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Thursday, September 28th, 2006

TRAI submits recommendations on 3G pricing, allocation

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The Telecom Regulatory Authority of India or TRAI, has submitted its recommendations on pricing and allocation, reports CNBC-TV18.

In the immediate term, a total spectrum of 32.5 megahertz for immediate allocation will be available in 1.2 gigahertz, 450 and 800 mega hertz. TRAI Chairman, Nripendra Mishra also said that the services should be priced.

The recommendations on broadband wireless and spectrum management have been included. It also says that there would be base and auction price to allocate 3G spectrum.

“Our second reccomendation is that 3G is a standalone service, and cannot be considered an extension of 2G, and it should be priced,” said Nripendra Misra, Chairman, TRAI.

Earlier today, Telecom Minister, Dayanidhi Maran said the government aims to launch 3G services by mid next year.

‘The proces of introducing 3G services already initiated in India and it is expected that we should launch 3G services by the second half of 2007,’ said Dayanidhi Maran, Minister, IT and Communication.

According to the recommendation, The spectrum will enable to reach 500 million subscribers by 2010. The spectrum for immediate allocation would be in 450 MHz, 800 MHz and 2.1 GHz.

The board will have the final say and will determine the road map for the future. The recommendation also says that the auction would not be a process of eliminating existing players. CDMA operators will have the option to choose spectrum allocation first.

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