RCOM cuts 94% jobs to take employee base to 3,400 as part of B2B strategy

Anil Ambani of Reliance CommunicationsReliance Communications said the company’s employee base was reduced to 3,400 from peak of 52,000 as part of the company strategy to become a B2B customers.

Businessman Anil Ambani promoted Reliance Communications had exited from B2C side of the telecom industry in January 2018 due to financial issues as a result of the hyper competition from Reliance Jio, Airtel, Idea Cellular and Vodafone India.

Reliance Communications company secretary Prakash Shenoy in a statement to stock exchanges that RCOM operational business is insulated from the hyper competition, mega Capex needs and financial stress of the wireless sector.

The annual revenue of the India wireless sector fell by 21 percent or by over Rs 26,000 crore due to the cellular tariff war.

RCOM, which made huge losses earlier, has transformed itself into a B2B player and is focused on the enterprise communications services and the growing data center space in India with over 35,000 B2B customers in India.

Its global submarine cable business in enterprise data across continents has over 300 enterprise and carrier customers worldwide. RCOM now serves only ~ 35,300 customers worldwide; earlier, the total no. of customers served was over 120 million including B2C customers.