Reliance Communications has for long been rumored to separate its CDMA and GSM business operations, and today the Times of India reports that the company is indeed restructuring the operator service division to separate the CDMA from GSM business. Reportedly, the company has appointed Nilanjan Mukherjee, the current chief marketing officer, to head the CDMA business, and Ramesh Menon, ex-zonal head in Bharti Airtel, as the GSM head. Also Read - BSNL loss widens to Rs 7,992 cr in 2017-18
CDMA is better known for efficiency in data than voice, which is why RCom has decided to make a different strategy for this segment. The segmentation of the two technologies will also help the company in working on new strategies and plans as well as new employees.that will be focused on specific telecom-circles and regions. “One year ago we decided the organisation will be spectrum-led, and to move away from the one-size-fits-all (model),” sources have told the publication. The company has also hired people for new teams to work on these separately.
Another reason for splitting the two operations is it would allow RCom to sell the CDMA business while most of its new subscriber additions is happening on the GSM network and use those funds to pay off a part of its debt.