Aircel is a mobile network operator providing voice and 2G, 3G and 4G data services in India. The company was founded in 1999 by C. Sivasankaran and is headquartered in Chennai, Tamil Nadu. Aircel started its operations in Tamil Nadu and later expanded to other parts of the country. At its peak, the company had a subscriber base of over 80 million and operated in 18 circles ( telecom circles) across India.
Aircel's main focus was on providing affordable prepaid plans, which helped attract a large number of customers, especially in smaller towns and rural areas. As a result, the company had a significant market share in the early 2010s. However, the company struggled to compete with larger players such as Bharti Airtel, Vodafone and Reliance Jio, which had a larger subscriber base and more extensive networks.
In 2016, Aircel faced financial difficulties and defaulted on loan payments. The company's debt exceeded $5 billion and it was unable to service its debt or invest in its network. To overcome this crisis, the company tried to merge with Reliance Communications, but the merger failed due to regulatory hurdles.
In 2018, the company filed for bankruptcy and it is currently in the process of liquidation. The company also had a joint venture with Malaysia-based telecommunications company Maxis Communications Berhad, which was dissolved in 2016.
The discontinuation of Aircel's services has inconvenienced many of its customers, who have been advised to port to other operators. The liquidation process of the company is still on, and it is uncertain whether the customers will be able to recover their dues or any other dues.
Aircel's failure can be attributed to a number of factors, including intense competition in the Indian telecom market, high debt levels and regulatory challenges. The company's inability to keep pace with rapid changes in technology and the emergence of new players such as Reliance Jio also played a role in its downfall.
Overall, Aircel's journey in the Indian telecom market was a rollercoaster ride, marked by both successes and failures. Despite its challenges, the company was instrumental in expanding mobile telephony in India and providing affordable services to millions of customers, especially in smaller towns and rural areas.
- Thank You! We appreciate your effort.