017. Guha. Romit.
  14. Web site: Kurup. Rajesh. Idea Cellular board approves merger with Vodafone India; shares tank 9%. The Hindu Business Line. 20 March 2017. en. 20 March 2017.
  15. Web site: Disclosure under Regulation 30 of SEBI (LODR) Regulations, 2015 . BSE . 31 August 2018 .
  16. Web site: India's 3G Auction Ends; Operator And Circle-Wise Results . Nikhil . Pahwa . . 19 May 2010.
  17. News: Five years on, Idea, Vodafone, Airtel emerge top gainers in MNP: Kotak. Abbas. Muntazir. 2016-04-13. The Economic Times. 2018-04-21.