SSTL opposes TRAI’s proposed restriction on bidding for CDMA spectrum

Updated on 16-Jan-2014
HIGHLIGHTS

The only-CDMA exclusive operator believes the proposal is unfair to the company and demanded reduction of base prices like the way the regulator did for GSM spectrum.

SSTL, which operates under MTS brand, has opposed the TRAI’s proposal to bar the company from participating in the coming CDMA spectrum.

In a detailed letter to Rahul Khullar, Chairman of TRAI, SSTL said: “We have noted that the Authority in its Consultation Paper has made certain observations/suggestions which have a relation to SSTL.”

“SSTL feels any restriction on SSTL for participation in next 800 MHz auction would be unfair and therefore deem it necessary to provide our comments on the observations as also place certain facts for the consideration of Authority with respect to the spectrum allocated to SSTL consequent to the previous auction held in March, 2013.”

SSTL says restricting the company from the next auctions will be unfair as the base price for for 1800 MHz contiguous spectrum in the ensuing is even lower than the price at which SSTL bought non-contiguous 800 MHz spectrum. “Even the current reserve price for highly precious contiguous 900 MHz for most lucrative Delhi circle is also lower than the price at which SSTL bought non-contiguous 800 MHz spectrum in Delhi. The Table 1 below gives the comparison of price paid by SSTL for non-contiguous 800 MHz spectrum and new reserve price for contiguous 900/1800 MHz spectrum bands to establish that the price paid by SSTL to acquire spectrum is much higher than the true value,” it points out in the letter.
 

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