Revenue from 3G auction now over Rs.62,000 croreMay 14th, 2010 - 10:22 pm ICT by IANS
New Delhi, May 14 (IANS) The government’s provisional revenue from the sale of third-generation (3G) airwaves Friday reached Rs.62,253.83 crore ($13.7 billion) and nationwide licence price was Rs.15,416.56 crore ($3.4 billion) after conclusion of 167 rounds of auction to award the spectrum for telecom services in India.
At the end of the 30th day of the auction, which began April 9, the pan-India 3G licence price was around 340 percent higher than the Rs.3,500 crore reserve price.
Earlier, the government had said that it hoped to rake in Rs.55,000 crore ($12.1 billion) from both the 3G auction and the rolling out of broadband wireless internet services in the country.
But with the aggressive bidding in few circles, the government is poised to get more than the estimated amount from the 3G auction alone.
Slots for three-four players are available in each of the 22 circles into which the country has been geographically divided for the 3G services, which will facilitate faster connectivity and enable applications such as Internet TV, video-on-demand, audio-video calls and high-speed data exchange.
Nine telecom companies - Bharti Airtel, Reliance Communications, Vodafone Essar, Idea Cellular, Tata Teleservices, Aircel, Etisalat, S Tel and Videocon Telecommunications - are participating in the online auction process which will end only when the demand is equal to the number of slots available in each circle.
The government has already given Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL) spectrum for 3G services on the condition that they pay the same licence fee as would be levied on private players after the auction.
Data on the Department of Telecommunications’ website showed that Mumbai continued to attract the highest bid at Rs.2,910.49 crore.
The provisional winning price for Delhi stood at Rs.2,885.68 crore, followed by Karnataka at Rs.1,564.27 crore, Tamil Nadu at Rs.1,464.94 crore and Andhra Pradesh at Rs.1,255.56 crore.
While Delhi, Punjab, Orissa, Bihar, Kolkata and Assam witnessed more players in fray than the number of slots available, Mumbai, Jammu and Kashmir, Haryana, Madhya Pradesh, West Bengal and Kerala could not attract enough bidders.
The ongoing 3G auction is a simultaneous auction for the 22 circles over a secure website. At each round, the price is hiked from between 10-1 percent based on demand.
The auction is being held on all days except Sundays and national holidays. The bid data, including the winning companies’ names, will be made public only after the auction’s completion and approval by the government.
The winning firms will have to deposit the money within 10 days after the auction and the successful bidders would be allowed to offer 3G services on a commercial basis from Sep 1.
- 3G auction: Delhi attracts highest bid at over Rs.3000 cr - May 15, 2010
- Revenue from 3G auction crosses Rs.60,000 crore mark - May 13, 2010
- Revenue from 3G auction crosses Rs.65,000 crore mark - May 17, 2010
- Revenue from 3G auction reaches Rs.48,677.47 crore - May 07, 2010
- Revenue from 3G auction at Rs.58,416 crore - May 12, 2010
- Revenue from 3G auction reaches Rs.66,802.48 crore - May 18, 2010
- 3G auction: Pan-India licence price now over Rs.5,000 cr - Apr 16, 2010
- Minimum Rs.25,000 cr revenue from 3G auction for government - Apr 20, 2010
- 28 rounds of 3G auction completed; bid price up 38 percent - Apr 15, 2010
- India concludes 22 rounds of 3G spectrum auction - Apr 13, 2010
- India concludes 16th round of auctions for 3G spectrum - Apr 12, 2010
- Mumbai, Delhi neck-and-neck in 3G spectrum auction - Apr 24, 2010
- Revenue from 3G auction nears Rs.55,000 crore-mark - May 10, 2010
- Pan-India 3G spectrum licence now nearly twice base price - Apr 22, 2010
- Pan-India 3G licence price crosses Rs.10,000 cr-mark - May 03, 2010
Tags: 3g services, aircel, auction data, bsnl, etisalat, high speed data, licence fee, licence price, mahanagar telephone nigam, mahanagar telephone nigam ltd, mtnl, online auction, private players, sanchar nigam ltd, tata teleservices, telecom companies, telecom services, videocon, vodafone essar, wireless internet services