The Department of Telecom (DoT) has laid out a road map for wireless broadband (WiMax) roll out in the country, which is at variance with the recommendations of the telecom regulator, Trai, but conforms to the frequency preference of the World WiMax Forum.

It has proposed that WiMax launch be initially restricted to only three players who will operate this service in the 2.5 Ghz frequency band. DoT has also proposed that one of the three slots be reserved for state-owned BSNL/MTNL, which would imply that private telecom operators and Internet Service Providers (ISPs) will have to compete for just two slots. The proposal now awaits final clearance by telecom minister A Raja.

The DoT committee studying telecom regulator Trai’s recommendations on spectrum allocation and pricing for wireless broadband rollout, in its report, has said the base price for auction for WiMax spectrum be set at 25% of the amount for 3G spectrum. This implies, for metros like Delhi and Mumbai and ‘A’ category telecom circles, the base price for bidding will be Rs 40 crore. The same committee has proposed that for 3G spectrum, the base price be Rs 160 crore for Category ‘A’ circles, Rs 80 crore for Category ‘B’ circles and Rs 30 crore for Category ‘C’ circles. (India has 23 telecom circles, which are divided into 3 different categories — A, B and C).

While the DoT committee’s report to offer WiMax in 2.5 GHz frequency is in line with the global scenario, it contradicts the recommendations of telecom regulator Trai. Trai had suggested that wireless broadband be rolled out in 3.3-3.4 GHz and 3.4-3.6 Ghz frequencies and up to 13 players be allocated spectrum to offer WiMax services.

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