Tuesday, May 15, 2007

No more roaming blues: DoT may stop telcos from denying access

No more roaming blues: DoT may stop telcos from denying access

Private Players Cheer As Move Will Allow Them To Use BSNL Network

Joji Thomas Philip NEW DELHI



THE Department of Telecom (DoT) plans to make it mandatory for all operators to open their networks to roaming customers from other service providers after the introduction of third generation (3G) telecom services in India. If implemented, private cellular operators will be largest beneficiaries as they will be roam on the extensive networks of state-owned BSNL. This proposal will also enable 3G subscribers to roam on the existing 2G networks.
The move has been recommended by the internal committee of DoT, which is studying telecom regulator’s Trai recommendations on the allotment and pricing of 3G spectrum.
The logic behind the DoT proposal is that “besides existing GSM and CDMA players, non-telecom companies and even non-Indian companies” will bid for 3G spectrum, when it is made available.
As the constraint of 3G spectrum will limit the number of players in this sector, and since it will also not be possible for these players to roll-out these services on a pan-India basis, their customers will therefore have to depend on the 2G networks of existing operators when on roaming, the DoT committee has said.
“In view of the limited number of service providers being recommended for 3G services and the fact that the extensive, country wide roll-out of 3G networks will take a reasonably long time, the 3G customers will have to depend on 2G networks and services in areas where 3G services are not available, or on 3G networks of other operators, wherever available for such time. Hence roaming amongst all service providers would be required and is therefore recommended to be mandated,” the DoT’s committee report said.
Currently, all private operators share their network infrastructure and allow their customers to roam on the networks of competing service providers. The DoT committee recommendation gives private operators reasons to cheer as BSNL is the only telecom operator in India which does not share its infrastructure. In fact, many private operators have also demanded that the incumbent be mandated to share its nationwide network created largely with public funds, on reasonable and non-discriminatory terms, adding that the terms of such sharing be regulated by Trai. The regulator has also been advocating the move.

The Department of Telecom committee has also endorsed most of Trai’s recommendations on the allotment of 3G spectrum. While approving of Trai’s proposal that 3G spectrum be made available in the 2.l Ghz and 800 Mhz (for CDMA), it has however said that the availability of the 450 Mhz would be difficult. With just over 40 Mhz of 3G spectrum slated to be vacated by the defence forces, the committee has recom
mended that the allocation of the resource be limited to just four players, through a bidding process.
Additionally, it has also recommended that ‘for security reasons, one slot of 3G spectrum be reserved for BSNL and MTNL’ during its allocation, where the PSUs will have to pay the price quoted by the second highest bidder during the auction process.
joji.philip@timesgroup.com

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