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

Revisiting anti-Sikh violence of 1984

Remembering the Past: Critical Perspectives on the Anti-Sikh Violence of 1984 Edited by Ishmeet Kaur Chaudhry, with a Foreword by Amritjit Singh Orient BlackSwan, pages, Rs 1,285

`Vande Mataram showed India the way to self-reliance`

`Vande Mataram` showed India the way to self-reliance. "It became a mantra to challenge external companies, which also expanded the mantra of independence towards the mantra of Swadeshi,” prime minister Narendra Modi said in the Lok Sabha on Monday, as he initiated a debate on the occasion of th

“All success is 99 percent luck, and 1 percent bloody good luck”

From Topaz in the 1970s to Supermax through 2023, RK Malhotra was the man behind one of India`s top razor blade brands. His unusual story is now told in ‘Ace of Blades: The Life Story of the Blade King of India’ (Jaico Publishing House). This is an account of a man whose obsession with the

India-Russia ties: Anchored in trust, deep mutual understanding

Unlike the US and the West, Russia does not have a relationship with India merely based on transactional exchange of goods or commodities. Instead, it is based on deep mutual understanding and trust, which have helped the two countries in navigating ups and downs of international geopolitics for decades.

Centre accelerates railway upgrades across Maharashtra

The union government has reiterated its commitment to the development and expansion of the railway network in Maharashtra. Responding to a question in the Rajya Sabha on Friday, railways minister Ashwini Vaishnaw highlighted the significant progress achieved in recent years through enhanced budgetary suppo

On Ukraine, Modi tells Putin India stands for peace

India stands for peace from the beginning when it comes to Ukraine, prime minister Narendra Modi said here Friday, as he welcomed Russian president Vladimir Putin. "We welcome all efforts being made for a peaceful and sustainable resolution of this subject. India has always been ready to contribute

Visionary Talk: Amitabh Gupta, Pune Police Commissioner with Kailashnath Adhikari, MD, Governance Now





Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter