अटल जी ना होते तो Telecom Sector...☎️👴

Описание: #adigitalblogger #telecom #atalbiharivajpayee
How a tech illiterate revolutionized telecom sector in India?
When Atal ji Became India’s PM for the third time in 1999, TIME magazine called him a “computer illiterate”.

But this computer illiterate is the reason why we have such smartphone penetration in India, why Telecom sector today stands at 9 Lakh Crore of Market Cap.

How?

Up until 1999, Telcom compaines were paying Rs 6,023 per subscriber license fee per year to the Government. Since the costs of services were high, the customers were charged high rates, for example, only incoming more than 16 rupees per minute on cell phones.

This resulted in less number of cell connections compared to Landline, as this was too costly for major population to afford. In 1999, some 22 cellular operators reported combined losses of Rs 7,700 crore.

Atal ji understood this issue and therefore his government introduced the New Telecom Policy 1999. According to this, telcos would be charged one-time entry fee in addition to revenue sharing - about 15 per cent of their annual revenues.

The revenue sharing model gave a huge fillip to telecom companies to invest in infrastructure. With lower revenues to share with the government, the telcos were able to lower tariffs which, in turn, led to higher consumption of telecom services.

And by the time, Vajpayee left the Prime Minister's Office in 2004, the number of mobile phone connections had surpassed that of landline ones. And from 1999, the 1 crore connections doubled every year for next 6 years.