We welcome the new Union Minister of Communications, Manoj Sinha, who replaces Ravi Shankar Prasad. He will need to work closely with the PMO and the service providers for realizing the Digital India vision. Apart from his own no-nonsense personality, he will perhaps rely heavily on the experience and expertise of PM's principal secretary, Nripendra Misra, ex-Secretary, DoT and ex-Chairman, TRAI, and JS Deepak, Secretary, DoT.
While the minister is confident that the spectrum auctions, scheduled in September 2016, shall raise at least Rs.5.66 lakh crore, the financial analysts have expressed reservations. They suggest that auction targets are likely to be missed by a wide margin, and that a lot of spectrum could remain unsold. And the total auction revenue could amount to as low as Rs.75,000 crore.
Further consolidation among service providers seems imminent. Already, Videocon has exited this segment, Aircel has sold its BWA spectrum to Bharti Airtel and merged with RCom, Sistema Shyam has merged with RCom, and RJio and RCom have a sharing deal going. With business demanding continued investment, the analysts could just be proved right.
With Reliance Communications winding up its CDMA business, the exit of CDMA services from India is confirmed. All the CDMA subscribers with Sistema Shyam TeleServices Ltd., Tata Teleservices, BSNL, MTNL, and Quadrant Televentures included - numbering 47 million, a 4.6 percent market share in Q3 FY16 - shall be migrating to GSM/4G services now. This is in line with the global trend where the CDMA-based operators of Canada, United States, Japan, South Korea, Russia, and Indonesia planned the migration of CDMA subscribers in 2012, and most of them phased out their CDMA operations over a period of 6 months or more. Adieu CDMA!
The Indian enterprise network vendors are rapidly transitioning their capabilities and delivery to the cloud. This is forcing even reluctant organizations closer to cloud adoption. The consensus is that cloud is the way to go, and the industry is systematically reorganizing itself to reflect the business realities of cloud computing.