The Great Telecom Circus

The Great Telecom Circus Government of India is thinking for pan India license and also discussing the possibilities for companies who dont want to pursue mobile operations to surrender their license. This will lead to a potential mobile call rates escalation all over the country. Currently there are over 15 operators in some of the circles. Considering this move of Government, it will result in few bigger operators and will wipe out the smaller companies which currently have operations in some of the 22 circles of our great country. So who will be benefitting from this situation.Obviously Government. Lets see how. If the existing smaller telecom companies merge with the bigger companies, there will be tax benefits to Government. If they return the license to Government, Government will have additional spectrum which Government can sell at market rates given the hue and cry concerning the 2G scam. Also license fee is given by the companies. As competition will reduce, so the call rates in existing markets will go up. So is this the end of Great Indian Telecom circus.

A single key is a key to success

When we were kids we often heard this proverb "Too many cooks spoil the broth". Here in India, we are experiencing the same situation. UPA is cooking broth (schemes) and adding many c(r)ooks (ministers) to make it. And they always spill it the wrong way. 2G scam, CWG scam and latest one Antrix scam and many other in making. God knows when they will stop. Lets see if Anna Saheb can make some changes.

There is no doubt that Manmohan Singh (MMS) is a honest minister, but a weak leader. He cannot take decision single handedly. He has to consult madamji (Soniaji) for every decision. And if she is away or anything, the decision gets delayed without any reason. But other ministers of his ministry are very fast in taking decision without even consulting him or madamji. The good example of them are A. Raja and S. Kalmadi. When so many people are involved, you always have to compromise on the work you want to do. Thats the reason I don't like multi party governments. A single person can make you change the decision in his favor.

I think the same fate our PSUs are suffering. They cannot take decision effectively. They are at the mercy of the respective ministers. Take the example of Air India. The ministry of civil aviation takes every decision on behalf of NACIL - the company behind Air India. And later these decision are shoved up NACIL's neck. Any decision regarding Air India takes months sometimes years to come. Till then, the problem has become much huge and large amount of money may be required to again solve it. As in the case of civil aviation, good lucrative routes were offered to other airlines and obligatory but less profitable routes were given to Air India. May be they should take some lessons from Idris Jala of Air Malaysia.

Same case can be observed in BSNL and MTNL. Their problems are further aggravated by the unions. Multiple unions are present in these PSU's. All these combined have multiple goals but not single objective of keeping the company profitable. This is because they are sure that whether the company is working or not, they will get their salary. Its like you drive the car, and if there is a problem, you will get another car and not liable for the damages you have done to the car.

Whats your view on this.
Idris Jala video follows