Notwithstanding cancellation of its 21 licences by Supreme Court, CDMA mobile service provider MTS India is expanding its business and now looking to partner with software and application vendors to develop an application store for its subscribers.
“Everyone is launching phones but no one is creating awareness on the use of internet on phone. We want to work on the eco-system around smartphones and provide applications specifically to be used by MTS customers,” Chief Operating Officer Shankar Bali for Delhi NCR and Haryana Circle at MTS India told PTI.
Sistema Shyam TeleServices Limited (SSTL) nationally operates its telecom services under the MTS brand.
Bali said that MTS India will partner with application service provider to develop applications for its customers.
MTS recently announced its partnership with software application provider 4Moles for a golf tournament.
SSTL is a venture involving equity participation by Sistema of Russia, the Russian Federation and the Shyam Group of India. Sistema holds 56.68 per cent stake, Russian Federation holds 17.14 per cent stake and Shyam Telelink has around 24 per cent stake in the company.
Last week, SSTL held an Extraordinary General Meeting (EGM) which passed resolution to double its its authorised capital from Rs 6,000 crore to Rs 12,000 crore (approximately $ 2.36 billion) by issuing Non-Convertible Redeemable Preference Shares to the extent of Rs 6,000 crore.
Its licences figure among the 122 2G licences cancelled by the Supreme Court in February. SSTL had, however, expressed its intention to stay in the country and bid for spectrum in the auction, to be held by the government, as directed by the apex court.
Even after Supreme Court’s order, SSTL added 2,32,557 customers in the month of February 2012, taking its total customer base to 15.43 million.
The parent company Sistema JSFC has sent a formal notice to Indian Government notifying it of a dispute under the Bilateral Investment Treaty (BIT) between the Russian Federation and India arising from the decision of the Supreme Court of India issued on February 2, 2012 regarding the cancellation of 122 telecom licences.
The Indian government is learnt to have responded to the notice assuring the firm that it will take all possible steps to protect foreign investments in the country.