Indias top 3 mobile phone operators want govt to give spectrum used by CDMA services
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Indias top 3 mobile phone operators want govt to give spectrum used by CDMA services

  • 2012-11-25 09:45:53
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News / Telecom Indias top 3 mobile phone operators want govt to give spectrum used by CDMA services
Indias top 3 mobile phone companies - Bharti Airtel, Vodafone and idea Cellular have demanded allocation of a part of CDMA spectrum in 800 mhz band for GSM services. in a joint letter to telecommunication minister Kapil Sibal earlier in the week, the chiefs of of these companies have planned that they be allotted spectrum within the 800-900mhz band.

The 900 mhz band is presently being used by GSM players to offer 2G services however the govt has already said they will have to surrender spectrum during this frequency through reframing by mid next year and can then raise more spectrum in the much less efficient 1800 mhz band at market discovered costs.

If the govt will agree to this proposal, it may get willing participants in a re-auction it may hold for the 800 mhz band of spectrum. A high reserve value for CDMA spectrum deterred ev en telcos like Tata Teleservices which had lost licenses awarded by former telecom minister A Raja and needed to win back spectrum in a minimum of select circles.

The letter is signed by Bharti Airtel chief executive officer (India and South Asia) Sanjay Kapoor, idea Cellularmanaging director Himanshu Kapania and Vodafone India MD and chief executive officer marten Pieters. In their letter, the GSM telcos have sought a “reasonable” reserve value for any future auctions within the 800-900 mhz band. The 800 mhz spectrum was priced 1.3 times the 2G spectrum at Rs 18,200 crore for 5 mhz.

The CDMA spectrum provides additional coverage than 900 mhz band but business eco-system for CDMA business isn\'t well developed compared to GSM services.
Categories: Telecom

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