Wednesday, December 23, 2015

Reliance Jio differs with Airtel, Vodafone and Idea on spectrum cap, reserve price of airwaves

Reliance Jio Infocomm has disagreed with GSM telcos Bharti Airtel, Vodafone and Idea on spectrum limits for operators and the reserve price of airwaves to be auctioned, although it concurs that bandwidth for high-speed mobile broadband services shouldn't be offered for sale any time soon. Mukesh Ambani-controlled Jio, in a submission to the Telecom Regulatory Authority of India (Trai), said the government must abolish the cap on the amount of airwaves an operator can hold in a band, while retaining the overall limit of 25% in a circle. Responding to the regulator's consultation paper on valuation of the reserve price of airwaves in various bands, the company said, "Since the auctioned spectrum is technology neutral, intra-band spectrum caps have become redundant." Jio said band caps can constrain service providers and they are forced to opt for multiple bands. This takes away the benefits of a higher quantum of spectrum for mobile broadband services in terms of enhanced spectral efficiencies. However, other members of the Cellular Operators Association of India (COAI) including Airtel, Vodafone and Idea, suggested that the cap within a band should be retained at 50% and sought an increase in the overall cap in a circle from the current 25%.

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