Finally, after a long wait, DoT announced the guidelines for the auction of allotment of spectrum for 3G and WiMax in the country. While spectrum in 2.1 GHz band was allocated for 3G auction, 2.5GHz and 2.3GHz spectrum bands were identified for WiMax. These services are expected to rollout in mid-2009.
In the case of 3G, the successful bidders will be allotted the spectrum for 20 years. Up to 10 players will be allowed in the 3G space, which includes foreign players. Those holding a UASL (Universal Access Service License), and have previous experience of running 3G services can bid for the spectrum.
In the first year of operation, operators will be exempted from the annual spectrum charge of 1% of the Adjusted Gross Revenue. Meanwhile, rollout obligations include covering 90% of metro area's within 5 years from date of spectrum allocation.
Some of the guidelines for WiMax spectrum allocation are similar to 3G, such as allowing UASL holders to bid and exempting operators from the annual spectrum charge of 1% in the first year.
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