Telecom service provider Datacom Solutions today signed a $400 million tower-sharing agreement with Aircel for getting access to the latter's telecom tower.
As per the agreement, Datacom will share a minimum of 5,000 towers across Aircel's footprint, over a span of 16 months, a joint statement from Aircel and Datacom said.
Datacom, a unit of business conglomerate Videocon, has got Unified Access Services Licence (UASL) for 19 circles. However, it is yet to start operations.
The deal would help Datacom, which is one of the players who got licence last year, to reduce cost, it added.
Aircel, which currently owns about 15,000 towers, would in turn create value by increasing tenancy and reducing cost.
VN Dhoot, CMD, Videocon Group, said, "Access to Aircel's towers will help meet our aggressive rollout targets. We are also rolling out our own towers and for those would like to have operators like Aircel as tenants on the same."
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This marks another major tower sharing deal by new telecom players. Earlier, Etisalat DB, which has acquired a 45 per cent stake in new telecom player, Swan Telecom, has signed a 10-year tower sharing deal with the hived infrastructure arm of Reliance Communications.
Norway's Telenor, which has a stake in Unitech Wireless, had signed a infrastructure sharing deal with the Tata-Quippo combined tower company this year.