T&M rental business has huge potential in India

How has been your experience in India?

Our biggest strength remains the telecom T&M market. Though we started
rental of T&M equipment in 2003, and since then moved to the power segment and
now to the semiconductor market as well. Our brand, 'Flexi Rental' has now
become synonymous with rental programs in the country. Market still takes rental
as a stop gap arrangement and rental concept is yet to become part of the long
term strategy for most customers. Nonetheless, we have been working with almost
every NEMs, both Indian as well as multinationals. We are also in the process of
building up a world class repair and calibration lab not only to support our own
asset base, but also to support our customers for total asset management.

Is the Flexi Rental model taking the T&M industry towards outsourcing?

Outsourcing as a concept has been extremely successfully in many business
environment and T&M is not an exception. T&M is one platform of business which
connects management and networks directly. Our Flexi Rental model has changed
and redefined many business models in India like RF drive test business, point
of interface testing business, BTS testing, optimization of network, TEC
evaluation, etc. Outsourcing of many services has become hugely cost-effective
and affordable due to this model. We have launched roaming testing services
under Flexi Rental program and many telcos have shown keen interest on this.

Rajesh Toshniwal CEO, Toshniwal Enterprises Controls

Are operators investing the right amount in T&M to ensure QoS?

My personal view is that some of the telcos are quite serious about QoS. But the
current challenge is customer acquisition and quality is surely not a priority
for most networks. For example, even if one roams between various circles of the
same operator, one does not get all the services seamlessly. With 3G services
making networks more complicated in terms of number of elements increasing in
the system manyfolds, it will be a huge challenge to provide various VAS
services without compromising on QoS. Investments and decisions on T&M has been
delayed and this might deeply cost the telcos. Many established and upcoming
players realize that quality is going to be the #1 differentiator, and I am sure
you will see a huge paradigm shift in the way test and management is looked at
by telcos and its vendors.

What are your plans on rentals at a time of convergence?

We are one of the unique T&M vendors who has been working with mobile TV for
last two years. We not only give multiple solutions on mobile TV, but can offer
a lot many T&M solutions as well. We have invested in many 3G compatible
equipments and have worked very closely with vendors.

Kannan K

kannan@cybermedia.co.in