After GSM, it’s turn of CDMA
SHASHWAT GUPTA RAY
Friday, May 28, 2010 AT 11:11 AM (IST)
PUNE: Following the auction of spectrum for GSM mobile service providers, government of India is likely to undertake a similar exercise for releasing spectrum to CDMA service providers.
Recently, the country witnessed first 3G spectrum auction for GSM service providers. The availability of spectrum will enable mobile operators to provide new services like TV on mobile, games, and music, while also improving voice quality and reducing call drops.
“Currently, we are offering second generation (2G) services, which are on par with 3G service. But like GSM operators, we too are looking at further upgrading our services, for which we have to migrate to next generation technology, which is 3G. We are in talks with the government. We expect that a similar auction of spectrum for CDMA operators will happen in next six months to one year,” Deputy Chief Executive Officer, Sistema Shyam Tele Services Limited (SSTL) T Narasimhan told Sakal Times.
SSTL, a joint venture between Sistema of Russia and the Shyam Group of India owns the CDMA mobile telephony brand MTS.
The government has earned Rs 67,719 crore as its share of the revenue from the spectrum bid. In all, 71 3G slots were allocated over 22 telecom divisions in the country. However, Narasimhan said that for CDMA spectrum auction, the government may not earn such high amount.
“The CDMA players are much lesser in number than GSM players, the number of bidders will be very less. This in turn may result in lesser revenues for the government. However, everything depends upon the spectrum available. We will go for very high speed services up to 7 mbps,” he said.
The availability of more spectrum for CDMA players not only means enhanced services, but also saving more capital expenditure.
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