SAR Televenture has agreed with Vodafone Idea to set up 5,000 additional 4G small cell sites, with the installations planned to begin in the first quarter of 2025, showcasing the telco's rapid efforts to enhance its offerings.

 

The deal is part of Vi’s larger network expansion plan, “for which they have started locking-in vendors”, SAR managing director Rahul Sahdev told ET. “We are aiming for a deeper partnership with Vi as there is no operational hitch after the company concluded fundraising recently.”

 

SAR, a newcomer in the telecom tower industry, intends to spend Rs 42.5 crore to build 1,000 new towers in order to increase tenancies from Vi and Bharat Sanchar Nigam Ltd, as both companies will be expanding their networks significantly, according to the statement.

 

According to Vi's official submission, the company plans to create 26,000 additional 4G sites, enhance the capacity of current 40,800 4G sites, and build 22,000 new 5G sites within the next two years. It was stated that the total cost of establishing a 4G site is Rs 14.5 lakh, with Rs 13 lakh allocated for equipment and the remaining amount for services.

 

Sahdev said micro sites are a relatively greenfield opportunity in India as large tower companies such as Indus Towers and Brookfield's ATC deploy macro sites for coverage up to 10 kilometres. "Small cells are a low-investment business which gives coverage up to 9 meters, and starts giving return on investment within 24 months even with single tenancy," he explained.