Tata Docomo
{{short description|Indian telecommunications company}}
{{Use dmy dates|date=August 2015}}
{{use Indian English|date=July 2015}}
{{Infobox company
| name = TATA DOCOMO
| logo = Tata_Docomo_Logo.png
| logo_size = 250px
| former_name = Tata Docomo
| type = Subsidiary
| industry = Telecommunications
| foundation = {{Start date and age|df=y|2008|11}}
| defunct = {{End date and age|df=y|2019|07|01}}
| fate = Acquired by Bharti Airtel
| location = Mumbai, Maharashtra, India
| owner =
| members = 20.04 million (March 2018){{cite web|url=https://main.trai.gov.in/sites/default/files/PRNo05Eng18012019_0.pdf|title=Press Release on Telecom Subscription Data as on 12 February, 2018|date=17 March 2018|website=Telecom Regulatory Authority of India|access-date=21 March 2018}}
| parent = Bharti Airtel
| area_served = India
| products = {{ubl|Mobile telephony|Wireless Internet|Internet services}}
}}
Tata Docomo was an Indian mobile network operator, a wholly owned subsidiary of Tata Teleservices deriving its name from NTT Docomo who invested in the company in 2008. In October 2017, Bharti Airtel announced a merger deal with Tata Teleservices and the acquisition of Tata Docomo.{{cite web | url=https://www.business-standard.com/article/companies/bharti-airtel-completes-merger-of-tata-tele-s-consumer-mobile-businesses-119070101217_1.html |title= Airtel acquired Tata Mobile Business |publisher= Business Standard |date=1 July 2019 |access-date=3 July 2019 }} As of 7 July 2019, all Tata Docomo users were migrated to Bharti Airtel and hence became Airtel users.
The consumer mobile businesses of Tata Docomo, Tata Teleservices (TTSL) and Tata Teleservices Maharashtra Limited (TTML) have been merged into Bharti Airtel from 1 July 2019.{{cite web | url=https://www.livemint.com/industry/telecom/airtel-completes-merger-of-tata-teleservices-consumer-mobile-business-1562001016569.html |title= Airtel Completes Merger of Tata |publisher= Livemint |date=1 July 2019 |access-date=4 July 2019 }}{{cite web | url=https://www.thehindubusinessline.com/info-tech/airtel-tata-tele-merger-completed/article28251509.ece |title= Airtel's Tata merger deal |publisher= Business Line |date=1 July 2019 |access-date=3 July 2019 }}{{cite web | url=https://economictimes.indiatimes.com/industry/telecom/telecom-news/tata-teleservices-merger-dot-seeks-rs-7200-crore-bank-guarantee-from-airtel/articleshow/68833052.cms |title= DoT approved deal of Tata and Bharti Airtel |publisher= Economic Times |date=11 April 2019 |access-date= 5 May 2019 }}
History
{{Further|Tata Group}}
Tata Docomo was part of the Indian conglomerate Tata Group. The company received the licence to operate GSM services in nineteen telecom circles and was allotted spectrum in eighteen of these circles and launched GSM services on 24 June 2009. It began operations first in South India and had operated GSM services in eighteen of twenty-two telecom circles. It had licences to operate in Delhi but had not been allocated spectrum from the Government.{{cite web|url=http://www.askbiography.com/bio/Tata_DoCoMo.html/about-www.askbiography.com/bio/Tata_DoCoMo.html.aspx |title=About Tata DOCOMO | 3G Mobiles in India | 3G Network |publisher=Askbiography.com |access-date=2012-06-28}} Docomo provided services throughout India. Tata Docomo offered both prepaid and postpaid Mobile Phone services. It became very popular with its one-second pulse, especially in semi-urban and rural areas.
In November 2008, NTT Docomo invested {{INRConvert|12740|c|year=2009}} in Tata Teleservices, at {{INRConvert|117|year=2009}} a share for a 26.5% stake in the latter.{{Cite news|url=http://timesofindia.indiatimes.com/business/india-business/tatas-agree-to-pay-1-18-bn-to-ntt-docomo-for-exit/articleshow/57394121.cms|title=Tatas agree to pay $1.18 bn to NTT DoCoMo for exit|date=2 February 2017|work=The Times of India|access-date=10 September 2017}}{{Cite news|url=http://www.business-standard.com/article/companies/tata-offers-to-buy-out-docomo-at-rs-23-3-a-share-115071900208_1.html|title=Tata offers to buy out Docomo at Rs 23.3 a share|last=Chatterjee|first=Dev|date=2015-07-20|work=Business Standard India|access-date=2017-09-10}} Docomo, TTSL and Tata Sons had in March 2009 signed shareholder agreement for the business alliance. In March 2009, Docomo acquired 27.31% of Tata Teleservices for Rs 12,924 crore and 20.25% in Tata Teleservices (Maharashtra) Ltd, the listed arm of TTSL, for {{INR}}949 crore. Overall, Docomo held 26.5% in Tata Teleservices.{{Cite news|url=http://www.firstpost.com/business/docomos-india-exit-gets-painful-tatas-offer-just-rs-23-34-share-tata-tele-stake-2351276.html|title=DoCoMo's India exit gets more painful after Tatas offer just Rs 23.34 a share for Tata Tele stake|date=2015-07-20|work=Firstpost|access-date=2017-09-10|language=en-US}}
On 5 November 2010, Tata Docomo became the first private sector telecom company to launch 3G services in India. Tata Docomo had about 49 million users at the end of March 2017.
In April 2011, Tata Docomo signed Bollywood actor Ranbir Kapoor as its brand ambassador on a three-year contract.{{cite news| url=http://articles.economictimes.indiatimes.com/2011-04-07/news/29392642_1_tata-docomo-tata-docomo-brand-ambassador | archive-url=https://web.archive.org/web/20131231000009/http://articles.economictimes.indiatimes.com/2011-04-07/news/29392642_1_tata-docomo-tata-docomo-brand-ambassador | url-status=dead | archive-date=31 December 2013 | work=The Times Of India | title=Tata DOCOMO ropes in Ranbir Kapoor as brand ambassador | date=2011-04-07}} For the southern states of Tamil Nadu and Andhra Pradesh, actors Vijay and Ram Charan were the brand ambassadors respectively.
In October 2017, Bharti Airtel announced its acquisition of Tata Docomo having roughly 17 million subscribers.{{cite news|title=Bharti Airtel acquires Tata's mobile arm|url=http://www.thehindu.com/business/Industry/bharti-airtel-to-acquire-tatas-consumer-mobile-business/article19846171.ece|access-date=23 April 2018|work=The Hindu|date=12 October 2017}}
=Rebranding & Reformation=
On 20 October 2011, the Tata Group brought its brands – Indicom (CDMA), Walky (Fixed Wireless Phone), and Photon INTERNET – under the Tata Docomo brand. All subscribers to these services were transited to Tata Docomo's network on 20 October 2011. In 2015, Virgin Mobile India also merged with Tata Docomo. T24 Mobile merged with Tata Docomo on 15 August 2018.{{cite web|url=http://telecomtalk.info/tata-tele-data-products-get-new-identity-with-docomo-brand/80157/|title=Tata Tele Data Products Get New Identity With Docomo Brand|date=19 October 2011}} All operations across India of said companies had merged into Tata Docomo's entity to form the second largest CDMA and GSM network in India.
=NTT Docomo Exit=
According to the agreement between the Tata Group and NTT Docomo, the latter had the right to sell its stake if Tata Docomo missed performance targets, with Tata getting the right of the first refusal.{{cite web|url=https://www.forbes.com/sites/realspin/2016/11/14/with-docomo-tata-dispute-raging-india-discourages-foreign-investment/#5ff7cb946b03|title=With DoCoMo-Tata Dispute Raging, India Discourages Foreign Investment|work=Forbes|access-date=14 November 2016}} On 25 April 2014, NTT Docomo had announced that they would sell all of their shares in Tata Docomo and exit the Indian telecom industry as they had incurred a total loss of $1.3 billion. Under the joint venture agreement between the two groups, NTT Docomo would either increase its stake from 26.5% to 51% or sell all of its shares, depending on the performance of Tata Docomo in the Indian market.{{cite news|url=http://timesofindia.indiatimes.com/business/india-business/DoCoMo-to-exit-India-at-1-3-billion-loss/articleshow/34218148.cms |title=DoCoMo to exit India at $1.3 billion loss |date=26 April 2014 |work=The Times of India |author=Reeba Zachariah}}
Since Tata was unable to find a buyer for the shares, they sought the approval of the RBI, in November 2014, to buy back the shares from NTT Docomo for $1.1 billion (at {{INR}}58.045 per share), half the price paid by them in 2009. The RBI had approved the deal in January 2015, but reversed their decision and rejected the deal in March 2015, citing FEMA regulations.{{cite news|url=http://economictimes.indiatimes.com/industry/telecom/rbi-rejects-tata-offer-for-docomos-teleservices-stake/articleshow/46679352.cms |title=RBI rejects Tata offer for DoCoMo's Teleservices stake |date=25 March 2015 |work=The Economic Times |author=ET Bureau}} Following the RBI decision, the Tata Group offered to purchase Docomo's stake at {{INR}}23.34 a share on the basis of a fair market value determined on 30 June 2014 by PwC. NTT Docomo then moved the London Court of International Arbitration seeking a valuation of {{INR}}58 a share.{{cite news|url=http://www.business-standard.com/article/companies/docomo-plans-foreclosure-action-against-tata-sons-115010500582_1.html |title=Docomo plans foreclosure action against Tata Sons |date=6 January 2015 |work=Business Standard |author=Dev Chatterjee}}
On 28 February 2017, Tata and NTT Docomo resolved their dispute, after the former announced that it would pay the latter US$1.18 billion in exchange for NTT Docomo's shares in the joint venture.{{cite web|last1=Bureau|first1=Our|title=Tata Sons-NTT DoCoMo bury hatchet|url=http://www.thehindubusinessline.com/info-tech/tata-sonsntt-docomo-bury-hatchet/article9563555.ece|website=The Hindu Business Line|access-date=28 February 2017|language=en|date=28 February 2017}} On 31 October, $1.27 billion was paid to NTT Docomo by Tata Sons, thus ending the dispute.{{cite web|url=http://www.livemint.com/Industry/OEfLrYc0PPUT5i3oOBN1ZL/NTT-Docomo-gets-12-billion-payment-from-Tata-Sons-dispute.html|title=Tata-Docomo dispute settled as Tata Sons pays $1.27 bn arbitration award|first=Shally Seth|last=Mohile|date=31 October 2017}}
=Acquisition by Bharti Airtel=
On 12 October 2017, Bharti Airtel proposed a deal for the acquisition of Tata Group's Telecommunications including, Tata Teleservices and Tata Docomo. Tata Group made a deal with Airtel, to sell its assets in a debt-cash-free deal which will only include TTSL's spectrum liability.{{cite web|url=http://economictimes.indiatimes.com/news/company/corporate-trends/tata-teleservices-to-sell-its-wireless-mobile-business-to-bharti-airtel/articleshow/61051618.cms|title=Tata Teleservices to sell its wireless mobile business to Bharti Airtel|first1=Arijit|last1=Barman|first2=Romit|last2=Guha|date=13 October 2017|via=The Economic Times}}
The Competition Commission of India (CCI) and the Department of Telecom (DoT) gave approval for Airtel to proceed with the deal.
Network
=3G=
On 19 May 2010, the 3G spectrum auction in India ended. Tata Teleservices paid {{INR}}5,864.29 crores for spectrum in 10 circles. These circles obtained 3G licences and they are Madhya Pradesh & Chhattisgarh, Gujarat, Haryana, Karnataka, Kerala, Maharashtra & Goa, Punjab, and Uttar Pradesh (West).{{cite web|url=https://www.medianama.com/2010/05/223-3g-auction-india-ends-provisional-winners/|title=India's 3G Auction Ends; Operator And Circle-Wise Results|date=19 May 2010}}{{cite web|url=http://www.lightreading.com/document.asp?doc_id=202824&f_src=lightreading_gnews |title=Light Reading India – IP & Convergence – ,Aircel Join Forces for 3G – Telecom News Analysis |publisher=Lightreading.com |date=9 January 2011 |access-date=2014-09-09 |archive-url=https://web.archive.org/web/20110816001247/http://www.lightreading.in/document.asp?doc_id=202824 |archive-date=16 August 2011}}{{cite web|url=http://telecomtalk.info/tata-docomo-and-aircel-terminate-3g-roaming-deal/84018/#more-84018 |title=Tata Docomo and Aircel Terminate 3G Roaming Deal |publisher=Telecomtalk.info |date=2011-12-14 |access-date=2012-06-28}}{{cite web|title=Docomo Launches Facility for users to add unused 2g/3g Data|url=http://www.wapmasterszone.com/2014/12/tata-docomo-carry-forward.html|website=www.wapmasterszone.com|publisher=WapmasterZone|access-date=2 February 2015}}
References
{{reflist}}
{{Bharti Enterprises}}
{{Tata Group|state=collapsed}}
{{Telecommunication companies of India|state=collapsed}}
Category:Telecommunications companies of India
Category:Mobile phone companies of India
Category:Mass media companies based in Delhi
Category:Companies based in New Delhi
Category:Indian companies established in 2008
Category:Mass media companies established in 2008
Category:Telecommunications companies established in 2008