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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting
QCOM 172.98+1.1%Jan 2 9:30 AM EST

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To: SKIP PAUL who wrote (23691)6/12/2002 5:24:03 PM
From: waitwatchwander  Read Replies (1) of 197076
 
3G cellular licences may go to existing operators
Siddharth Zarabi
(New Delhi, June 12)
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The Ministry of Communications is believed to be considering a proposal that seeks to allot 3G (third generation) cellular licences to existing mobile phone operators, instead of auctioning the spectrum through open bidding. Sources said that such a step was being considered following the bitter experience of European telecom operators who are struggling under debt burden incurred through their astronomical bids for 3G cellular licences. The total cost of auctioned 3G licences worldwide is estimated to be a massive $300 billion.

The idea of allotting each of the four cellular operators the rights to offer 3G services has been discussed in the past at various levels of the government. The Planning Commission in particular has also taken a close look at this model for 3G services, added sources.

Earlier in February this year, the Telecom Regulatory Authority of India had announced that it would soon finalise a consultation paper on selecting spectrum for 3G wireless systems and services.

The paper will kick-start discussions on the timing, number of operators, methodology for spectrum allocation and priorities for 3G-spectrum allocation. Once the regulator submits its recommendations to the department of telecom, the latter will announce the final policy. However, the process is not expected to be complete before the end of this year.

Sources added that the proposal has the potential of averting unnecessary financial problems for Indian companies, while maximising the returns for the government through revenue sharing.

A leading mobile phone operator says that incumbents would be able to upgrade to 3G networks more easily if there was no financial burden by way of bidding. "We will pay via revenue sharing as 3G will mean an additional revenue stream for us," the operator added.

Nuts & bolts of 3G

Next generation of broadband wireless communications
In a train you can watch your favourite TV serial
While travelling you can send data
Your phone can snap pictures and transmit them
You can do a videoconference while in a taxi
Multimedia messaging service gives taste of 3G
First 3G networks launched in Japan in 2001, quite successful
GPRS, EDGE, W-CDMA and UMTS technologies that lead up to 3G

hindustantimes.com
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