wordpress blog stats
Connect with us

Hi, what are you looking for?

Implications Of Cancellation Of 122 2G Telecom Licenses In India & What Happens Next

122 2G licenses issued to nine telecom operators by the UPA government in January 2008 have cancelled by India's Supreme Court. These licenses were issued by former Telecom Minister A. Raja, under an unusual first-come-first-serve policy, with an arbitrary cut-off date set. In addition, penalties have been imposed on telecom operators. According to The Hindu, Swan Telecom, Unitech Wireless and Tatas have to deposit Rs five crore each as penalty, while Loop Telecom and Shyam Sistem have to deposit a penalty of Rs 50 lakh. Their licenses are valid for four more months, and the Telecom regulator TRAI will have to suggest a means by which these players will either be able to exit through mergers and/or acquisition, or pay an additional fee to retain licenses. More on the judgement at NDTV. Given that there are third party rights involved, with many of these companies (especially Tata Docomo, Idea Celullar, Shyam Sistema and Uninor) already have a significant customer base. Our Take On What Happens Next & What This Means For Telecom In India - Impact on Incumbent Players: Incumbent players will benefit most, but those incumbents whose licenses have been cancelled will most likely pay more and retain their stake. Tata Teleservices (specifically Tata Docomo) and Idea Cellular are likely to participate in the auctions or repurchase to retain their licenses. Remember that Tata Teleservices put most of its eggs in the GSM basket (Tata Docomo) and scaled down their CDMA operations. The companies that benefit most from this…

Please subscribe/login to read the full story.
Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

Free Reads

News

Telecom companies are against a regulatory sandbox, as they think information revealed by businesses during the sandboxing process might be confidential should be out...

News

According to a statement, the executive body of the European Union had also sought internal documents on the risk assessments and mitigation measures for...

News

The newly launched partially open-sourced LLM Grok-1 can be commercially used but not trademarked.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

NPCI CEO Dilip Asbe recently said that what is not written in regulations is a no-go for fintech entities. But following this advice could...

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ