Verizon Receives India Licenses
The carrier has formed a joint venture, Verizon Business India, with Mumbai-based Videocon Group -- a conglomerate whose interests span from consumer electronics and home appliances to oil and gas -- to satisfy requirements that Indian telecom companies must have a maximum foreign ownership of 74 percent.
The plan is to offer business customers international private-leased circuits with MPLS and IP services alongside the local ISP facilities for which it already holds a license. New nodes to be deployed in Bangalore, Chennai, Hyderabad, Mumbai, and New Delhi will support Verizon Business's MPLS, Global Data Link, and Ethernet Virtual Private Line services.
The rising demand for international connectivity out of India and the growth of domestic enterprise are attracting service providers, as more and more of their multinational customers are setting up shop in the country.
AT&T Inc. (NYSE: T) was the first to be granted national and international licenses in 2006, followed by BT Group plc (NYSE: BT; London: BTA) and Cable and Wireless plc (NYSE: CWP) in 2007. Orange Business Services has also applied to enter the market. (See BT Receives India Licenses, BT Forms JV in India, AT&T Launches India JV, AT&T Goes Long Distance in India.)
Verizon Business also announced today that it's appointed John Samuel as president of the India joint venture.
— Nicole Willing, Reporter, Light Reading