The real answer to why Ratan Tata is proposing change in 2G spectrum allocation is because Airtel plans to launch Mobile TV and other 3G applications on existing networks. The GSM operators are in a bliss with easy availability of equipment to run 3G services on 2G and 2.5G networks. The Tata group which powers their network by means of Qualcomm’s CDMA technology way will not be able to do so because CDMA operators have been prevented from deploying EV-DO, another 3G technology, in their current spectrum band.
As expected, COAI and IT Minister, Mr. Maran have reacted to Ratan Tata’s letter on 2G pricing.COAI in a release said,
Such a proposal seeks to cause grievous harm to the sector and severely impact the efforts of the industry to meet the aggressive telecom objectives that have been laid down by the government.
Mr. Maran expressed his displeasure over Tata’s letter,
We fail to understand the need for a new pricing approach when there is already a clear, well defined 2G spectrum allotment policy in place. We submit that TTSL’s submissions reflect an inadequate understanding of the ground realities of spectrum availability and management and seek only to meet their limited vested interests
The CDMA operators need to tolerate as they have entered the market with big concessions on license fees and also not to forget the Fixed Wireless Phone concept which they first introduced while GSM operators kept quite.
Tags: 3G India , Mobile India, 3G CDMA , Spectrum