Telecom spectrum auction day 2: GSM operators finally compete as Mukesh Ambani steps in

Mukesh Ambani’s strong presence is more visible today as provisional winning price per block at the end of round 14 on Tuesday for Delhi telecom circle touched Rs 530.73 crore against Rs 428.92 crore on Monday, Mumbai Rs 552.05 crore (Rs 473.24 crore) and Kolkata 183.54 (Rs 173.16 crore) in the 900 MHz band.

The interesting aspect of the auction is that it did not stop today. DoT said there were seven rounds of bids for both the 1800 MHz and 900 MHz bands with main demand visibly seen for India’s capital city and financial capital.

The entire action was towards Delhi and Mumbai metros, which will be the lifeline of Bharti Airtel and Vodafone India. Without successfully bidding in these circles, both Bharti Airtel and Vodafone India will be forced to give up the lucrative circle or circles.

Since Reliance Jio Infocomm is looking at buying spectrum in the 900 MHz band to support its 4G roll outs, the spectrum base price is going up.

Telecom services in rural India

Chelsea football club manager Jose Mourinho recently said that the English Premier League is becoming a crazy world since the difference in the points of main title contenders – Chelsea, Arsenal and Manchester City – is less than 5. The same is happening in the Indian telecom market as financially strong promoters are fighting out for supremacy.

For 1800 MHz band

Otherwise, day two of the spectrum auction did not provide any major changes in provisional prices for spectrum in the 1800 MHz band.

You may read: Spectrum auction on Day 1: complete status report from DoT

The telecom ministry official said Gujarat circle received higher bid at Rs 33.76 crore on Tuesday against Rs 29.74 crore on Monday.

On Tuesday, spectrum bid price remained almost steady for most of the telecom circles including Jammu & Kashmir circle at Rs 1.02 crore, Andhra Pradesh Rs 32.60, Assam Rs 1.42 crore, Bihar Rs 7.99 crore, Delhi Rs 43.80 crore, Haryana Rs 5.40 crore, Himachal Pradesh Rs 1.20 crore, Karnataka Rs 31.00 crore, Kerala Rs 10.40 crore, Kolkata Rs 14.60 crore, Madhya Pradesh Rs 8.60 crore, Maharashtra, excluding Mumbai, Rs 34.60 crore, Mumbai Rs 41.40 crore, North East Rs 1.40 crore, Orissa Rs 3.20 crore, Punjab Rs 10.80 crore, Rajasthan Rs 5.20 crore, Tamil Nadu, including Chennai, Rs 41.60 crore, West Bengal, excluding Kolkata, Rs 4.24 crore, Uttar Pradesh (East) Rs 12.20 crore and Uttar Pradesh (West) Rs 14.20 crore.