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Uninor to continue focus on 2G data services – Telenor CEO Jon Frederik Baksaas

Uninor will continue focusing on providing 2G data services rather than looking at more advanced data services like 3G & 4G services in the country under the prevailing spectrum situation, Telenor CEO Jon Frederik Baksaas disclosed during the company’s earnings conference call for the quarter ended September 30, 2014. This was in response to an analyst question on whether Uninor would require additional CapEx to deploy more advanced data services since it has witnessed significant growth in data usage in the country. Uninor had mentioned that 18% of its connections are active Internet connections for Q3 2014, while Telenor had earlier reported a 42% increase in its Internet revenues for the six months ended June 30, 2014. Baksaas said they are currently investing only on growing the footprint of its existing network with existing technologies and they don't expect new investments at existing spectrum with the existing edge services. That being said, he noted that "in the upcoming auction next year, TRAI is now coming up with new suggestions and proposals also to include new spectrum amounts and we clearly will start where it will come." Note that Uninor focuses only on providing basic services in voice, SMS and basic Internet in the country and offer aggressive plans in these services. In November last year, Baksaas had mentioned that the 3G handset ecosystem in India is still not at the level where the market could suffice on 3G service and at this stage, 2G service is more than sufficient in the country. However, it's worth noting that…

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