Jan. 20: In a move that will give more choice to cellphone customers, the Prime Minister, Dr Manmohan Singh, on Thursday launched nation-wide mobile number portability (MNP).
MNP allows subscribers to change their telecom service provider while retaining the number. This means that a subscriber will no longer have to suffer bad services of a telecom service provider just because he or she wants to retain the number. The fear of losing customers is also expected to force telecom companies to improve their services.
“It will enable a subscriber to exercise his or her choice and get products and services in accordance with his or her preferences. It is expected that this service will go a long way in enhancing customer satisfaction,” said Dr Singh after launching MNP in the country.
Dr Singh launched MNP service in the country by making inaugural call to telecom minister Kapil Sibal from a ported number. The move adds another variable to India’s already competitive telecom market. Firms across the board welcomed the move, saying it will benefit the consumer and that they too will gain from it.
However, behind the scenes, they are gearing up to face the increased competition. Analysts tracking the sector feel that further price cuts are unlikely — given the already low tariffs in India, and companies will try to compete by improving service levels. Some of these changes are already evident. Loop Telecom has started to offer its customers money back in case of a dropped call. While Uninor offered a music platform, where its customers can access a collection of over 2.5 lakh songs at Rs 2.50 a day.
MTS, another new operator, is offering high end handsets on EMIs. Even PSU BSNL has joined the bandwagon — it is offering to waive charges associated with number portability and is offering free talk time and 3G services for a limited period to new customers.