Sunil Mittal
Encyclopedia
Sunil Bharti Mittal Punjabi
: ਸੁਨੀਲ ਭਾਰਤੀ ਮਿੱਤਲ, born 23 October 1957) is an Indian telecom mogul
, philanthropist
and the founder, chairman and Group CEO of Bharti Enterprises
. The US$8.3 billion turnover company runs India's largest GSM-based mobile phone
service and world's fifth largest wireless company with over 190 million customers across 19 countries in Asia and Africa. He is the son of Sat Paul (former MP) and Lalita.
In 2007, he was awarded the Padma Bhushan
, India's third highest civilian honor.
, India. His father, Sat Pal Mittal, had been the Member of Parliament (M.P) from Ludhiana. He first joined the Wynberg Allen School in Mussoorie
, but later attended Scindia School
at Gwalior and he graduated in 1976 from Punjab University, Chandigarh, with a Bachelor of Arts and Science for which he studied in Arya College for Boys, a local college in Ludhiana. His father died of cardiac arrest in 1992.
In 1980, he along with his brothers Rakesh, Rajan started an Import Enterprise named Bharti Overseas Trading Corporation. He sold his bicycle parts and yarn factories and moved to Mumbai
.
In 1981, he purchased importing licences from exporting companies in Punjab. He then imported thousands of Suzuki Motors's portable electric-power generators from Japan
. The importing of generators was suddenly banned by the then Indian Government and just two licences to manufacture generators in India were issued to two companies.
In 1984, he started assembling push-button phones in India, which he earlier used to import from a Taiwan company, Kingtel, replacing the old fashioned, bulky rotary phones
that were in use in the country then. Bharti Telecom Limited (BTL) was incorporated and entered into a technical tie up with Siemens AG of Germany for manufacture of electronic push button phones. By the early 1990s, Mittal was making fax machines, cordless phones and other telecom gear. Mittal says, "In 1983, the government imposed a ban on the import of gensets. I was out of business overnight. Everything I was doing came to a screeching halt. I was in trouble. The question then was: what should I do next? Then, opportunity came calling. While in Taiwan
, I noticed the popularity of the push-button phone -- something which India hadn't seen then. We were still using those rotary dials with no speed dials or redials. I sensed my chance and embraced the telecom business. I started marketing telephones, answering/fax machines under the brand name Beetel and the company picked up really fast.". He named his first push-button phones as 'Mitbro'.
In 1992, he successfully bid for one of the four mobile phone network licences auctioned in India. One of the conditions for the Delhi cellular license was that the bidder have some experience as a telecom operator. So, Mittal clinched a deal with the French telecom group Vivendi
.
He was one of the first Indian entrepreneur
s to identify the mobile telecom business as a major growth area. His plans were finally approved by the Government in 1994 and he launched services in Delhi
in 1995, when Bharti Cellular Limited (BCL) was formed to offer cellular services under the brand name AirTel. Within a few years Bharti became the first telecom company to cross the 2-million mobile subscriber mark. Bharti also brought down the STD/ISD cellular rates in India under brand name 'Indiaone'. IndiaOne was India’s first private national as well as the international long-distance service provider, and, thus, became a major factor in Bharti's success by providing services cheaply.
In November 2006, he struck a joint venture deal with Wal-Mart
, the US retail giant, to start a number of retail stores across India.
In July 2006, he attracted many key executives from Reliance ADAG
, NIS Sparta and created Bharti Comtel.
In May 2008, it emerged that Sunil Bharti Mittal was exploring the possibility of buying the MTN Group, a South Africa
-based telecommunications company with coverage in 21 countries in Africa
and the Middle East
. The Financial Times reported that Bharti was considering offering US$45 billion for a 100% stake in MTN, which would be the largest overseas acquisition ever by an Indian firm. However, both sides emphasize the tentative nature of the talks, while The Economist
magazine noted, "If anything, Bharti would be marrying up," as MTN has more subscribers, higher revenues and broader geographic coverage.
However, the talks fell apart as MTN group tried to reverse the negotiations by making Bharti almost a subsidiary of the new company.
In May 2009, Bharti Airtel again confirmed that it was in talks with MTN and the companies agreed to discuss the potential transaction exclusively by 31 July 2009. Bharti Airtel said in a statement "Bharti Airtel Ltd. is pleased to announce that it has renewed its effort for a significant partnership with MTN Group".
Talks eventually ended without agreement, some sources stating that this was due to opposition from the South African government.
. The foundation has established over 200 schools on its 2009 list of the world's top 25 philanthropists.
Punjabi language
Punjabi is an Indo-Aryan language spoken by inhabitants of the historical Punjab region . For Sikhs, the Punjabi language stands as the official language in which all ceremonies take place. In Pakistan, Punjabi is the most widely spoken language...
: ਸੁਨੀਲ ਭਾਰਤੀ ਮਿੱਤਲ, born 23 October 1957) is an Indian telecom mogul
Business magnate
A business magnate, sometimes referred to as a capitalist, czar, mogul, tycoon, baron, oligarch, or industrialist, is an informal term used to refer to an entrepreneur who has reached prominence and derived a notable amount of wealth from a particular industry .-Etymology:The word magnate itself...
, philanthropist
Philanthropist
A philanthropist is someone who engages in philanthropy; that is, someone who donates his or her time, money, and/or reputation to charitable causes...
and the founder, chairman and Group CEO of Bharti Enterprises
Bharti Enterprises
Bharti Enterprises is an Indian business conglomerate headquartered in New Delhi, India, operating primarily across India and in some other countries like Sri Lanka, Bangladesh, Jersey, Guernsey and Seychelles with expanding operations across Africa in Burkina Faso, Chad, Congo Brazzaville,...
. The US$8.3 billion turnover company runs India's largest GSM-based mobile phone
Mobile phone
A mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...
service and world's fifth largest wireless company with over 190 million customers across 19 countries in Asia and Africa. He is the son of Sat Paul (former MP) and Lalita.
In 2007, he was awarded the Padma Bhushan
Padma Bhushan
The Padma Bhushan is the third highest civilian award in the Republic of India, after the Bharat Ratna and the Padma Vibhushan, but comes before the Padma Shri. It is awarded by the Government of India.-History:...
, India's third highest civilian honor.
Early life
Sunil Mittal was born in Ludhiana, PunjabPunjab (India)
Punjab ) is a state in the northwest of the Republic of India, forming part of the larger Punjab region. The state is bordered by the Indian states of Himachal Pradesh to the east, Haryana to the south and southeast and Rajasthan to the southwest as well as the Pakistani province of Punjab to the...
, India. His father, Sat Pal Mittal, had been the Member of Parliament (M.P) from Ludhiana. He first joined the Wynberg Allen School in Mussoorie
Mussoorie
Mussoorie is a city and a municipal board in the Dehradun District of the northern Indian state of Uttarakhand. It is located about 35 km from the state capital of Dehradun and 290 km north from the national capital of New Delhi...
, but later attended Scindia School
Scindia School
The Scindia School is Indian boarding school for boys, established in 1897, and situated in a historic fortress known as Gwalior Fort, in the city of Gwalior, India...
at Gwalior and he graduated in 1976 from Punjab University, Chandigarh, with a Bachelor of Arts and Science for which he studied in Arya College for Boys, a local college in Ludhiana. His father died of cardiac arrest in 1992.
Entrepreneurial ventures
A first generation entrepreneur, Mittal started his first business in April 1976 at the age of 18, with a capital investment of borrowed from his father. His first business was to make crankshafts for local bicycle manufacturers.In 1980, he along with his brothers Rakesh, Rajan started an Import Enterprise named Bharti Overseas Trading Corporation. He sold his bicycle parts and yarn factories and moved to Mumbai
Mumbai
Mumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
.
In 1981, he purchased importing licences from exporting companies in Punjab. He then imported thousands of Suzuki Motors's portable electric-power generators from Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
. The importing of generators was suddenly banned by the then Indian Government and just two licences to manufacture generators in India were issued to two companies.
In 1984, he started assembling push-button phones in India, which he earlier used to import from a Taiwan company, Kingtel, replacing the old fashioned, bulky rotary phones
Rotary dial
The rotary dial is a device mounted on or in a telephone or switchboard that is designed to send electrical pulses, known as pulse dialing, corresponding to the number dialed. The early form of the rotary dial used lugs on a finger plate instead of holes. Almon Brown Strowger filed the first patent...
that were in use in the country then. Bharti Telecom Limited (BTL) was incorporated and entered into a technical tie up with Siemens AG of Germany for manufacture of electronic push button phones. By the early 1990s, Mittal was making fax machines, cordless phones and other telecom gear. Mittal says, "In 1983, the government imposed a ban on the import of gensets. I was out of business overnight. Everything I was doing came to a screeching halt. I was in trouble. The question then was: what should I do next? Then, opportunity came calling. While in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
, I noticed the popularity of the push-button phone -- something which India hadn't seen then. We were still using those rotary dials with no speed dials or redials. I sensed my chance and embraced the telecom business. I started marketing telephones, answering/fax machines under the brand name Beetel and the company picked up really fast.". He named his first push-button phones as 'Mitbro'.
In 1992, he successfully bid for one of the four mobile phone network licences auctioned in India. One of the conditions for the Delhi cellular license was that the bidder have some experience as a telecom operator. So, Mittal clinched a deal with the French telecom group Vivendi
Vivendi
Vivendi SA is a French international media conglomerate with activities in music, television and film, publishing, telecommunications, the Internet, and video games. It is headquartered in Paris.- History :...
.
He was one of the first Indian entrepreneur
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...
s to identify the mobile telecom business as a major growth area. His plans were finally approved by the Government in 1994 and he launched services in Delhi
Delhi
Delhi , officially National Capital Territory of Delhi , is the largest metropolis by area and the second-largest by population in India, next to Mumbai. It is the eighth largest metropolis in the world by population with 16,753,265 inhabitants in the Territory at the 2011 Census...
in 1995, when Bharti Cellular Limited (BCL) was formed to offer cellular services under the brand name AirTel. Within a few years Bharti became the first telecom company to cross the 2-million mobile subscriber mark. Bharti also brought down the STD/ISD cellular rates in India under brand name 'Indiaone'. IndiaOne was India’s first private national as well as the international long-distance service provider, and, thus, became a major factor in Bharti's success by providing services cheaply.
In November 2006, he struck a joint venture deal with Wal-Mart
Wal-Mart
Wal-Mart Stores, Inc. , branded as Walmart since 2008 and Wal-Mart before then, is an American public multinational corporation that runs chains of large discount department stores and warehouse stores. The company is the world's 18th largest public corporation, according to the Forbes Global 2000...
, the US retail giant, to start a number of retail stores across India.
In July 2006, he attracted many key executives from Reliance ADAG
Reliance Anil Dhirubhai Ambani Group
Reliance Anil Dhirubhai Ambani Group is one of India's largest conglomerates, headquartered in Navi Mumbai, India. The company, which was formed after Dhirubhai Ambani's business empire was divided up, is headed by his younger son Anil Ambani. It has a market capitalization of US$ 15 billion,...
, NIS Sparta and created Bharti Comtel.
In May 2008, it emerged that Sunil Bharti Mittal was exploring the possibility of buying the MTN Group, a South Africa
South Africa
The Republic of South Africa is a country in southern Africa. Located at the southern tip of Africa, it is divided into nine provinces, with of coastline on the Atlantic and Indian oceans...
-based telecommunications company with coverage in 21 countries in Africa
Africa
Africa is the world's second largest and second most populous continent, after Asia. At about 30.2 million km² including adjacent islands, it covers 6% of the Earth's total surface area and 20.4% of the total land area...
and the Middle East
Middle East
The Middle East is a region that encompasses Western Asia and Northern Africa. It is often used as a synonym for Near East, in opposition to Far East...
. The Financial Times reported that Bharti was considering offering US$45 billion for a 100% stake in MTN, which would be the largest overseas acquisition ever by an Indian firm. However, both sides emphasize the tentative nature of the talks, while The Economist
The Economist
The Economist is an English-language weekly news and international affairs publication owned by The Economist Newspaper Ltd. and edited in offices in the City of Westminster, London, England. Continuous publication began under founder James Wilson in September 1843...
magazine noted, "If anything, Bharti would be marrying up," as MTN has more subscribers, higher revenues and broader geographic coverage.
However, the talks fell apart as MTN group tried to reverse the negotiations by making Bharti almost a subsidiary of the new company.
In May 2009, Bharti Airtel again confirmed that it was in talks with MTN and the companies agreed to discuss the potential transaction exclusively by 31 July 2009. Bharti Airtel said in a statement "Bharti Airtel Ltd. is pleased to announce that it has renewed its effort for a significant partnership with MTN Group".
Talks eventually ended without agreement, some sources stating that this was due to opposition from the South African government.
Personal life
Mittal resides in Delhi. He is married and has three children.Awards and Recognition
- Transforming India Leader, NDTV Business Leader Awards 2008.
- GSMA Chairman's Award 2008.
- Padma Bhushan in 2007, from the President of India.
- Asia Businessman of the Year, Fortune Magazine 2006.
- Telecom Person of the Year, Voice & Data, 2006.
- CEO of the year 2005, at the Frost and Sullivan Asia Pacific ICT awards 2006.
- Best Asian Telecom CEO, Telecom Asia Awards 2005.
- Best CEO, India, Institutional Investor, 2005.
- Business Leader Of The Year, Economic Times, 2005.
- INSEAD Business Leader Award 2011
Philanthropy
Mittal has also been working towards educating India through the Bharti FoundationBharti Foundation
Bharti Foundation is the philanthropic arm of Bharti Enterprises, one of India’s leading business groups. The Foundation was established in 2000 with a vision to help underprivileged children and young people realize their potential...
. The foundation has established over 200 schools on its 2009 list of the world's top 25 philanthropists.
External links
- Profile at Bharti EnterprisesBharti EnterprisesBharti Enterprises is an Indian business conglomerate headquartered in New Delhi, India, operating primarily across India and in some other countries like Sri Lanka, Bangladesh, Jersey, Guernsey and Seychelles with expanding operations across Africa in Burkina Faso, Chad, Congo Brazzaville,...
- Profile at ForbesForbesForbes is an American publishing and media company. Its flagship publication, the Forbes magazine, is published biweekly. Its primary competitors in the national business magazine category are Fortune, which is also published biweekly, and Business Week...
- Sunil Mittal collected news and commentary at The Times of IndiaThe Times of IndiaThe Times of India is an Indian English-language daily newspaper. TOI has the largest circulation among all English-language newspaper in the world, across all formats . It is owned and managed by Bennett, Coleman & Co. Ltd...
- Sunil Mittal Profile and Photographs