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Vodafone Idea to shut its 3G in FY22, as it aims to become 4G-focussed telecom operator

Vodafone Idea to shut its 3G in FY22, as it aims to become 4G-focussed telecom operator

Vodafone Idea (Vi) is all-set to shut its 3G services by FY22 as the firm is focusing more towards becoming 4G telco in a bid to boost revenue. The firm has stated that it would keep its 2G services running for years given that it has a large segment of basic phone subscribers. Vi’s network is also 5G ready but the ecosystem needs enough user case studies, spectrum in the 3500 Mhz band and handsets that can accommodate the next generation services, for it to be truly launched in India.

"The direction which we are taking is that 3G is not required anymore. It has been continued, only because some people have devices which can be used only on 3G and not on 4G," Chief Financial Officer Akshaya Moondra of Vodafone Idea stated. The telco still has around 11 million 3G users.

The telco's senior management, at its quarterly earnings allayed concerns around delays in its Rs25,000-crore fund raising plans, saying it will close soon given the keen interest shown by potential investors. The telecom service provider added that to improve its financial position, the telco would need to increase tariffs would immediately.


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