The aftermath of 122 Telecom license cancellation ruling by Supreme Court earlier this year continues – After S Tel and Etisalat DB, Loop Mobile will be 3rd mobile operator to shut its operation in 13 circles. The 13 circles where Loop Telecom is closing down its operations are — Madhya Pradesh, Maharashtra, Orissa, Haryana, Assam, Bihar, Karnataka, Gujarat, Punjab, Kolkata, North-East, Uttar Pradesh (West) and Rajasthan. \
Loop will officially close down on May 15th, 2012 and is requesting affected users to switch to other operators by 30th April using Mobile Number Portability.
Loop mobile will continue its operation in Mumbai circle where it has a largest base of 32 Lakh subscribers. For Mumbai, Loop had taken over reigns from BPL mobile prior to 2008, so that license does not have any effect of Supreme court ruling.
Only about 6000 users will be affected by this – the number of mobile subscribers Loop has outside of Mumbai. Loop was given license to operate in 21 circles in 2008 during the reigns of Telecom Minister A. Raja.
What will be really interesting to see in coming days are the developments with 2 other operators, Sistema (JV partner in SSTL- Sistema Shyam TeleServices Ltd) & Telenor (JV partner in Uninor) , whose licenses have also been cancelled. Unlike Loop, S Tel & Etisalat, these 2 operators have sizeable subscriber base. Infact, Uninor has been performing spectacularly well over past few months.
According to latest figures from TRAI, Uninor has over 41 million subscribers and has over 4.5 percent market share. Even Sistema has a subscriber base of 15.4 million as of February 2012.