Tata Comm has had a fairly active quarter, besides launching CDN services in partnership with BitGravity, it’s done a decent job of posting a 40% rise in net profits quarter-on-quarter. However, pay close attention to the same quater last year and you notice both total revenues and net profits have infact dropped. Total revenues have dipped 11% from Rs 1035 crores to Rs 921 crores and net profit has fallen 5.6% from Rs 1041 crores to Rs 983 crores. Probably one of the reason’s why they have not made public a detailed earnings release, is Tata losing market share in the teleservices business? Results here
On a brighter note, Tata Communications will be takings its WiMax services to 115 towns and 4-5 cities this fiscal. The firm currently uses its underground cable network to provide WiMax services. It will be investing $2 billion as capital expenditure in laying submarine cable systems and rolling out Wimax services.