While the investment figures are not available, apart from internal accrualsthe company is considering offering part of its equity to an investor or apublic float by the end of this year.

Spice, which offers cellular services in Karnataka, Punjab and soon inCalcutta is drawing up an investment plan to focus on two main segments -- -cellular business (expansion and strengthening of network) and the wirelessInternet business (to offer access and other value added services). Therollout of services is expected to commence shortly.

Spice has also put in place a business model that would actively look atforming strategic alliances and perhaps acquisitions in keeping with itsgrowth plans (see box). Speaking on the planned initiatives, the company'snewly appointed CEO (Karnataka) Bruce Hicks told eFE that the company wasplanning to launch a slew of lifestyle-based information and entertainmentservices both on a local and national level. The focus of the strategy aspart of the company's thrust on wireless Internet services would focus onproviding access to the services using wireless technologies like WAP, otheraudio-based technologies and palm-top access services, Hicks said.

Spice was also looking at leveraging the rapidly growing rural segment byproviding services like mobile banking, commodity information services, ASPservices, etc, he added. The company would also heavily invest in improvingand setting up infrastructure in rural areas, he said.

Incidentally Spice cellular services are available across 400 villages inKarnataka.``We are looking at building Spice into a leading player in thewireless Internet segment. The strategy is to promote the Internet accesspenetration in Asia through wireless access devices and services,'' Hickssaid.

On the regular cellular services front, Spice is looking at significantcustomer acquisitions by year-end. ``We currently hold about 60 per cent ofthe market share in Karnataka with over 80,000 users across 37 cities in thestate and close to 5000 new customers are added on every month,'' he said.With Calcutta being integrated under the Spice umbrella, the company waslooking at leveraging the integration of operations benefits from the threecircles, he added. The 1250 kms long OFC (optic fiber cable) backbone wouldalso be lengthened substantially forming a strong network backbone, Hickssaid.

Eyes strategic pacts, acquisitions for wireless Net segment SpiceCommunications is looking at forming strategic alliances and strategicacquisitions as part of its focus on the wireless Internet segment. Hickssaid Spice was looking at being technology enablers and alliances would beformed with content providers, ASPs, m-commerce and wireless applicationservice providers. The company also plans to look at certain acquisitionsthat would fit with their consolidation plans by year-end, Hicks said. Asfor incubation plans, Spice is evaluating an incubation model that willconsider projects on a case-to-case basis.