Bharti, Vodafone, Idea to strengthen presence as consolidation imminent: S&P

Top three telecom players--Bharti Airtel, Vodafone and Idea are likely to strengthen their market positions because smaller, weaker players are likely to find it increasingly difficult to acquire expensive spectrum and lack the scale to run nationwide operations, Standard & Poor's said in a report.

"We believe the domestic telecom industry is entering a consolidation phase, given significant regulatory changes and a considerable shift in the competitive environment," the report said.

Besides, the report titled 'Moderating Regulatory and competitive risks' also said that intense competition in the industry should slowly moderate as a result of consolidation.

New policies on spectrum renewal, mergers and acquisitions, and spectrum trading will significantly improve regulatory risks for telecoms.