Vodafone to launch 4G services in five circles

Vodafone India announced its plan to roll out fourth generation (4G) services in select cities during the second half of this year.

"We are conducting 4G trials and plan to roll out the 4G services in a few towns later this year," said managing director and chief executive officer Sunil Sood.

The company won 5 MHz spectrum in the 1,800 MHz band in five circles-Delhi, Mumbai, Kolkata, Karnataka and Kerala-where 4G services will be rolled.

The company will also expand its services in the North East. Sood also said that Vodafone is completely for Net Neutrality.

"We are pro-Net Neutrality and would like to see the same rule for the same services. There is a need to create a level playing field," he said. At the same time he said, "Let the government decide the rules of the game but we are open to a healthy debate on the issue."

Announcing the financial performance of the company for FY15, Sood said, "We have witnessed a year-on-year growth of 12.6 per cent in our service revenue at Rs 42,352 crore (against Rs 37,777 crore in FY14) and the company added about 17.2 million subscribers."

Operating profit stood at Rs 12,605 crore, which represents a growth of 16.2 per cent over the previous year. Vodafone has made a fresh capital infusion of Rs 6,000 crore in March to fuel its expansion plans.

It expanded its 3G services from nine to 16 circles during financial year 2014-15. "The company's customer base stands at around 184 million and the average revenue per user at Rs200 in the fourth quarter of 2014-15," Vodafone chief financial officer Thomas Reisten said.

The company made a capital expenditure of Rs 8,598 crore mainly on new site roll out in the last fiscal, he added. The net debt for the company stands at Rs 47,807 crore as of March.

Jabong has no plans to switch to 'app only' platform, says MD Praveen Sinha

Fashion and lifestyle e-commerce company Jabong has decided to buck the trend by not joining other e-tailers, especially its arch-rival Myntra, in switching to a 'app only' platform.

Jabong co-founder and managing director Praveen Sinhatold Ajay Shukla in the national capital on Tuesday, "Today is not the time to make any such move. The main aim of online retail is to provide choice to customers." Any such move would amount to killing the customer base, he further said.

"Industry estimates show that there is still about 50 per cent of the demand originating online. So, we would not consider any such move in the next two years," Sinha added.

"If app-based orders are 90 per cent or more, only then Jabong can change its mind", he further added.

The announcement assumes significance as Myntra announced on Tuesday its shift to become only an app-based store from May 15.

Myntra chief executive officer (CEO) and head of commerce atFlipkart Mukesh Bansal told reporters in Bangalore, "... we have decided that effective May 15, Myntra services will only be available through app on all smart phones."

Sinha and another Jabong co-founder Arun Chandra Mohan also announced $2-million investment as individuals in on-demand laundry service provider Wassup.

The Chennai-based start-up offers services in Bangalore, Delhi and Chennai in a managed marketplace model and will add Pune and Cochin in coming months.

"The intent is to be present in about 100 cities in next three years. We will also add personal care, home care, car care, pet care and handyman services to the portfolio through our technology platform in the near future," Wassup co-founder and CEO Balachandar R said.

The company plans to rake in another $10-$15 million in next 8-12 months as it expands its services across major cities in the country.

"We are looking to service the daily laundry requirements of middle class consumers. About 95 per cent of the market is still unorganised and there is a huge potential to move that to organised online route," Balachandar said.