Why unsold 700 MHz spectrum will pinch consumers

Not a single telecom firm bid for 700 MHz spectrum

GN Bureau | October 7, 2016


#Mobile Phone Connectivity   #Telecom   #Spectrum   #3G  
Not a single telecom firm bid for 700 MHz spectrum
Not a single telecom firm bid for 700 MHz spectrum

Your mobile phone coverage would not have been patchy and you would have faced much fewer problems regarding mobile phone connectivity if the 700 MHz had been picked up by the telecom operators. But, that didn’t happen.

The government has described India’s largest spectrum sale which ended on Thursday as a success, with Rs65,789.12 crore being raised in revenue. The consumer, however, would have been better off if the lower end of the spectrum had been sold. It would have essentially put an end to mobile phone users desperately looking for better coverage areas so that they can carry on an unhindered conversation.

Read the COAI proposal for 700 MHz

The 700 MHz band is highly desired thanks to its electromagnetic properties. The frequencies in the band, between 698 and 806 MHz, travel farther and pass through walls and other obstacles much better than existing cell phone networks do, leading to a lower required number of cells to provide the same amount of coverage. In addition, because of the lower frequency, it would require less power to run a mobile phone/Internet cell on the 700 MHz band than on the other common bands, which are at higher frequencies, explains a survey paper.

For the industry, the band effectively cuts down capital expenditure involved in the process of erecting towers. The cost of delivering mobile services in the 700 MHz band is around 70 percent cheaper than in the 2,100 MHz band used for 3G services.

The steep price of 700 MHz proved to be a deterrent. It had a reserve or base price of Rs 11,485 crore per Mhz.

“May be the operators are not ready...it is not that the 700MHz is running away. If it was not sold this time, it will be sold next time. We will sell it. Despite 700 MHz remaining unsold, we are happy that the upfront payment we will get is the highest ever, in the last five years,” Communications minister Manoj Sinha told Hindu Business Line

Also read.

Comments

 

Other News

Listening to tomorrow: The imperative for youth-driven data in India

Over a decade and a half ago when I was still a student, millennials felt the burning need to break down the barriers of gatekeeping in traditional media. Young voices, brimming with ideas and opinions, were often sidelined, their perspectives deemed too marginal or unrefined for mainstream discourse. This

Israel-Palestine War: Lessons from Past Peace Efforts

Israel-Palestine War: Give Peace a Chance By Dr. Joseph K. Thomas IndiePress, 243 pages, Rs 399 T

How inner work helps subvert painful narratives

Unashamed By Neha Bhat HarperCollins, 240 pages, Rs 499   * How do I connect better with my partner? *&nbs

Heatwave spikes power demand: measures taken to ensure supply

The Northern Region has been experiencing high power demand conditions due to a prevailing heat wave since May 17. Despite these challenging conditions, the highest ever peak demand of 89 GW in the Northern Region was successfully met on June 17. This achievement was made possible by import

PM to release 17th installment of PM-KISAN at Varanasi on Tuesday

Prime minister Narendra Modi will release the 17th instalment of the PM-KISAN scheme on Tuesday at Varanasi and more than 9.26 crore farmers will receive the benefits amounting to over Rs.20,000 crore. The PM will also distribute the certificates to more than 30,000 SHGs trained as Krishi Sakhis to work as

Taming turbulence in Indian aviation

The booming Indian aviation industry, among the fastest growing sectors in the world, is projected to be valued at $40 billion by 2027. But, despite robust demand for air travel across the country, more than 50 airlines have closed down in the last decade in India and most private airlines have closed with

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