To tap the world’s fastest growing mobile market, Virgin Mobile, the UK-based mobile virtual network operator (MVNO), Sunday, has partnered Tata Teleservices to launch new services in India.
Virgin will not be a mobile virtual network operator (MVNO) as the status is not allowed in the country. However, the company plans to extend its brand name in India.
Addressing media, Richard Branson, chairman, Virgin Group, said: “India looks very promising as the market here is six times the size of the UK’s population.”
Announcing the expansion plans, Branson said, “Initially, we will launch Virgin Mobile handset services through Tata Teleservices Ltd in 50 cities, and will try to expand to more than 1,000 cities by December.”
Ratan Tata, chairman, Tata Group, in an issued statement said, “As part of an initiative to bring freshness and innovation to young subscribers in India, we decided to be the franchisee of Virgin Mobile.”
Tata, with the launch of Nano and Tata Indicom, the economy mobile service, has acquired a people’s or a mass brand image. But, it seems, with this agreement with Virgin, the company is trying to penetrate the niche customer market as well.