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BWA Auction, Day 11: Activity Level Pushed Up To 100%; Endgame

The average price increase per round during India's BWA auction continued to decline on Day 10 of the auction, only for the trend to reverse, as a marginal increase was registered on Day 11: During the day on June 4th, the average price of Pan-India price increased by Rs. 60.28 crore per round, while on June 5th, increaed by Rs. 63 crore per round. It's only a matter of time before the minimum activity level has been pushed up to 100 percent, so expect the auction to end by the end of this week, or at best, by the beginning of next week. The overall average price increase per round for pan-India spectrum is now down to Rs. 80.97 crore per round, but this might increase now, since the minimum activity level is 100 percent. After 82 rounds of bidding, the pan-India price for Broadband Wireless Access spectrum was Rs. 9837.41 crore, 5.6 times the minimum base price of Rs. 1759 crore. The price is now Rs. 6639.62 crore higher than the base price. As you can tell from the chart below, the BWA auction price has increased at a faster pace, but given that now the demand appears to be flagging, it will end sooner, and probably a price much lower than that of the 3G auction. - Total government revenue from the auction stands at Rs. 29512.23 crore, of which Rs. 19674.82 will come from private telecom operators. - As things were at the end of round 11,…

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Written By

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

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