GSM mobile operators accept review panel's suggestions on spectrum

Mumbai: GSM mobile operators, who had earlier pulled out of the spectrum review committee alleging bias against them, have now dropped their opposition, saying the government's move to allot airwaves on the basis of the panel's report was the "best way forward" to resolve the logjam over spectrum.

The revised government policy will raise the minimum number of subscribers an operator needs to be eligible for additional spectrum by 2-6 times.

Analysts, however, say the GSM mobile operators have supported the stricter rules on spectrum allocation for fear of even more stringent regulations and to lift uncertainty hovering over spectrum allocation.

The government had decided to allocate additional spectrum to existing GSM operators on the basis of telecom regulator TRAI's formula.

The Cellular Operators Association of India (COAI), the association of GSM mobile phone operators, had shown its willingness to accept the decision after months of legal wrangling.

COAI, however, said TRAI's subscriber-linked criteria had serious flaws and the association continued to have various objections to these norms.

It said that all the applications of existing GSM players pending for initial or additional spectrum till date must be honoured as per their eligibility under the criteria that was prevalent at the time of putting in applications.

COAI also said it would continue to legally oppose the government's move to allow CDMA operators like Reliance Communications Ltd to provide services using GSM technology.

COAI represents operators like top mobile operators like Bharti Airtel Ltd, Vodafone Essar and Idea Cellular Ltd.

Forty-six new entrants have arrived at the GSM scene seeking licences to run mobile services in the country.