'Between the store costs and expenses, such as facilities, the total capital required will be hundreds of millions of dollars,' says Faisal al-Banna, chief executive officer and co-founder of Axiom.

Future Group will also contribute several hundred million dollars towards building up the retail operation.

The joint venture, which will trade under the name Axiom Telecom India, will start with about 100 outlets that were originally owned by Future Group.

If the Indian joint venture is successful, it will turn Axiom into one of the world's largest sellers of mobile phones.

'The biggest challenge is not getting the capital, it is getting good talent and the best locations in India,'

says Al-Banna.

Axiom is already the market leader in the UAE, where it claims to sell 40-55 per cent of all mobile phones, and Saudi Arabia, where it says its market share is 45 per cent.

The retailer's other key Middle East market is Egypt, where it opened its first store in May. Al-Banna says Axiom will open 50-100 stores in the country over the next two years.

Axiom opened its first shop in Kuwait in August. It plans to have 20 in the country.

In December 2005, Axiom sold 40 per cent of its equity to Dubai Holding.

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