Our telecom operator earnings coverage is brought to you by OnMobile Global, India’s leading Mobile Value Added Services [VAS] company GSM plus data revenues now contributes 71% of Reliance Communication's (RCOM) telecom revenues, up from 65.4% a year ago, the company CEO (Wireless) Gurdeep Singh disclosed during its earnings conference call for the quarter ended December 31, 2013 (Q3-FY14). When an analyst questioned as to why the non-voice revenue contribution has remained stagnant for the past 3-4 quarters despite a sharp increase in data traffic, Singh mentions this was due to two reasons - firstly, the decline in its VAS contribution due to TRAI regulations and secondly, its 3G tariff were reduced to 2G rates last year due to which there was an initial dip in revenues. However, the company has apparently crossed that stage now and hopes to see better traction in the future.…
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