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NEW DELHI: In yet another twist to the upcoming third generation (3G) spectrum auctions, the department of telecom’s (DoT) draft notice for
inviting applications (NIA) for the spectrum sale said that the process will be limited to three private GSM operators.

For CDMA operators, the draft (NIA) states that the auctions will be limited to only one player per circle, adding that the sale of airwaves will not be held in six circles — Delhi, Mumbai, Andhra Pradesh, Rajasthan, Punjab & Maharashtra.

Last month (on December 21), a nine-member empowered group of ministers (EGoM), headed by finance minister Pranab Mukherjee had decided that these airwaves would be given to four successful private GSM bidders during the auction process in addition to one slot reserved for state-owned telcos — BSNL & MTNL.

As first reported by ET on December 22, the EGoM, while deciding that the airwaves would be given to all successful bidders only in August 2010, had also said that telcos will be required to pay only a quarter of the bid amount this fiscal and the rest when the spectrum is allotted.

In fact, the panel of ministers, during their meet last month, had decided to auction four slots after debating a DoT proposal to limit the number of private players to three. But, the DoT move to stick to its earlier proposal and limit the auction process to three GSM players in the draft NIA highlights the communication ministry's lack of confidence in the armed forces agreeing to vacate 3G spectrum as per mutually agreed time frames.

A top DoT official had earlier told ET that the communications ministry had enough radio frequencies to accommodate a minimum of three players in every circle. “The armed forces have failed to adhere to an MoU between the communications and defence ministries earlier this year, where they had agreed to vacate 10 MHz of airwaves (for two telcos) prior to the auction,” the DoT official had added.

Last week, another DoT official had told this newspaper that the communications ministry wanted to restrict the airwaves sale to the frequencies it currently holds as the armed forces may not meet their commitment to vacate additional radio frequencies between June and August, 2010. The armed forces have said that it will free up to 5 MHz of 3G spectrum, equivalent to one slot, in July and a similar amount in August 2010, a commitment that DoT fears that the defence ministry may not keep.

Third generation (3G) spectrum will enable telcos to offer high-end services, such as ultra-fast internet, video-conferencing, interactive gaming, mobile TV and high-speed downloads of movie and music clips on mobile phones. 3G services were originally scheduled to be launched in India in 2007, but have been repeatedly delayed amid troubles over freeing up spectrum and setting bid prices.

First launched in Japan in May 2001, the services are available in over 90 countries.

It is not clear if the DoT will make changes to the draft NIA before making it public within the next couple of days. The NIA will be a legally binding document providing all details regarding the sale of airwaves including the exact availability of 3G spectrum in each circle. It will also detail the payment format and timeframe. The draft NIA also adds that the final date for applications is January 25, with the mock auctions scheduled for February 9-10, followed the actual sale process two days later.
source-economictimes.indiatimes.com

New Delhi: Asserting that the government had done "no flip-flop" over separate statehood to Telangana, Union Home Minister P Chidambaram on Thursday said the January 5 meeting of eight political parties from Andhra Pradesh had been called to devise a "mechanism" and "lay a road map" on resolving the controversial issue.

"There is no flip-flop on part of the government over Telangana," said Chidambaram.

He said the United Progressive Alliance (UPA) government in its common minimum programme had said that a separate Telangana state will be carved out from Andhra Pradesh "at an appropriate time" after due consultations and consensus.

Major political parties in Andhra Pradesh, he said, contested the 2009 Assembly elections on manifestos that "in one manner or other declared support for the formation of a separate state of Telangana".

Referring to two statements he had made on December 9 and on December 23 on the issue, the home minister said, "The central government simply responded to the situation in Andhra Pradesh."

"On December 9, it was announced that an appropriate resolution would be moved in the state assembly. I would like to highlight key words in the statement, they are 'process', 'appropriate resolution' and 'moved'. In the background of the minutes of the all party meeting, I would like to ask what was wrong with that statement," he queried.

And on December 23, after MPs and legislators from the state appeared divided over the issue, the government stressed the need to hold consultations with all political parties on the issue following a fortnight of protests in Andhra Pradesh for and against the separate state.

"We simply responded to the wishes of the people of Andhra Pradesh. I hope you don't call the January 5 meeting a flip-flop," Chidambaram added.

"The January 5 meeting is the first step in consultations. We have called the recognised parties in the state to devise a mechanism and lay a roadmap on the issue," he said.

Chidambaram also pointed out that other student groups and interested parties would also be consulted at a later stage.

 source-
http://ibnlive.in.com

BANGALORE: Violence is a major deterrent for many, more so when you have a business to run.If the fragile political climate in the Andhra Pradesh spills blood on the streets, Hyderabad’s loss may become the gain of neighbouring states, as companies in the process of decision-making are likely to have serious second thoughts about AP in general and Hyderabad in particular.Industry-watchers believe that while short-term political turmoil, which is not new to Andhra Pradesh or Karnataka, may not spell doom for the industries in any state, safety and logistical issues resulting from turmoil could hamper the operations.“Before making an investment, besides other things like the state’s industrial policy, safety of its employees and prospect of running uninterrupted operations also play a major role.The Telangana issue per se is yet to have its fall out.Generally, people would not risk investment in a violent place, for instance Jammu and Kashmir or Assam.There are competitive states around. Tamil Nadu is now very industries-friendly, so is Gujarat,” FKCCI president J Crasta said.On December 11, consumer healthcare company Glaxo Smithkline had to temporarily suspend its operations owing to safety concerns.In another incident, protesters attacked a branch of HSBC bank in the coastal city of Vishakapatnam.The chairman of CII, Karnataka, T Parabhraman feels that Hyderabad, which has a lot of thrust on education in the past apart from a strong industrial culture, has very similar roots like Bangalore.“The core engineering strength of Hyderabad is its primary advantage,” he added.“Whether Hyderabad is a part of Telangana or Andhra, it would not matter.However, foreign companies think more from a safety perspective and the lifestyle the city has to offer,” he said.Meanwhile, Karnataka with its new industrial policies, is aggressively pursuing investments. The state has cleared 46 projects, which are expected to invest Rs 1,086 crore, in its high level committee meeting held in October.In its 54th high level clearance committee meeting, it discussed on giving clearance to proposals from 55 new projects, including projects from about five Hyderabad- based companies.

SOURCE-http://www.expressbuzz.com

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