TRAI vs Dot Vs Ministry vs Another Ministry
 
Primarily, it has been the row over the available spectrum between the ministry of defense and the Ministry of communication that has stalled the progress of 3 G roll out in the country.
 
The Ministry of Communications and IT has been seeking spectrum from the defence forces to be allocated to the telecom service providers. However, the ministry of defense has been refusing to vacate the 25 MHz of spectrum for a long time now arguing it very important for country security.The telecom minister had been pointing out the 3G spectrum policy would be announced only after the defence ministry vacates the spectrum.
 
The Department of Telecom (DoT) state claims on the spectrum citing that the 1885 Indian Telegraph Act empowers Ministry of Communication as the sole owner of the spectrum. The department has estimated about 60 MHz of spectrum is lying unutilized by the defence forces. The Spectrum crunch telecom industry has been hoping of the release of 42.5 MHz of spectrum by the defence forces to the Communications Ministry.
 
“The key challenge in India is still the spectrum. Compared to 30-40 MHz per operator in Europe, India is still able to give only 10-20 MHz per operator. This makes roll out of the high speed data networks a major challenge”, says Bharat Bhatia, Regional Director, India, SAARC and South East Asia, Motorola Global Govt Affairs &Public Policy.

As if the row between ministries wasn’t enough, the fractious relationship between Department of telecommunication and TRAI who never saw eye to eye with each other on spectrum allocation caused the inordinate delay.
 
Right from issue of base pricing of the 3G spectrum auction to the more contentious issue of allowing foreign operators to join the telecom fray, the constant discord between these ministry of telcom and TRAI led to delay in framing the much needed 3G policy for the county.
 
TRAI had been keen to keep foreign players away from to bidding for 3G spectrum in the country. TRAI had rejected DoT recommendations to include other prospective operators with foreign partners who fulfill the conditions for getting Unified Access Service (UAS) licenses.
 
TRAI contended that existing licensees had already made huge investments in the infrastructure and their systems were in place, therefore, they were in a better position to deliver 3G services efficiently at low incremental cost. In contrast, DoT had also been recommending foreign players to bid for 3G spectrum but TRAI had been feeble to the recommendations.
 
The DoT and Government have finally arrived at a reserve price of about Rs. 2,020 core for telecom companies that want to be part of a pan-India auction for third generation (3G) spectrum in the upcoming policy. This was double the reserve price recommended by the Telecom Regulatory Authority of India (TRAI) in its recommendations in 2006.  

As India marches on its quest to become a global telecom power  analysts, feel government needs to expedite the auctioning process so as to increase the broadband penetration in India

 “Since there is very little copper and coaxial cable network, the only way to increase the broadband penetration in India is through wireless technologies. 3G and 4G wireless technologies such as WiMAX can help improve broadband penetration” adds Bharat Bhatia, Regional Director, India, SAARC and South East Asia, Motorola Global Govt Affairs & Public Policy.

“These technologies can support Internet Connectivity for applications such as Web browsing, dynamic web access, web-casts, E-Mail, IM, E-Governance applications, Telemedicine and Distance education and E-Commerce” adds Bhatia.

Adds Anil Arora, Business Group Head, GSM, “3G technology would definitely be a big revolution in India telecom space. 3G will be bigger, better and faster than 2G and because of that, will enable the delivery of many more applications than are presently possible on 2G”.

“The advantage of 3G technologies over the existing 2G technology is the speed of data transfer, and user today is focusing more on data. 3G has a future in India and that it is relevant and important”, adds Arora.