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Thomas K. Thomas

New Delhi May 9 The Tata Group has raised concerns about the Government's intentions to allow foreign players to bid for third-generation mobile service licences.

In a letter written to the Communications Ministry, Tata Teleservices said that the interests of the existing cellular operators in the country should be protected before considering allowing new players into the sector.

The Union Communications Minister, Mr Dayanidhi Maran, last week said that the 3G policy, being formulated by the Department of Telecom, would allow foreign operators to bid for 3G spectrum.

Terming the decision as one that would stunt the growth of the existing cellular operators, Tata Teleservices said, "At a minimum, we would expect that the issue of entry of new players, especially from overseas markets is discussed openly. The interests of the existing telecom licence holders, who have done as much to make India the fastest growing telecom market in the world must be protected and a level-playing field provided to them," said the letter from Tata Teleservices written on May 4.

Similar concerns have been raised by GSM operators as well.

The Tatas have also questioned a move to allow the State-owned telecom companies BSNL and MTNL to allow direct entry into 3G without taking part in the bidding process.

"We see no rationale at all for special treatment for the Government-owned operators. MTNL and BSNL are no longer the sole guardians of public interest," said the Tata letter.

Related Stories:
MNCs may be allowed to offer 3G services
Spectrum shortage could make 3G licence expensive
3G for CDMA users could get delayed

More Stories on : Telecommunications | Policy

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