Should all Telcos boycott 2G auction and concentrate on 3G spectrum?

sanke1

Well-Known Member
[OP]
Aug 1, 2005
3,907
519
Mumbai
The new suggested TRAI price of Rs. 3622 crore per Mhz of 2G spectrum is just ridiculous. (Ref: Today's Mumbai DNA front page news.) It might make government some money. But out of that amount, very less % will trickle down to development and welfare schemes for common people.

That will also drive the cost per second prices of phone calls upwards. It's just a loose loose situation for the Telcos and us consumers.

What I feel, all the mobile operators should boycott this 2G auction and concentrate only on 3G and 4G spectrum/tech to deploy their services. This would probably bring the government and TRAI to their senses and hopefully they will have reasonable starting price for the auction.

The benefits of boycott:
1. Teach the govt a lesson and show them corporate strength of not being bullied
2. Dodgy players like Etisalat will be eliminated.
3. Fast deployment and optimizations of 3G and 4G networks (The future)
4. Better call quality
5. No need to pay more in spectrum licenses.

The negatives of boycott (No 2G spectrum bands ever auctioned):
1. 3G/4G Spectrum sharing agreements need to be fought in courts against govt.
2. Some people will have to buy 3g capable handsets
3. Coverage area and wall penetration power of networks will reduce compared to 2G
4. Cannot deploy 4G technology in 2G spectrum bands.

What you say everyone? Vote in the poll and leave comments below.
 

x720

Incoherent Poster
Regulars
Aug 14, 2011
10,429
1,526
Gurgaon | Mumbai
Do the major networks need more spectrum ? But, then telcos like uninor have no choice but to buy fresh spectrum.And yes, improving existing 3G networks would definitely be a nice step. (mtnl hspa+) :p
 

aviral sangal

Senior
Dec 9, 2010
2,591
197
Noida
I do not think so. Most of the telecom companies are in profit and even TATA DOCOMO is in profit even after offering almost lowest costing plans.We know airtel who is the biggest chor in telecom sector how much they are looting customer and this is not because they paid high prices for 3G auction but its in their habit.
 


abchopra2010

Mess.iah
Regulars
Feb 5, 2006
371
1
New Delhi
Unlikely. As far as i can guess the majority of people in india would have 2G phones. Only feature phones have 3G right now. Telcos will lose more by not buying the spectrum.