Mumbai: The congestion in mobile phone networks is unlikely to ease any time soon. Government and operators are still fighting for available spectrum.
Cities like Mumbai, Delhi, Chennai, Bangalore and Hyderabad can least afford to add any more subscribers because networks in these cities are jamming and the government says there is no spectrum in these cities and operators are not willing to give up any new business.
This dogfight between the operators and the government is stalling expansion even in cities where spectrum is available. Most experts recommend that spectrum should be allocated circle wise depending on where its scarce.
“Besides the four metros, there may be shortage in some border areas where defense needs more spectrum. The government may look at a different policy for allocating spectrum there,” says Prashant Singhal, Partner, E&Y.
Even within circles, experts say different spectrum bands should also be allocated and valued differently depending on their efficiency. For instance the 900 mhz worldwide is considered the most efficient band for wireless telephony over the 1800 or 700 mhz. In some countries like the UK, 900 mhz spectrum is being revoked from incumbents so that it can be given to new entrants for 3G.
Most large countries like the US spectrum is given out area wise based not only on the number of subscribers but also on the density of population, topography and the technology adopted by the operator. Industry players say that this works well since operators know the geographies where they can get additional spectrum and make their business plans accordingly. In India, there is a need for quickly doling out spectrum, at least in the two and three tier cities, so that the over 80% growth coming from these places is not stalled over a dispute.
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