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Activity Level Raised As BWA Auction Loses Steam On Day 8; Price Increase Per Round Down To Rs. 66.11 Cr

The pan-India price for Broadband Wireless Access spectrum has gone beyond our guess of Rs. 8375.33 crore (around 379% higher than base price), to close at Rs. Rs. 8604.14 crore (391.67%) higher than the base auction price of Rs. 1750 crore, and the end of 62 clock rounds of bidding. But what is telling is that the rate of increase in price, even in absolute terms, is declining. Now a day-to-day comparison for the BWA auction, though valid, isn't an accurate enough indicator of how the auction has been proceeding, since some days have witnessed 5 rounds of bidding, and some 6, 8 or even 10 rounds. We looked at the average increase per round on a day to get a better sense of trends, and it is apparent that there was a significant decline in the increase in base price per round on Day 8 - the lowest yet. Therefore, the auctioneer has raised the minimum activity requirement to 90%, starting round 65. Expect price increase to recover. Auction Trends - 10 rounds of auction were completed on Day 8, bringing the total number of rounds to 62. - Pan-India BWA Auction price is Rs. 8604.14 Crore, which is Rs. 6854.14 (391.67%) higher than base price, increasing at the rate of Rs. 110.55 cr per round of auction - On Day 8, the auction price went up by Rs. 661.08 crore, up 8.32% for the day - The pan-India auction price for BWA spectrum is, at the end of…

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

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

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