Meanwhile, Reliance Communications, the third largest telecom operator in the country, has short listed three frontrunners amongst the contenders, namely: IBM, Tsystems and EDS for this outsourcing deal. It would be similar to the Idea deal, wherein Reliance would sign a pact for 10 years, but the size of the deal in this case is expected to be about $1.5 billion.
However, if the entire cellular service provider industry ends up outsourcing to IBM, would cellular operators be able to get the cutting edge competitive advantage that they are desirous of achieving? After all, a common vendor would impart virtually similar services with negligible differentiation.
Be that as it may, bagging contract after contract, life is beginning to resemble a bed of roses for Big Blue in India. And if they walk away with the Reliance or Vodafone deal (or both), that would be the yummy icing on the cake!
For complete IIPM article click here
Source:- IIPM Editorial, 2006
An IIPM and Management Guru Prof.Arindam Chaudhuri's Initiative
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