Airtel, not a competitor-Dialog

India’s largest cellular player Bharti entry into that country as a threat to its number one position.

The Company, which has more than 62 per cent share in the Sri Lankan market, said that Bharti’s strategy to break into the market with low tariffs will not have much impact.

Speaking to Business Line, General Manager, Sales and Marketing, Dialog Telekom, Nushad Perera, said, “We welcome competition in our country because that will expand the market. We do not feel threatened or worried by the entry of Airtel. Of course, they are very big players in India but we are big players in Sri Lanka. Our network covers almost 90 per cent of the geographical area and consumers here prefer quality over cheaper services.”

Perera said that Dialog was not worried if Bharti Airtel decides to drop tariffs or bring in an ‘incoming free’ regime. The average charge per minute is around Rs 2.50 and mobile users also have to pay for incoming calls.

In contrast, Bharti is offering incoming for free and an average tariff of Rs 1 per minute in India though Dialog officials said that the cost of offering services in the two countries varies.

“Any new operator will try to drop tariffs as an entry strategy, but we already have operators here who are offering much cheaper tariffs than Dialog but consumers have preferred to stay with us. So Bharti will have a tough time breaking into this market,” said Perera.

Courtesy Moneycontrol.com