AIRCEL AND DATACOM ENTER INTO TOWER SHARING AGREEMENT

By September 17th, 2009 AT 3:59 PM

Aircel and Datacom Solutions today announced that they have entered into a tower sharing agreement, under which Datacom will share a minimum of 5,000 towers across Aircel’s footprint, over a span of 16 months. The deal is valued at approximately USD 400 million.

By leveraging Aircel’s tower infrastructure Datacom, a new entrant in the Indian telecom sector, will be able to reduce cost and gain time to market.

Aircel, the fastest growing operator, which currently owns approximately 15,000 towers across the country, will in turn create value by increasing tenancy and reducing cost across its towers.

Mr. V.N. Dhoot, CMD Videocon Group, quoted “This is a landmark deal and a unique opportunity for Datacom for faster Pan-India rollout. It shows our commitment to the Indian telecom sector. Access to Aircel’s towers will help meet our aggressive rollout targets. We are also rolling out our own towers and for those towers, we would like to have other operators as tenants.”

Mr Gurdeep Singh, COO, Aircel, added, “Datacom’s decision to partner with Aircel clearly demonstrates the desirability and attractiveness of Aircel’s network of towers in strategic, high revenue potential locations. We are very happy to share our passive infrastructure with Datacom.”

A Happy Geek and a Network Research Engineer with a really cool day job…

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