Rcom is planning to shut major parts of its wireless business in a month´s time. However, the company will continue to operate 3G and 4G services till the time they remain profitable, industry sources said.
"We stand at a situation where we need to call it a day on our wireless business and this would bring the curtains down on our wireless business 30 days from now," RCom executive director Gurdeep Singh said at a company-wide town hall on Tuesday.
The company will continue to operate ILD voice, consumer voice and 4G dongle post paid services and mobile tower business till the time they remain profitable and all the other business will be shut down, he has said.
As per the data, Rcom has 75 million userbase and nearly 40 million people are using 2G services. In a recent announcement, 1000-1200 people have been asked to resign by November 30, 2017. The company is plagued by debt of nearly Rs 47,000 crore. The decision to shut the 2G network comes from the failure of RCom's merger deal with Aircel earlier this month. This merger was expected to lower the debt.
On Sunday, RCom announced the agreement had lapsed owing to legal and regulatory uncertainties, objections by interested parties and delays in receiving relevant approvals.