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Vodafone Making a Mistake by Entering Fixed Telecom Market
Filed in archive Companies by gautam on May 31, 2006
Vodafone Making a Mistake by Entering Fixed Telecom Market
Vodafone has come up with its quarterly results and in its announcement it has stated that it would leave its mobile only strategy and enter the fixed telecom market. But my friend at communities-dominate, Tomi does not seems to be amused by this announcement and he has valid reasons for that.

There seems to be less competition in cellular telcos as in any market only three
to six network operators are allowed to operate whereas in every market there are many more fixed landline operators who offer tough competition.

Although it cannot be termed as a dying industry but it has stopped growing and with people preferring to go mobile there seems to be less chance of its reviving back.

It would be requiring a lot of marketing efforts if it wants be successful in this field.

Vodafone seems to be barking around the wrong tree as this seems to be an investment which is being made not keeping in mind the future.

This would certainly result in conflicting priorities in Vodafone as whether they should prepare for the future or try to win the past.

My friend suggests that Vodafone should try and expand its text messaging service rather than make the mistake of getting into fixed telecom as messaging has been considered as the most profitable service to be ever created.
I would certainly agree with Tomi and I hope this message gets across to Vodafone and opens their eyes.


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Tags: Vodafone  VoIP 
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