Friday, January 11, 2008

Reliance Comm To Get GSM Spectrum

In a development that could bring peace to the turbulent telecom sector, the government on Jan 10y decided to allocate spectrum to existing GSM players such as Idea Cellular and also to rival CDMA player Reliance Communications for launching mobile services. The new entrants, on the basis of eligibility and the priority of application, would be considered thereafter, according to a direction given by Communications Minister A Raja to his ministry officials. Among existing GSM players, Aircel, Idea Cellular and Vodafone-Essar would be getting the start-up frequency of 4.4 MHz for some circles at the existing price based on Rs 1,651 crore for nationwide spectrum. These companies have been waiting for spectrum to start GSM mobile services in some of the circles to cover the remaining areas in the country.

Besides them, Anil Ambani-led RCom that currently offers CDMA-based services, would also get GSM spectrum under the government''s decision of October 19 last year to allow companies to launch operations with both the technologies. The GSM operators have challenged the dual technology decision in telecom tribunal TDSAT and also in Delhi High Court but haven''t been able to get a reprieve.

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