In a bid to enhance its revenue scale after being affected by the COVID-19 pandemic, the recently merged telecom giants- Vodafone and Idea, together known as Vi, are heavily investing in the internet of things (IoT), cloud, fixed-line broadband, and managed security solutions.
In a statement, Mr. Abhijit Kishore, Chief Enterprise Business Officer at Vodafone Idea Ltd., said that the company aims at strengthening its business by tapping on small and medium enterprises (SMEs) which constitutes a major part of the enterprise’s market.
However, details regarding the plans to sign up new SMEs for products like IoT, software as a service, managed security solutions, and fixed-line data have not been disclosed by Vi.
For the record, the plan comprises of its recent alliance with education technology companies like Udemy, upGrad, and Pedagogy. Vodafone Idea has also partnered with health and wellness brands like Cure.fit, Mfine, and 1mg. For business-related assistance, Vi has joined hands with Hubbler, Eunimart, and Fiskl.
Speaking along similar lines, the telecom giant is planning to onboard more partners to extend exclusive services to its customers. Additionally, the enterprise business could help the cash-strapped company, which owes thousands of crores as fees to the government, increase additional revenues to meet the loss in its subscriber base.
As per reliable sources, in October 2020, Vodafone Idea lost nearly 2.7 million customers, while its contemporaries Reliance Jio Infocomm Ltd. and Bharti Airtel continued to gain market share.
According to statistics, Vodafone- Idea Ltd. could lose approximately 50 to 70 million subscribers across India in the next year. In the last nine quarters, the company lost close to 155 million users.
Reportedly, the company is slated to raise INR 25,000 crore, in equity and debt. However, this may not help the company regain its competitive position as the amount will be insufficient for their capital requirements.
Analysts claim that the above-mentioned amount will help the company sustain its operations for a maximum period of two years. Notably, Vodafone Idea has so far paid off INR 7,854 crores in adjusted gross revenue dues, although it still owes the Department of Telecommunications, Government of India, a total sum of more than INR 50,000 crores.