State-run telecom companies Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone
Nigam Ltd (MTNL) will both get precious spectrum almost free of coast if they
adopt both GSM and CDMA technologies.
government also approved the increase in subscriber base, recommended by the Telecom
Regulatory Authority of India (TRAI), as the basis for further allocation of spectrum.
private players will have to pay Rs1,660 crore to offer mobile services on dual
technologies like GSM and CDMA, the decision would also hit the existing GSM players
like Bharti, Vodafone Essar and Idea badly.
the government would consider stream-wise revenue of different technologies for
revenue share calculation. The state-run operators would have to pay revenue shares
depending on the alternate technology format - GSM or CDMA - they use.
department of telecom (DoT), meanwhile, has set up a committee in the Telecom
Engineering Centre (TEC) to "further" study and submit a report.
to DoT, there would also be no cap on the number of players in each circle. This,
it said, would ensure rapid expansion of telecom services both in urban and rural
areas while providing equal opportunities and level-playing field to all players.
This would make
it difficult for existing GSM players to get additional spectrum for further expansion
as the DoT has raised the subscriber base nearly five times.
a CDMA player will have to pay about Rs1,660 crore for offering GSM services throughout
the country to get 4.4 MHz of spectrum, sources pointed out.
the PSUs were recently allocated additional spectrum - BSNL about 10 MHz in 16
circles and MTNL 8 MHz in its Mumbai, Delhi circles - after DoT decided to convert
the trial spectrum allocated to them for commercial use.
Cellular Operators Association Of India (COAI) had, meanwhile, served a legal
notice on DoT for delay in allocating additional spectrum and had opposed the
TRAI criteria for additional spectrum allocation.