3G Spectrum Allocation Delayed To Year End

[by Cerius Shah] A state of lethargy or a lethargic State? Nine mobile telcos allotted letters of intent and others battling with spectrum issues can now yawn their heads silly, spectrum allocation has been delayed from June to year-end according to this BS report.

The reason for the delay is still due to Defense, which awaiting development of an alternate wireline network, hasn’t vacated spectrum. Out of the 45Mhz to be released, 25MhZ is to be allocated for 3G.

The DoT still hasn’t decided on how spectrum will be allocated once released. This will have an impact on the rollout of services by new players granted LOI’s. As previously covered, based on the current policy of spectrum and subscriber base being directly proportional, this will only aid the big grow bigger. New entrants will be treated as golden geese with a valuable resource facing an increasingly high barrier to entry and scale with an exit likely to be the best way out.

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