Saving the telecom sector

Govt should prevent a near-monopolistic situation

The telecom industry is under severe stress — evident in the second quarter results of the two leading players. While Vodafone Idea has posted the biggest loss that corporate India has ever seen in a quarter, for Bharti Airtel the loss was the highest in its 24-year history. Together, the two top telcos’ July-September quarter net loss ballooned to Rs 74,000 crore due to the provisioning they had to make for the adjusted gross revenue (AGR) dues. According to a recent Supreme Court judgment upholding the government definition of AGR, telecom service providers must pay up their past dues on