3G Auction – Videocon + S Tel Not Serious Contenders

The DoT has released the list of qualified bidders along with the eligible points. As per section 4.2.4 of the section inviting applications for 3G and BWA Spectrum Auction Document, every bidder had to submit Earnest Money Deposit [EMD] in the telecom circles they are interested in for 3G / BWA spectrum. The Initial Eligibility points corresponding to the EMD will permit the Applicant to participate in the auction in those specified circles only. According to the list, the Maximum EMD to participate in all Circles for 3G Spectrum is INR 505 Cr and for that of BWA is INR 252.5 Cr.

  • 3G Spectrum Bids – Bharti Airtel, Aircel, Vodafone, Reliance Communications, Idea Cellular and Tata Teleservices will bid in all telecom circles. Etisalat DB is likely to exclude some circles but throw its hat in most of them [Etisalat may join hands with Reliance once the Auction is over] Videocon Mobile and S Tel will bid in just couple of circles as their initial eligibility points are too low. With spectrum available for 3 or 4 players, the bidding may not be extremely aggressive except for 4 circles as we now have just 6 / 7 serious contenders. [Will shortly publish a Spreadsheet on the Demand and Possible price of Winning Bid for 3G Spectrum across all circles in India]
  • BWA Spectrum Bids – There is tremendous demand as 8 of the 11 applicants have decided to bid for PAN India Broadband Wireless Spectrum. Augere, Spice Internet and Tikona are bidding selectively. With Spectrum Available for just 2 operators [ one reserved for BSNL backdoor], bidding may get hot in several circles as their are at least 6 serious contenders.

Stay tuned for the spreadsheet on Demand Vs Possible Bids.