Bogged down by spiralling costs and shrinking margins, the leading service provider Aircel is learnt to have decided to trim down operations in five circles-MP, Punjab, Haryana, Rajasthan and Gujarat.

The exercise will begin in Madhya Pradesh where the company has conveyed to the distributors that their services were required as it is looking to new business model to overcome costs.

The company’s decision to move to revamp its business model will impact its workforce with the reports suggesting that it will cut some 600 jobs.

In 2006, Aircel was acquired by Malaysia’s biggest integrated communications service provider Maxis (Maxis Communication Berhard) and is a joint venture with Sindya Securities & Investments Pvt Ltd, Maxis holds 74% equity in the company. Aircel has about 66 million customers and a pan-India 2G presence.