Date:28/02/2008 URL: http://www.thehindu.com/2008/02/28/stories/2008022854501700.htm

Business

DoT issues licences to new entrants

Special Correspondent

NEW DELHI: With the Union Communication and Information Technology Minister A. Raja clearing the file for granting entry to new telecom players, the Department of Telecommunications (DoT) has started issuing licences to new entrants. This will start a new wave of telecom revolution across the country with more players launching their services that could lead to fall in tariffs.

In this fresh phase, DoT will give Unified Access Service (UAS) licences to around ten companies including Videocon-controlled Datacom Solutions, Birla’s Idea Cellular, Swan Telecom, Unitech, ByCell Telecommunications, Spice and Shyam Telelink for various telecom circles spread across India. These companies were issued Letters of Intent earlier this year.

However, these firms will have to apply for spectrum afresh to start their operations in various circles for which they have been granted licences. The entry of new players will give a further boost to mobile connections. At present, about 80-90 lakh new subscribers are being added a month, and with new players, this could cross the one-crore mark.