Aircel To Stop Service in 6 Circles; Rest Circles May Face The Brunt

Aircel has announced to stop its services in 6 telecom circles out of total 22 from January 31 citing issues in running the business and regulatory issues.  The operator has informed the same to TRAI and requested the regulator to allow its customers who had joined the operator in last 90 days to  port out to other networks or operators.

At present government rules does not allow a customer from one operator to port to another operator if the customer has not spent at least 90 days with the old operator.

The six circles where the services will be stopped are Gujarat, Himachal Pradesh, Haryana, Madhya Pradesh, Maharashtra and Uttar Pradesh West. Aircel has more than 4 million customers, both prepaid and post paid, in these 6 circles.

The company, in its letter dated 1 December 2017, has informed TRAI that it is becoming difficult for the operator to continue operations in these circles on account of  ‘constant licensing and regulator changes in last 7-8 years and hyper competition in the Indian telecom industry’. Aircel has said running the business seems economically unviable and it is ‘constrained’ to surrender the licenses.

While the company is planning to focus on the rest 16 circles, it is highly likely that customers in these circles would loose faith in the operator and would prefer to move out to other operators. Customers do have a fresh example in RCom where they have face lots of trouble porting to other operators when the Anil Ambani-led firm announced the closure of its services.

Customers of Aircel in the other 16 circles are expected to move out other operators after this development.

However, TRAI has allowed its customers in the soon-to-be-closed circles to port out even if they are with Aircel for less than 90 days. At the same time the regulator has also asked other operators to entertain these type of porting requests.

Leave a Reply

%d bloggers like this: