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2G Auctions Day 1: Mumbai 900MHz Price Up 44.28% From Reserve; Bids In 1800 MHz Low

Our coverage of the 2G Auctions is brought to you by OnMobile Global, India’s leading Mobile Value Added Services [VAS] company On the very first day of the 2G auctions of 2014, demand for spectrum in the 1800 MHz band was low: there was no excess demand for spectrum at the end of the very first day itself for all circles but Gujarat at the end of Round 7 of the auction. Things weren't particularly better for 900 MHz band either, as only Mumbai reported excess demand at the end of the first day in this band. No excess demand indicates that in case of many circles, bids for blocks of spectrum were lower than total blocks available: some telecom operators decided not to bid for spectrum in some circles during this round. Please note that this is, by no means, indicative of the activity in the following rounds. Bidding strategy will change with each round. When activity requirement from a telco is increased to 100%, bidding will be compulsory. Here's the lowdown from Day 1: 900 MHz - For round 8, the price of spectrum in Mumbai is being increased by Rs 23.66 crore, due to excess demand - There was no excess demand for spectrum in Delhi at the end of round 7, but there wasn't deficient demand either. Price per block in Delhi is being increased to by Rs 4.28 crore. - Price of spectrum in Mumbai increased by 44.28% above its base price, at Rs 473.24 crore,…

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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

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

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