can we get back on topic ?
from reddit :
No because whatever price they would agree too, there is a possibility that it can be still lower.
Remember the early days when when incoming calls were also charged, it would have been very reasonable from that perspective to offer the license to somebody who charged 25p/min instead of the 50p/min or Re1/min even.
What are you basing you conclusion on that prices are going to rise due to current spectrum costs? Telecom companies will try to get the best deal and will use all sorts of bluffs to get the best deal but it is in their best interest to keep the prices competitive and focus on volume rather that increase margin and serve lesser number of people.
Technology adaptation and migrating to newer technology would be made easier , once when the wagon (spectrum) is made available free. I do remember those days , although i am not saying incoming in those days wouldnt be charged , but it would have been less , if the spectrum was given as free.
Yes , telecos will do all the tricks. Thats why open the auction like
Tarrif :
Over the period of :
, so lets say airtel pitches at 100MB/1 RS for 3G over a period of 10 years , while
Tata can auction for 100MB/0.5P for 3G data, so it goes on. In the end , with fair auction , people will be beneficial of the spectrum , and telecos too would have to expand their reach (deployment in rural areas) for ROI within their said 10 year period.
Instead , when the spectrum is auctioned , not only it will be hindrance in deployment , due to high cost of investment in spectrum , telecos cant afford to lower their price , particularly in the initial period , coz the newer technology might catch them later and ROI could be jeopardized . In this scenarios , rural areas of city of lesser adaptation will be at loss and might never able to get newer technologies.