Vodafone Idea’s market share erosion will continue, says Goldman Sachs

Vodafone Idea Ltd (Vi) will continue losing market share, Goldman Sachs said on Tuesday, adding that it is unlikely that the telecom operator will increase investments in network as cash flows are expected to be negative even if its liability towards the government is lowered.

Comments by the American investment bank come after Vi, on 8 January, moved the Supreme Court seeking recalculation and modification of adjusted gross revenue (AGR) dues demanded by the department of telecommunications (DoT).

According to DoT, Vi owes ₹58,254 crore in AGR dues, including principal, interest, penalty, and interest on penalty. However, according to the telco’s self-assessment, it owes the government ₹21,533 crore. Vi has so far paid ₹7,854 crore.