Telcos oppose spectrum reservation for local technology

The Indian telecom industry today witnessed a sharp division within, with service providers favouring foreign vendors and opposing exclusive spectrum band for domestic manufacturers to promote local manufacture.

The local vendors have demanded exclusive unused spectrum for developing indigenous manufacturing eco system, the demand which is being vehemently opposed by the mobile operators.

"We cannot reserve any band for unproven technology. If there is a proven technology then there is no requirement to reserve spectrum," said a representative of GSM lobby group COAI at meeting for finalising National Frequency Allocation Plan 2011, organised by the Department of Telecommunications.

The Wireless Planning Commission, custodian of spectrum in the country, in the final draft has recommended reservation of spectrum for indigenous technologies and system in the frequency band of 900, 1,400, 1,800 and 1,900 MHz.

This is in line with the government's stated policy to promote indigenous manufacturing to reduce dependence on imported telecom equipments.

On other hand, local manufacturer Coral Telecom's MD Rajesh Tuli said, "There is no competition of indigenous technologies with business of telecom operators. Let this point be submitted to the Telecom Commission for the final decision."

Echoing COAI's views, Association of Unified Servicer Providers of India, a lobby of CDMA operators, also opposed the move to reserve spectrum for indigenously developed technologies.

"Once government has decided to auction spectrum then how can you make reservation for indigenous technologies," said S C Khanna, general secretary, AUSPI.

"Think of the kind of investment that we have made before taking such decision," he added.

Ashok Chandra, wireless advisor, WPC, who was conducting the meeting, asked both the lobbies -- COAI and AUSPI -- to submit dissent note in writing by tomorrow.

"There should be a valid reason for the disagreement with this point. If you disagree with it (provision for reservation of spectrum) then kindly submit your dissent note and explain the technical impediments that it will have in running your operations," said Chandra.