Following the Supreme Court’s decision to permit the Central government to re-examine the matter of reevaluating the telecom operator’s adjusted gross revenue (AGR) obligations, Vodafone Idea’s stock price surged by more than 9% on Monday. Following the SC’s decision, Vodafone Idea’s stock increased 9.45% to INR 10.53 per share on the BSE. The Supreme Court noted that the question is within the Union government’s policy purview and that it does not perceive any obstacle to the Centre re-examining the issue and reaching a suitable conclusion.
What SC said in Vodafone’s Case?
The Supreme Court said that there was no reason to stop the Centre from re-examining the matter, which was a huge relief to the financially troubled telecom operator. The court on 27 October gave the government permission to reevaluate the demand for AGR dues and to resolve the telecom operator’s complaints without involving the courts.
Solicitor General Tushar Mehta, speaking on behalf of the Union government, requested more time, and the hearing was postponed. B.R. Gavai, the Chief Justice of India, rescheduled the hearing for the fourth time and instructed Mehta to take a firm stance on the issue. Chief Justice B.R. Gavai and Justice K. Vinod Chandran made the observation that the government’s policy discretion would control any decision pertaining to relief for the telecom operator.
What is AGR and Why Vodafone Challenged DoT’s Demand?
The Supreme Court postponed hearing Vodafone Idea’s petition in the AGR dues matter until October 27 on October 13. The indebted telecom company has contested the Department of Telecommunications’ (DoT) demand, aiming to settle further AGR claims totalling INR 5,606 crore for the years up to FY2016–17.
The revenue amount known as AGR is used to determine the spectrum charges and licensing fees that telecom businesses are required to pay to the government. At the request of the telecom company and Solicitor General Tushar Mehta, who was representing the Centre, the top court had previously postponed the hearing on the plea multiple times. The federal government had previously stated that it was working with the corporation to find a solution. According to Mehta, the government had a direct stake in Vodafone Idea’s existence because it owned over 50% of the company.
Vodafone Idea has requested that the DoT, in accordance with the “Deduction Verification Guidelines” of February 3, 2020, thoroughly reevaluate and reconcile all AGR dues for the period up to FY 2016–17. The supreme court denied telecom companies’ requests to correct alleged flaws in the computation of AGR dues owed by them earlier this year, refusing to reconsider its 2021 judgement.
The Supreme Court ordered telecom service providers to pay INR 93,520 crore in AGR-related debts within ten years in September 2020. 10% of the total dues, as determined by the DoT, must be paid by March 31, 2021, according to the directive. The rest amount must be paid in yearly instalments between April 1, 2021, and March 31, 2031.
Quick Shots
•The Supreme Court allowed the Centre to reassess Vodafone
Idea’s additional AGR dues.
•Vodafone Idea’s shares jumped 9.45% to ₹10.53 on the BSE
following the verdict.
•The Centre has sought more time to decide on the issue; hearing
adjourned after Solicitor General Tushar Mehta’s request.
•The Centre owns over 50% of Vodafone Idea, giving it a direct
interest in the company’s financial survival.
As the government looks to improve relations with the UK, India is thinking of settling its long-standing demand for billions of dollars in past-due fees from Vodafone Group Plc’s struggling local business once and for all, according to people familiar with the situation.
As per various media reports, a compromise on the principle and a waiver of interest and penalties might resolve the financial issue worth around 2 trillion rupees ($22.5 billion). According to the reports, officials are working on the framework and considering ways to make sure that any agreement won’t lead to legal challenges from other telecom companies that owe money.
Vodafone Idea Ltd. has been plagued by the arrears and hasn’t posted a quarterly profit since 2016. According to the people, a settlement might open the door for the third-largest telecom provider in India to draw in new investors.
Free Trade Agreement Between India and UK
New Delhi will especially profit from strengthening connections between the UK and India, which just inked a free trade agreement, at a time when ties with the US have worsened following President Donald Trump’s return to the White House. The argument for giving priority to already-thriving partnerships is further supported by the fact that attempts to restore relations with neighbouring China are barely getting started.
Reports further stated that the endeavour is even more urgent because British Prime Minister Keir Starmer is expected to visit India this week. The local branch of the British company and Idea Cellular Ltd., owned by billionaire Kumar Mangalam Birla, merged to establish Vodafone Idea.
By strengthening the UK’s position as a partner, its revival would benefit India internationally and assist in maintaining competition in the nation’s telecom industry.
Indian Government’s Strong Support to Vodafone
Through a debt-to-equity swap this year, the Indian government acquired a 49% stake in Vodafone Idea and has openly recognised the need for a solution. Last month, a government lawyer informed the Supreme Court that since public funds are already invested in the carrier, “some solution may be required.”
India’s yearly adjusted gross revenue (AGR), of which a portion is paid in licence and spectrum fees, is the subject of the dispute. Even though telecom companies have been contesting the approach for years, if the government changes its position, the court might be more accommodating this time.
Since the Tata Group’s wireless carrier and Sunil Mittal’s Bharti Airtel Ltd. have also been requesting relief, officials will undoubtedly need to make sure that all telecom operators receive equitable treatment during the AGR relief process. To ensure that Vodafone Idea isn’t given an unfair edge over competitors, one idea being discussed is to ask all operators to offer revival plans in exchange for any concessions.
Quick Shots
•India considers settling Vodafone
dues dispute worth ₹2 trillion ($22.5 billion) to strengthen ties with the
UK.
•Possible settlement could include
waiver of interest and penalties to resolve the long-standing AGR issue.
•Vodafone Idea, India’s
third-largest telecom operator, hasn’t posted a profit since 2016.
•Move comes ahead of UK PM Keir
Starmer’s visit to India this week.
Due to concerns that the telecom operator would fail without executive latitude, the Centre, which already owns the largest equity in Vodafone Idea (Vi) through the conversion of previous receivables into stock, is considering a number of options to give the telco additional relief on outstanding regulatory dues of INR 84,000 crore.
A media report cited that raising the repayment period from the current six years to 20 years and concurrently implementing simple interest on the outstanding balance rather than compound interest or interest on interest are two options on the table to address adjusted gross revenue (AGR)-related dues.
Its annual payment load may decrease considerably if such terms are applicable to Vi; nonetheless, some are doubting if the telco’s current cash flows are adequate to meet even the most lenient repayment covenants.
The report further revealed that a second possibility is to charge a nominal sum of INR 1,000–1,500 crore per year to partially cover such obligations while a resolution is made on the larger AGR issue.
Several Other Options are Being Discussed
According to a number of media reports, in addition to these two solutions, several other innovative ideas are also being investigated, and any one or a combination of options may provide relief.
The government wants to keep the business open. According to a media report, something new needs to be created because the known or current options—like waiving the interest and penalties—are not working.
However, whichever choice is chosen, it would be viable from a legal standpoint. As of March 2025, Vi owed INR 83,400 crore in unpaid AGR dues; the annual payment instalments for this amount are due beginning in March 2026 and must be made by March FY31.
Currently, by March of this fiscal year, the losing telecom company must pay INR 18,064 crore. The government is concerned that the corporation won’t be able to survive without any respite on the AGR dues, as its cash and bank balance at the end of March amounted to INR 9,930 crore.
Financial Hurdles of Vi
As a result of the Supreme Court’s 2021 AGR verdict, telecom companies like Vi and Bharti Airtel currently pay between 29 and 30% compound interest on their existing debts each year.
The total outlay and accumulation for the upcoming years would be decreased if the same were converted into simple interest of 8–10%. A media report claims that if the decision is carried out prospectively, Vi can save more than INR 16,000 crore in interest costs following the conversion.
If the judgement is applied retroactively, the savings will be even greater. For instance, until 2031, Vi is required to pay INR 18,064 crore by March 31 of each year. However, the annual instalment would be almost INR 15,000 crore if the interest were converted to a basic interest of 8–10%.
The report went on to say that the payments might be prolonged to 20 years because the company’s cash flows will not allow it to pay even that sum. The annual outlay could be less in such a scenario.
According to the government’s scenario-building for Vi, the firm would go bankrupt in FY27 if it is forced to pay the entire INR 18,064 crore instalment that is due by the end of FY26.
Amid concerns over its long-term viability, the Indian government is presently addressing Vodafone Idea’s (Vi) financial difficulties and contemplating relief measures.
Vi might not be able to fulfil obligations after 2028–2029 if payment terms are not even extended to adjusted gross revenue (AGR) dues.
Although measures like extending the AGR payment period from six to twenty years are being discussed, government officials have warned that they may not guarantee Vi’s viability after 2028–2029.
According to the Department of Telecommunications, Vi won’t have money for its FY27 obligations if it is required to pay the entire INR 18,064 crore instalment by the end of FY26.
Vi Navigating Through Bundle of Challenges
The government became the largest shareholder with a 48.99% stake in the company in March after converting INR 36,950 crore in spectrum arrears into stock at Vi’s request.
Spectrum auctions held prior to 2021 were connected to these arrears. Vi’s financial future is still questionable in spite of this conversion. Vi has provided estimates through the Supreme Court’s 2030–31 deadline for the payment of AGR dues.
A four-year moratorium on AGR and spectrum dues from FY22 had already been granted by the government. Vi is now required to pay out all of the debt in six instalments beginning this fiscal year.
Vi’s January–March net loss of INR 7,166 crore was more than its October–December 2024 loss of INR 6,609 crore. It is currently negotiating with lenders after its board approved raising an extra INR 20,000 crore through loan or equity.
According to SR Batliboi & Associates, the group’s capacity to function as a going concern depends on the DoT’s backing over the AGR issue. They also emphasised Vi’s difficulty producing the cash flows required to pay down or refinance obligations as they fall due.
Vi Needs Immediate Bailout by Securing Loan
Vi can pay its debts this fiscal year, but starting in FY27, it won’t be feasible without obtaining more than INR 25,000 crore in loans from the bank and financial institution loans, according to a telecom industry analyst.
Motilal Oswal, a broking firm, cautioned that Vi may have a yearly liquidity shortage of INR 20,000 crore if AGR dues are not relieved or if debt fundraising activities are unsuccessful.
Vi has INR 9,930 crore in cash and bank balance at the end of March. In discussions with the DoT, the business had acknowledged that it would not be able to fulfil post-moratorium payment schedules.
Before a portion of the debt was turned into equity, the estimated payment for FY26 was more than INR 30,500 crore. The current talks show how difficult it is to guarantee Vodafone Idea’s existence in the face of growing financial strains and few alternatives for effective relief or obligation restructuring.
Telecommunication companies are entities that facilitate communication and connectivity without the need for physical interaction. Whether it’s making phone calls, accessing the internet, or exchanging written messages via emails and SMS, the telecom sector offers comprehensive solutions at our fingertips.
Through the use of cables, wires, waves, and wireless technology, telecommunication has enabled global communication. The companies operating in this sector encompass Internet Service Providers, wired and wireless telephone operators, cable companies, and satellite providers.
In the late 1990s, the telecom sector was predominantly controlled by major national operators. However, starting from the end of 2002, the sector began undergoing privatization, marking the advent of a new era in India.
Since then, numerous telecom companies have emerged in India, catering to the communication needs of the population. Yet, only a select few have managed to thrive amidst fierce competition and establish themselves in both our hearts and the market.
The Indian telecommunication market is largely dominated by a handful of providers, responsible for offering a wide range of telecommunication services, including internet provision and calling facilities.
In this blog, we will explore the top telecommunication companies that have not only survived fierce competition but have also excelled in delivering cutting-edge solutions and reliable connectivity. From offering high-speed internet to seamless mobile services, these companies have carved a niche for themselves in the Indian market.
So, let’s embark on this journey to discover the telecommunication leaders who are revolutionizing the way we connect, communicate, and experience the world of technology in India.
Top Telecom Companies in India by Users
Mobile Operator
Market Share
Jio
40.52%
Airtel
33.67%
Vodafone Idea
17.84%
BSNL
7.89%
MTNL
0.09%
Wireless Subscriber Market Share in India as of February 2025, by Service Provider
In India, Jio leads the telecom market with a 40.52% share, followed by Airtel with 33.67%. Vodafone Idea holds 17.8% of the market, while BSNL has 7.9%. MTNL, the smallest player, accounts for just 0.09% of the market share. The competition among these operators continues to shape the country’s telecom landscape, with Jio and Airtel dominating the industry. Despite the growth of private players, BSNL and MTNL still maintain a presence, albeit with significantly smaller shares.
Fixed-line telephone, Mobile telephony, Wireless broadband, Internet services, Mobile phones, OTT services
Top Telecommunication Companies in India – Jio
Reliance Jio is a subsidiary of Reliance Industries operating in the telecom industry, since 15th February 2007, founded by Mukesh Ambani with its headquarters at Navi Mumbai, Maharashtra, India. Jio is the business name for Reliance Infocom Limited and is the best telecom company in India.
The company offers multiple services including fixed-line telephone and mobile phones, wireless broadband with internet services, and OTT services. Right now Jio provides 4G, 4G+, and 5G services. However, furthermore, it is planning to expand its services to 6G. Reliance Jio is India’s biggest telecom company.
According to the reports of the Telecom Regulatory Authority of India, Reliance Jio is the telecom company that has the highest market share in terms of being a wireless service provider. It has held40.52% of the market share among the rest of the other companies. It is the largest mobile network operator in India with over 46.72 crore (467.2 million) subscribers.
Fixed-line telephone, Mobile telephony, Broadband, Satellite television, Payments bank, Digital television, Internet television, IPTV
Top Telecommunication Companies in India – Airtel
Bharti Airtel Limited, operating under the business name of Airtel, is a public company, in the telecommunication sector. It was founded by Sunil Bharti Mittal on 7th July 1995. It is headquartered in Delhi and is one of the top 3 telecom companies in India.
Airtel is also known to offer different services such as Fixed-line Telephones, Mobile Phones, Broadband, Satellite Television, Payment Bank, Digital Television, Internet television, and IPTV. Its revenue as of 2021 is 101,258 Crore INR. It is the top mobile network in India.
Airtel is known for providing 2G, 3G, 4G LTE, and 4G+ services. According to TRAI reports, Airtel has a 33.67% market share in the wireless subscriber market and is the second top telecom company in India after Jio.
Mobile telephony, Wireless broadband, Internet services
Biggest Telecom Company in India – Vodafone Idea
Vodafone Idea Limited, one of the top 3 telecom companies in India is also known as VI is a joint venture of Idea and Vodafone as the name suggests. It was founded in the year 2018 when two major telecommunication companies decided to merge their businesses with their headquarters in Mumbai and Gandhinagar respectively.
The telecom company deals with products like mobile Telephony, wireless broadband, and internet service. However, the company has seen a great increment since 31st October 2021. Vodafone Idea is one of the top 3 telecom companies in India.
The company was recorded to achieve a total of 269.03 million subscribers giving it the rank of the third largest telecommunication company in India after Jio and Airtel. VI’s market share is 17.84% of the total market share of telecommunication companies in the wireless subscriber market in India.
Bharat Sanchar Nigam Limited (BSNL) is a telecommunication company owned by the Ministry of Communication, the Government of India. It is a statutory corporation founded in the year 2000, with its headquarters in New Delhi.
BSNL offers a wide range of services, including landline and mobile telephony, broadband internet, and enterprise solutions. With its extensive network infrastructure and reach across the country, BSNL, one of the oldest telecom operators in India has played a pivotal role in connecting millions of people, especially in rural and remote areas where connectivity is essential for development and communication.
Despite facing stiff competition from private players, BSNL continues to adapt and evolve to meet the changing demands of the telecommunication industry. The company’s dedication to customer satisfaction and its vast network coverage have helped it maintain a significant market presence in India. BSNL has the greatest share in terms of telecom PSUs at 7.89%.
Mobile telephony, Fixed-line telephony, Digital television, Wired and Wireless Broadband, IPTV
Top Telecommunication Companies in India – MTNL
Mahanagar Telephone Nigam Limited or MTNL previously known as Bombay Telephone Limited is a subsidiary of BSNL owned by the Ministry of Communication, the government of India. It is a prominent telecommunications company that operates in the metropolitan cities of Delhi and Mumbai in India. Established in 1986, MTNL is a state-owned enterprise and provides a wide range of telecommunication services to its customers.
MTNL works and provides services in the fields of mobile telephony, fixed-line telephony, digital television, wired and wireless broadband, and IPTV. It was the first telecom operator in India to launch 3G mobile services, providing high-speed data and improved voice quality to its subscribers. The company continues to invest in upgrading its network infrastructure and introducing new services to meet the growing demands of its customers. MTNL has a market share of 0.09% among the other top telecommunications companies in India.
Telecom Sector Market Size
India is the world’s second-largest telecom market. As of May 2024:
Telecom Sector Market Size
Wireless users: 1.17 billion
Jio: 474.61 million
Airtel: 387.76 million
Vodafone Idea: 218.15 million
BSNL: 86.32 million
Wired broadband users: 41.31 million
Data Usage
From June to Sept 2024, total data use grew by 40.76%.
Wireless data rose 4.01% from Sept to Dec 2023.
4G used the most (86.66%), followed by 5G (12.59%), 3G (0.65%), and 2G (0.09%).
Telecom revenue: INR 91,426 crore (US$10.46 billion) in Q2 FY25.
Future
India will gain 500 million new internet users in 5 years.
By 2025, 22 million skilled workers will be needed in 5G-related fields like IoT, AI, robotics, and cloud computing.
The Indian Telecom sector is way ahead in the present time as of a few years back. India is considered the second-largest telecommunication market in the world. It has its shares of different firms involved in it. Irrespective of the number of firms working in the telecom sector, the Indian telecom industry is highly dominated by few telecommunication providers.
The top telecommunication companies in India have transformed the way we communicate, connect, and experience technology. They have not only expanded access to communication services but have also driven digital inclusion and economic growth. As we move forward, these companies will continue to redefine connectivity, enabling individuals, businesses, and the nation as a whole to thrive in an increasingly interconnected world.
FAQs
What is meant by telecommunication?
The term telecommunication stands for the transfer of information through different mediums such as wire, radio, or any other electromagnetic system.
Which firms provide telecommunication systems in India?
Firms like MTNL, Jio Reliance, Vodafone Idea, etc. are known to provide telecommunication services in India.
Which is the largest telecom company in India?
Based on current data, Reliance Jio is the largest telecom company in India.
What is the count of the total subscriber base in India for the telecommunication industry?
The total subscriber base count for the telecommunication industry in India is around 1170.38 million, calculated in December 2022.
What is the driving factor of the growth of telecom sector in India?
The proliferation of smartphones and the increasing demand for high-speed internet access have been key driving factors behind the growth of the telecom sector in India. Additionally, the government’s initiatives to promote digital connectivity and the rapid expansion of mobile network coverage have further fueled the industry’s growth.
What are the employment opportunities in telecom sector?
The telecom industry offers a wide range of employment opportunities, including roles in network engineering, telecommunications infrastructure, customer support, sales and marketing, research and development, and project management.
Which telecom company is best in India?
Reliance Jio is the best telecom company in India.
The petitions filed by Vodafone Idea (Vi), Bharti Airtel, and Tata Teleservices asking for a waiver of their long-standing adjusted gross revenue (AGR) obligations were denied by the Supreme Court on 20 May.
As part of their AGR obligations, the telcos sought relief from the payment of interest, penalties, and interest on penalty components. A bench of Justices J B Pardiwala and R Mahadevan referred to the plea as “misconceived” and stated that the court will not block the Centre’s decision to provide relief to these corporations. “We will not stand in your way if the government wishes to assist you,” Pardiwala stated.
Bad News for Vodafone Idea
According to experts, the recent decision may have serious repercussions for Vodafone Idea (Vi), which is already having difficulties. The telco has stated that without assistance, it will not be able to continue operating into FY26. Analysts speculated that it might even be on the verge of going bankrupt.
Department of Telecommunications (DoT) officials noted that it was doubtful that the government would acquire any additional share in Vi, citing the court’s ruling on government assistance. The Bench stated that the petitions “really shocked” it. “Very uneasy. An international corporation is not expected to do that. We’ll ignore it,” the Bench noted.
Vi, who is expected to be most affected, informed the court via senior advocate Mukul Rohatgi that the Centre is unable to save the company because of earlier rulings from the Supreme Court. “You know, all we are saying is that the government is now 50% owner of my company,” Rohatgi said to the Bench.
However, they replied that because of the decision, we are powerless to assist. Their response is based on the Supreme Court’s ruling rather than saying, “We won’t look at your representation.”
Government not Keen on Expanding its Stake in Vi
Solicitor General Tushar Mehta, who represented the Centre, stated, “What we have said is that, in view of the judgement of the Lordships, we cannot examine (the relief sought).” According to DoT officials, the government is not interested in increasing its holding beyond what it now has because doing so would essentially make the carrier a public sector organisation.
According to another DoT official, Vi has already asked the DoT for relief in a number of ways, including asking it to recalculate the AGR. “But the matter has been resolved by previous rulings,” he stated.
In a letter dated April 29, DoT most recently denied the telco’s request, claiming that the 2020 Supreme Court ruling precluded further concessions on AGR obligations. Earlier this month, Vi exchanged INR 36,950 crore in unpaid spectrum auction debt into government equity shares.
Consequently, the Centre’s ownership stake in the telco rose from 22.6% to 48.9%. In order to retain governance and management powers, Vi modified the shareholders’ agreement earlier in May to lower the qualification criteria for promoter groups, including the UK-based Vodafone and the Aditya Birla Group.
Numerous users have reported problems with mobile internet, among other things, suggesting that Vodafone Idea’s servers are down. A complete blackout has been reported by several Vi users, who report that they were unable to access any network services. After midnight, more than 1880 reports about Vodafone Idea network issues were displayed by Downdetector, which monitors such outages. At approximately 1:01 a.m. on Friday, April 18, the number of complaints reached its highest point. Only when the volume of problem complaints is much greater than what is normal for that time of day does Downdetector report an event.
Users Raising Issue on Social Media
Additionally, users reported problems with their Vi network on Twitter, with some claiming that the entire network seemed to be down. “Is VI (Vodafone Idea) still in use? The network appears to be totally down,” a user posted on X. The cities where customers are having the most problems, according to Downdetector, are Mumbai, Faridabad, Noida, Delhi, Gurgaon, Pune, and Ghaziabad. 71% of customers complained of “no signal,” 21% complained of “total blackout,” and 9% complained of “mobile internet” problems.
Vi Going Through a Bad Patch
The Vi network problem occurred just a few days after the government raised its ownership stake in the telco to over 49%, raising expectations for its recovery. The government’s waiver is a component of a reform package for 2021 that aims to preserve healthy competition in a market troubled by growing AGR dues, spectrum usage costs, and licence fees. Telecom service providers were given the choice to choose a four-year payment moratorium as a result of the change. The deadline for this was September 2025.
The government also offered telecoms a one-time chance to convert the Net Present Value (NPV) of the interest amount into equity in order to exercise the option of paying interest for the four years on postponed spectrum instalments and AGR dues. Vodafone Idea decided to implement a four-year embargo to postpone spectrum-payment obligations associated with spectrum auctions until 2016 and AGR dues until the 2019 fiscal year, over a month after the reforms were announced.
The indebted telecom company announced this week that the DIPAM had been issued 3695 crore shares by the board’s Capital Raising Committee. The credit grade of the telecom business led by the Aditya Birla Group has been raised by ratings agency ICRA. ICRA raised Vodafone Idea’s credit rating by one notch on 18 April. For Vi’s long-term fund facilities, the agency has raised the rating from BB+ given by CARE Ratings in June 2024 to BBB-.
In the high-stakes world of Indian telecommunications, where industry giants battle for dominance and rapid technological shifts define market dynamics, Akshaya Moondra has been the steady hand guiding Vodafone Idea (Vi) through its most turbulent era. As the CEO since August 2022, Moondra inherited a company grappling with financial distress, intense competition from Reliance Jio and Bharti Airtel, and the ever-evolving demands of India’s massive digital consumer base.
His tenure has been defined by resilience, strategic restructuring, and crucial engagements with the government to stabilize Vi’s financial health. While the company has struggled with mounting debt, spectrum dues, and subscriber retention, Moondra has spearheaded aggressive cost optimization strategies, refinancing efforts, and network expansion initiatives to keep Vi in the race. With his term nearing its conclusion in August 2025, all eyes are on what comes next for both Moondra and the future of Vodafone Idea.
Akshaya Moondra – Biography
Full Name
Akshaya Moondra
Nationality
Indian
Current Role
Chief Executive Officer, Vodafone Idea Ltd.
Career Tenure
20+ years
Leadership Style
Strategic, finance-focused, resilience-driven
Notable Achievements
Top CFO in Indian Listed Companies (2016): Recognized by Finance Asia; Top 3 CFOs in Asia in Telecom Sector (2011-2016): Acknowledged by Institutional Investor for four consecutive years
Akshaya Moondra holds a Bachelor’s degree in Commerce from Delhi University and is a Chartered Accountant (CA) from The Institute of Chartered Accountants of India. His financial expertise, honed at Ernst & Young early in his career, became the bedrock of his leadership in telecom.
Later, he pursued a company secretary from the Institute of Company Secretaries of India. Equipped him with global insights, enabling him to tackle Vi’s complex challenges with a blend of fiscal discipline and innovation. His ability to balance financial viability with technological advancement has been critical in reviving Vi’s fortunes, making him a standout leader in India’s telecom landscape.
Akshaya Moondra – Recent Initiatives and Expansion Plans
Akshaya Moondra’s journey with Vodafone Idea has been extensive and impactful, marked by significant financial and strategic milestones. Before stepping into the Chief Executive Officer (CEO) role, he served as the company’s Chief Financial Officer (CFO) for four years—a tenure that placed him at the heart of some of the most critical decisions shaping Vi’s future.
One of his most notable achievements was leading one of India’s finest public equity issues in 2019. This crucial move helped the company raise much-needed capital to alleviate its mounting debt burden. His financial expertise was also instrumental in navigating the complex and highly scrutinized merger between Vodafone India and Idea Cellular in 2018, a transformative deal that sought to create a formidable player in India’s fiercely competitive telecom sector.
Akshaya Moondra has outlined a strategic plan for the phased rollout of 5G services to improve customer experience and expand the company’s market presence. Moondra emphasized Vi’s commitment to delivering high-speed connectivity and innovative services in communication to subscribers.
Phased 5G Deployment
Vi is set to initiate its 5G rollout in a phased manner, focusing on key regions to ensure optimal service delivery. The initial phase targets 17 priority circles and industrial hubs known for high data consumption. This strategic approach aims to provide ultrafast speeds and an enhanced connectivity experience to areas with significant demand.
Collaborations with Global Technology Leaders
Vi has partnered with global technology leaders such as Ericsson, Nokia, and Samsung to support this ambitious rollout. These collaborations are part of a transformative three-year investment plan put into action to upgrade network infrastructure and deploy advanced technologies. By March 2025, thousands of new sites are expected to be operational, significantly enhancing connectivity and network performance.
Financial Restructuring & Investments
Moondra has actively sought additional investments from private equity players and lenders to strengthen Vi’s financial position. His efforts to convert government dues into equity are part of a broader plan to secure long-term stability.
Innovative Tariff Plans
In addition to infrastructure enhancements, Vi plans to introduce innovative, first-of-their-kind tariff plans tailored to meet the diverse needs of its customer base. These new offerings aim to provide greater value and flexibility, encouraging wider adoption of 5G services among consumers.
Recent Network Enhancements
Building on its commitment to improving service quality, Vi added over 46,000 new network sites and enhanced capacity at more than 58,000 existing sites in 2024. These efforts have significantly improved network coverage and indoor connectivity, laying a robust foundation for the upcoming 5G rollout.
Akshaya Moondra, the Chief Executive Officer of Vodafone Idea Ltd., has demonstrated a leadership philosophy centered on customer-centricity and technological advancement. In a New Year’s message to customers in January 2025, he emphasized the importance of trust and support from customers, stating, “Your trust and unwavering support inspire us to deliver the very best every day.” He highlighted the company’s commitment to enhancing network quality and introducing innovative solutions to improve user experience.
While specific details about Moondra’s interests are not widely publicized, his extensive career in finance and telecommunications reflects a deep commitment to these fields. He is a member of the Institute of Chartered Accountants of India and has held significant positions in various companies, including Aditya Birla Telecom Ltd. and Idea Cellular Services Ltd.
Moondra’s tenure at Vodafone Idea has been anything but smooth sailing. He took charge at a time when the company was struggling with severe financial distress, declining market share, and the growing dominance of rivals like Reliance Jio and Bharti Airtel. However, he managed to steer Vi through some of its toughest challenges:
Tackling Financial Struggles: He led crucial discussions with lenders and investors to secure funding for network expansion and operational sustainability.
Debt-to-Equity Conversion: His initiative to convert a significant chunk of Vi’s dues into government equity aimed to ensure long-term stability.
Cost Optimization Strategies: Implemented aggressive cost-cutting measures and operational efficiencies to streamline Vi’s expenses.
Strengthening Network Infrastructure: Under his leadership, Vi expanded its 4G network and laid the groundwork for future 5G investments despite financial constraints.
While the road ahead remains challenging, these achievements played a critical role in keeping Vi afloat in an ultra-competitive market.
Akshaya Moondra – Transition and Future Outlook
With Moondra’s term as CEO set to end in August 2025, Vodafone Idea has initiated a search for his successor. Reports suggest that the company is looking at leaders from the consumer and technology sectors, emphasizing expertise in distribution and digital transformation.
There has also been speculation about Moondra’s next career move. Some industry analysts believe he may take on an advisory role in the telecom sector or transition into a leadership position within private equity firms focused on infrastructure investments. Others suggest he could continue contributing to the industry through strategic consultancy roles
The next leader will inherit a company that remains at a crossroads but still struggling to catch up with Jio and Airtel but holding a critical place in India’s telecom landscape. Moondra’s successor will need to drive aggressive 5G rollout plans, secure investor confidence, and further stabilize the company’s finances.
Akshaya Moondra – Interesting Facts
Minimal Public Presence: Unlike many corporate leaders, Moondra maintains a low profile in the media, focusing more on strategy than public appearances.
Passion for Numbers: Known for his deep financial expertise, he is regarded as one of the few telecom CEOs with an extensive background in finance rather than engineering or operations.
Crisis Management Expert: Industry insiders often credit him with being one of the key figures who prevented Vodafone Idea from an early collapse after the telecom crisis intensified post-merger.
Behind-the-Scenes Negotiator: Moondra was instrumental in securing financial lifelines, including key government interventions that allowed Vi to delay payments and restructure its debts.
Strategic Thinker Beyond Telecom: Some reports suggest he has been informally advising startups and fintech firms, given his extensive experience in corporate finance and restructuring.
Akshaya Moondra is the current Chief Executive Officer (CEO) of Vodafone Idea (Vi), an Indian telecommunications company.
Why is Akshaya Moondra called a “silent strategist”?
This likely refers to his perceived low public profile despite playing a crucial role in navigating Vodafone Idea through significant financial and operational challenges.
What is Akshaya Moondra’s education?
Akshaya Moondra holds a Bachelor’s degree in Commerce from Delhi University and is a Chartered Accountant (CA) from The Institute of Chartered Accountants of India.
On Tuesday, Vodafone Idea (Vi) saw its stock price jump 20% following the Indian government’s decision to convert INR 36,950 crore of the telecom company’s spectrum dues into equity. This is supposed to provide Vi with the cash flow relief it so desperately needed to the tune of INR 40,000 crore, which, in turn, was supposed to ease some of the financial strain that was pushing Vi down toward the bankruptcy option.
Impact of the Government’s Decision
Spectrum dues being converted into equity may reduce the immediate financial burden on Vodafone Idea Limited, but it is still facing severe challenges. According to Nomura Research, Vi needs to find 40,000 crore rupees ($4.8 billion) in 2026 and 27 through debt to cover capital expenditures and pay back dues to the government that are due starting next month. The deferred payment is part of a National Company Law Tribunal order that permits Vi to pay in installments through FY27.
To maintain operations and restore its competitive position, Vi aims to invest INR 50,000-55,000 crore over the next three years. This funding will serve two main purposes: to expand 4G services in important markets and to initiate 5G rollout in major urban centers. So far, the company has managed to sock away INR 26,000 crore through equity. Its other primary funding source, banks, has held back due to uncertainty surrounding Vi’s past and projected future revenues.
Potential Government Interventions and Industry Impact
Given Vi’s present levels of debt and cash flow issues, analysts expect that further interventions by the government, including the conversion of additional statutory dues into equity, may be required to keep the telco viable. If all the dues were converted into equity, the government’s stake in Vi could rise to 81%, effectively making it a state-run company.
On the industry front, telecom infrastructure provider Indus Towers is expected to benefit from Vi’s now improved financial state. Ambit Capital projects that Indus will receive 70% of Vi’s new increments from rollout, effective FY25, if not sooner, going through FY28. The upticks are expected to happen because, as Ambit notes, Vi’s spectrum bands are now closely aligned with those of Bharti Airtel, leading to what should be a significant uptick in network tenancy for Indus Towers at Vi in the next four years.
Vi’s Future
Vi is the result of the merger of Vodafone India and Idea Cellular in 2018. It has been struggling, however, due to the fierce competition from Reliance Jio and Bharti Airtel. Its inability to invest in pan-India 5G services has not helped, and it has lost subscribers and market share. The government’s move to provide it assistance is a short-term relief. But the telco has a long, long way ahead to traverse before it can come back to financial health. It will require a massive infusion of cash, some hike in tariffs, and likely some more assistance from the government back in the telecom sector to come even close to stability.
On 30 March, Vodafone Idea (Vi) announced that the government would increase its ownership of the struggling telecom carrier from 22.6% to around 49%. The government will achieve this goal by converting its outstanding spectrum auction dues into equity shares valued at INR 36,950 crore. Currently, the major shareholder in the telecom company is the government. Vi stated in an exchange filing that the Ministry of Communications has chosen to convert the outstanding spectrum auction dues into equity shares to be issued to the Indian government in accordance with the September 2021 Reforms and Support Package for the telecom sector. INR 36,950 crore is the entire sum that needs to be changed into equity shares.
Vi Directed to Issue 3695 Crore Equity
According to Vi, it has been instructed to issue 3,695 crore equity shares with a face value of INR 10 each at an issue price of INR 10 each. The Vi has to complete this task within 30 days after the issuance of the necessary order from relevant authorities, including from the regulatory authority, the Securities and Exchange Board of India (Sebi). The action will enable Vodafone Plc and the Aditya Birla Group, the company’s promoters, to maintain operational control over the business. The Department of Telecommunications (DoT) received a letter earlier this month from Vi Chief Executive Officer Akshaya Moondhra requesting additional conversion of the telco’s adjusted gross revenue (AGR) dues and spectrum usage charge payment instalments for airwaves purchased in the 2012, 2014, 2015, and 2016 auctions. The government permitted financially troubled telcos to convert a portion of their government debt into equity as part of the telecom reform package that was approved by the Cabinet in September 2021. After 16 months of talks, the government eventually agreed to Vi’s plan to convert INR 16,000 crore in interest liabilities owed to the government into equity in February 2023. The Centre then acquired a 33.1% share.
How this Move will Benefit Vi?
Vi chose to convert the interest on the moratorium into equity, as permitted by the reform package. Additionally, it preserved the possibility that the government can convert the principal of the four-year payment moratorium into equity when it expires in September 2025. Vi has significant payment obligations after October. Including principal and interest, the business must pay the government INR 12,000 crore between then and March 2026. It then has to pay INR 43,000 crore every year for five years, from 2026–2027 to 2030–2031, before that. Vi’s debts to banks and financial institutions decreased from INR 7,620 crore at the end of the third quarter (October–December) of FY25 to INR 2,330 crore. However, the corporation owes the government INR 69,020 crore in adjusted gross income and INR 1.38 trillion in postponed spectrum payment commitments.
