What is the pricing issue in India? for 3g
by gowtham[ Edit ] 2010-02-04 09:42:03
While Tatas have welcomed Trai's Rs 1,400-crore (Rs 14 billion) base price for a nationwide rollout of 3G services, the rest of the players find the price too exorbitant.
Bharti-Airtel is disappointed with the pricing as they were expecting it to be Rs 300-400 crore (Rs 3-4 billion). The reserve price is a disincentive for telecom companies in India. Bharti has appealed to lower the prices specially for rural penetration.
The Cellular Operators Association of India and the Association of Unified Service Providers of India are studying TRAI's recommendations and have not given their comments.
However, Trai chairman Nripendra Misra has said that there is no reason to worry as players will not bid exorbitantly and derail the auction. Misra said telecom operators had matured from their experiences and global developments, and would bid sincerely.