The Scam Scarred Government of India faces 3 Big Challenges to stabilize the Telecom Sector after the Massive 2G Spectrum Scam engineered by Dr. Manmohan Singh's Cabinet Colleague A. Raja
- Allocate spectrum through an auction as has been suggested in the new telecom policy and comply with the Supreme Court’s decision
- Endeavour to maintain a balance between promoting competition and allowing consolidation, which is one of the stated objectives of the new sector policy.
- Find a market price for spectrum in the 1800Mhz and 900Mhz band which can be used as a basis for renewing the spectrum holdings of the incumbents in their legacy markets which largely expire in 2015.
In the First Round of Battle, Reliance Industries'
Mukesh Ambani has been able to get the Story Scripted in his Favor from the Office of the TRAI - Making
VoIP Legal for 4G LTE and an
additional Tax on Telecom Tower Companies.
The sector regulator (TRAI) is shortly slated to announce the rules of the auction of spectrum in 1800Mhz, 900mHz and 700Mhz bands. The rules and the eventual outcome of the auction will determine the competitive landscape of the Indian telecom sector over the next three to five years.