The Reliance group has changed its strategy for international long distance (ILD) telephony and plans to buy only the bandwidth of the bankrupt US cable company, FLAG Telecom Holdings, rather than acquiring it, according to group officials.
Flag has been in talks with Reliance for the past several months on the issue but, according to sources, Reliance is not too keen on acquiring the entire company with its attendant problems.
The US company has about 10Gbps of international bandwidth coming into the country.
By acquiring a majority bandwidth, Reliance would become a major player in ILD, which was officially opened to competition on April 1, 2002.
Sources said,
