TRAI sticks to auctioning all spectrum in 700-MHz band

700-MHz band is a sought after band for wireless internet across the world due to its higher efficiency

GN Bureau | April 19, 2016


#telecome industry   #spectrum   #TRAI   #egov  
TRAI chairman RS Sharma
TRAI chairman RS Sharma

Telecom regulatory authority of India (TRAI) has recommended that entire spectrum in the 700-MHz band should be put to auction. Keeping in mind the growing consumer base for internet and the government’s ambitious Bharat Net programme (aims to provide broadband connectivity to all panchayats in the country) the regulatory body has recommended putting entire 700-MHz band on auction, despite the opposition from industry sector.

“The authority is of the opinion that entire spectrum in 700-MHz band is required to be made available for commercial use without any delay. Accordingly, the authority reiterates its earlier recommendation that entire available spectrum (2x35MHz) in the 700-MHz band should be put to auction in the upcoming auction,” TRAI said in its recommendation papers released on Monday.

Arguing that the environment is not yet ready to host an advance technology, the move has come against the telecom industry’s demand.
Earlier, director, cellular operators association of India (COAI), Rajan Mathews said in a statement, "It would be difficult for telecom players to absorb the high level of 700-MHz band pricing on pan-India basis, given their already stressed balance sheets," he said.

"For 700-MHz band, a pricing four times the reserve price of 1800-MHz is very ambitious, especially when the ecosystem is not fully developed; the potential benefits may need significant investment and lead time before being realised.”

700-MHz band is a sought after band for LTE deployment (wireless internet) across the world due to its efficiency and higher penetration inside buildings. Due to lower frequency, it provides wider coverage which reduces number of towers required for setting up the network, and thus significantly cuts down capital expenditure involved in the process.

In 42 countries commercial networks have been deployed in this band.

However, opposing the concerns of the industry, TRAI is of the view that “there will be an accelerated deployment of device eco-system due to ‘economies of scale’ that will be delivered on account of large subscriber base.”

“Presently, India is way behind in the broadband penetration and the internet speeds in the world and 700-MHz band can prove to be a vital band for proliferation of broadband in the country,” TRAI said in its statement.

The industry also said that putting 700 MHz band on auction would lead to non-utilisation of the spectrum.

TRAI, however, maintained that with “subscriber base has widened, traffic has increased manifold particularly the data traffic due to broadband wireless subscribers tripling in the past two years”, apart from “smartphone penetration and availability of relevant content, network speeds”, availability of adequate spectrum would only cater to the growing demand, hence enhancing users’ telecom experience.

The regulatory body further said that holding back the band would eventually lead to “non-utilization of this scarce natural resource for that period, though it has the potential to be reused and reallocated.”

Moreover, TRAI also suggested the department of telecommunications (DoT) to take strict action against telecom players over non-utilisation of spectrum.

Read full statement here


 

Comments

 

Other News

Lokayan 26: Indian naval ship sets sail from Livorno, Italy

The Indian Navy’s sail training ship, INS Sudarshini, set sail from Livorno, Italy, on Saturday on completion of a successful port call. During her stay, the ship participated in a series of professional interactions and cross-training visits, strengthening bonds of friendship and maritime partners

Global South: Health cooperation needs institutions to make solutions scalable

September 12 marks the International Day for South-South Cooperation, commemorating the 1978 Buenos Aires Plan of Action (BAPA). Forty-eight years later, its central proposition remains relevant: countries of the Global South can draw on their own knowledge, experience and innovations to address shared d

Reading the mind of Xi Jinping

As India prepares to host the 18th BRICS Summit this weekend, and as prime minister Narendra Modi is set to hold a bilateral meet with president Xi Jinping, China’s growing global influence and the changing dynamics of India-China relations will be under focus. But to understand where China is head

BRICS at 20: From economic weight to global influence

This year marks 20 years of BRICS, with India set to host the grouping’s leaders’ summit this weekend. The anniversary offers an opportune moment to assess BRICS’ growing importance at a time when the effectiveness of global governance and the credibility of multilateralism are under in

Former president Ram Nath Kovind on some of his unforgettable journeys

Triumph of the Indian Republic: My Life, My Struggles By Ram Nath Kovind Rupa Publications, 400 pages, Rs 795   All our presidents so far stand out, each for a different reason. Ram Nath Kovind, the 14th president of India, from 2017 t

Uday Kotak on history, Indian economy, growth and more

Pathbreakers: How 10 Visionary Leaders Transformed India by award-winning journalists  By Sucheta Dalal and Debashis Basu Rupa Publications, 304 pages, Rs 695  

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter