We have zero revenue, so we are crowded out by COAI, says Mukesh Ambani

Reliance Industries chairman Mukesh Ambani slammed the Cellular Operators Association of India (COAI) for its undemocratic functioning, and said that the voting rights of the members depend on the revenue of the operators.

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“I didn’t realise until just a few months ago that while it’s an association, the voting rights of the members depend on the revenue of the operators. We have zero revenue, so we are crowded out. Then what happens is that the official or the CEO of the association becomes an employee of the top two or three operators, in essence,” Ambani said in an interview to Economic Times.

Ambani said the COAI’s view is actually the view of one or two operators and not the view of the entire industry. “If the top two operators control more than 51 per cent, it’s an inherent flaw in its structure,” he said.

He said that Jio has aspirations of getting substantial revenue, and once it gets substantial revenue,it will not misuse the revenue power.

The industry body, which represents telecom operators like Bharti Airtel, Vodafone India, Idea Cellular and Aircel, discarded Ambani’s comments on the functioning of COAI by terming them “absolutely incorrect and misleading.”

“COAI is a fully democratic association and takes into account the views of all its member operators. On all policy matters, the views of COAI are fully endorsed by all or majority of its member operators,” Rajan S Mathews, Director General of COAI, said in a statement.