Aircel is gearing up to launch 4G services between October and December. The launch is expected to revive the otherwise gloomy telecom market.
Aircel, which is looking for a strategic partnership with companies such as MTS India, will invest $500 million to launch TD-LTE services in Chennai.
Aircel has BWA spectrum in 8 circles.
Aircel, according to a report in Business Standard, is expected to start rolling out 4G services from Chennai and other cities of Tamil Nadu.
Airtel, India's number one operator, currently leads 4G market with operations in Kolkata and Bangalore.
Airtel will compete with Airtel.
The Mukesh Ambani-promoted Reliance Industries' telecom venture is expected to launch LTE services in Mumbai and Delhi in the next 12 months.
At present, Bharti has BWA license in four - Kolkata, Karnataka, Punjab and Maharashtra. The company recently launched commercial 4G networks in Kolkata and Bangalore cities.
"Our focus is on creating a big data business. We'll award contracts for 4G equipment soon and launch between October and December. We are putting in $500 million. We'll be an integrated provider of 4G services," said Sandip Das, CEO of Malaysian telco Maxis.
Das says Aircel will provide mobile 4G services through dongles and devices. It will also offer broadband Internet, broadcasting, video on demand, education and health care services, among others.
Airtel is aggressive in 4G market. It will buy 49 percent stake in Qualcomm's 4G LTE venture in India for $165 million. Airtel will buy 26 percent stake held by two Indian partners in the Qualcomm venture and the remaining by subscribing to fresh equity. The chip major Qualcomm had spent nearly $1 billion to buy 4G radio airwaves in 2010. The mobile operator will take full control of the BWA entities by 2014.