Do More

Short-term telecom policies are making life miserable for Indian operators. A

temporary policy will result in poor network management and cost efficiency will

suffer in the long-run since telcos are unable to pre-plan their strategies.

We are still dilly-dallying with 3G and WiMax spectrum allocation policy,

Internet telephony guidelines and mobile number portability issues. An amicable

and immediate solution to all these much debated policies has the potential to

bring new lease of life into the telecom business.

This is important since the global slowdown has started affecting businesses

in India. We need to avoid Indian companies starving for funds especially during

their current phase of expansion in rural areas. We do not want an Indian telco

going the Nortel way, which filed for credit protection.

Internet telephony, once it is opened up, will bring down long distance

tariff and enterprises will be the major gainers. Despite recommendations from

the telecom regulator, the government is going slow on the issue since leading

telcos are opposing. The government must take a decision to herald the IP

telephony boom in India.

MNP will favor both new and existing operators. Satisfaction of consumers on

existing leading operators' network is dwindling. Let consumers be king. Let

them come out of the price cartels. The telecom regulator has done its duty. The

government's inaction and delay in implementation of MNP guidelines will lead to

slow growth of the sector.

The much sought after policy on 3G WiMax spectrum is undergoing further

changes because of the government's inability to find consensus among

stakeholders.

Asia Pacific's 3G subscribers are expected to top 564 mn by 2013 from 121 mn

in 2007 and an estimated 158.4 mn last year, according to Frost & Sullivan.

India will have a 3G user base of 90 mn in five years, says BDA. India will miss

this target considering the inaction by the current policy executors.

China, which is undergoing massive 3G deployments, will see the return of

gadget makers such as Sharp, NEC, Toshiba, Fujitsu, and Kyocera when the country

is welcoming its 3G era. India is ready to welcome more gadget companies, but we

need pro-active wireless broadband strategies in place.

Both MTNL and BSNL will match and pay spectrum fee only after concluding the

spectrum auction which is meant for private operators. A further delay will help

public operators to keep their funds earmarked as auction fee in their own

pocket. The government, following the announcement of the recent stimulus

packages, needs funds. Recent debates and the slowdown have already put off many

foreign telcos from bidding for 3G and WiMax spectrum.

A strong roadmap covering all important guidelines will assist all

stakeholders. We need to stop unnecessary debate. We need a 10-year telecom

policy urgently and move ahead.

Baburajan K



baburajank@cybermedia.co.in