Fight for 800 MHz band gets bloodier

Via The Financial Express | Mar 20, 2015

The spectrum auctions, which completed 14 days on Thursday adding a provisional
amount of Rs 1.09 lakh crore in the government s kitty, saw the price increase ove
r the reserve price of 800 MHz on a per-MHz basis cross that of 900 MHz, thus ma
king it more valuable than the latter. The other interesting aspect is that the
price of the 800 MHz band in Delhi on a per MHz basis overtook that of Mumbai. T
he price increase of 800 MHz over the reserve price stood at 79.1 percent compar
ed to 78.6 percent for 900 MHz. The percentage increase for 2100 MHz was 5.1 per
cent while that of 1800 MHz was 15.8 percent. On a pan-India basis now the price
of per MHz spectrum in the 900 MHz band is at Rs 8,000 crore while that of 800
MHz is at Rs 5,000 crore. For 900 MHz there s 5 MHz spectrum in all circles, but i
n the case of 800 Mhz only some five circles have contiguous spectrum of 5 MHz,
the value of 800 MHz spectrum is now more than that of 900 MHz. On Thursday, And
hra Pradesh, Delhi, Madhya Pradesh, Maharashtra and North-East saw the price inc
rease in the 800 MHz band. Therefore, from the trends it can be inferred that th
e fight for 900 and 2100 MHz is over now except say in AP, which may still see a
bid for the latter. The auctions may continue for more than a day now only due
to the fight for 800 MHz.
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