Nortel Still Keen on India

Despite losing nearly 100s of millions of dollars on a wireless contract with Indian wireless carrier BSNL, Nortel is apparently still digging around for contracts in India. According to CIOL, the company is in discussions with major wireless carriers about helping them reach customers in rural areas. This is a major mandate for the Ministry of Telecommunications, which wants 500 million wireless subscribers by 2010. Sanjay Jotshi, vice president (marketing), Nortel India told CyberMedia News “we are already in talks with the major telecos on the rural connectivity, but we are not in a position to reveal the name of the companies. It is a major market for the operators as it is a unraveled market.” While the Indian market is seeing strong growth, it’s a bit of a minefield for equipment suppliers – as Nortel painfully learned – because margins are razor-thin and costs can be variable. At the same time, there’s plenty of competition, including low-cost suppliers such as Huawei. Given Nortel’s track record in India, it would be wise to proceed with caution.

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2 Responses to “Nortel Still Keen on India”

  1. Pessimist Says:

    Oh no, not back to this getting cell phones in all goat herders hands agian…

    Nortel set the specs against Huawei requiring 10 years international experiebce to win BSNL trading exporting jobs on an order that cost them what rivals their fraud bonuses.

    No wonder they never make money. when they run out, they simply print more.

    Ironic Huawei would even want to partner given this past rivalry let alone anyone else wanting anything to so with them.

    Huawei like Cisco, Motorola, and others, are holding their own. It is Nortel that make themselves look llike they are on their way to insovency with revisions/fraud/no merger/outlook/fines/SAP software/assetless/etc…

  2. reply Says:

    The bsnl loss is more than $300 mill
    How much more?
    Wait and see.

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