The new entrant in the Karnataka telecom circle, Aircel, has revealed plans to put $220 million into its second phase of expansion in the state.

The Chennai telco has formally stepped into Karnataka as the ninth telecom operator in the IT capital with the launch of GSM services in Bangalore. Now, it plans to install a further 1,200 base stations across the southern state.

Speaking at the launch, Aircel chief operating officer Gurdeep Singh stated that the company has already invested $110 million in Bangalore with its 500 base stations in and around Bangalore.

Aircel has been present in circles like Tamil Nadu, Himachal Pradesh, West Bengal, Jammu & Kashmir, Bihar, Orissa, Assam and Kerala.

The telco has a national user base of 16 million, mostly in Tamil Nadu.
 
It eyes further expansion as the services are likely be launched in Hyderabad in a couple of weeks, followed by launches in metros like New Delhi and Mumbai in September 2009. Some parts of Uttar Pradesh are also likely to witness the launch at around the same time.

 Aircel has recently announced an investment of $100 million to expand in Kerala. Singh feels that Bangalore holds great potential, with a penetration rate of over 75 per cent. 

Aircel expects to generate over $1 billion from the 18 circles it operates in. The target is up from $600 million in 2008. X

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