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We have no intention to hive off or sell our CDMA business – RCOM’s Gurdeep Singh

Reliance Communications (RCOM) has no intent to hive off or sell its CDMA business, the company CEO (Consumer Business) Gurdeep Singh disclosed during its earnings conference call for the quarter ended March 31, 2014 (Q4-FY14). This was in response to an analyst question on media reports of the telco looking to sell off its CDMA business to reduce debt. Elaborating on this, Singh mentioned that they had chalked out a strategy to dominate data in their dual technology markets about 14 months ago. They currently have a fair share in the markets where it has rolled out CDMA as a data technology. He also pointed out that the emergence of universal chipsets and universal devices which support both CDMA and GSM, is helping them grow the availability and bring those devices to consumers. Singh added that the CDMA data part of the business has always been growing and will continue to grow with more Rev B oriented devices come in. Their biggest worry in the past was the decline in the CDMA voice revenues, which they were able to hold it in the month of March and they are optimistic of it contributing to the telco's revenue growth in the future. He also pointed out that RCOM is currently the only pan-India CDMA operator. Remember that Tata Teleservices had surrendered 20MHz CDMA spectrum in December 2013 while Sistema which operates its telecom services in India as MTS India has CDMA spectrum only in eight circles right now. "We have 26 CDMA phones today which are the same products as its GSM variants, which…

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