CDMA operators agree on number portability

Even as the government has not acted on the telecom regulator’s recommendation on framing a policy on number portability in mobile phone services for more than a year, Code Division Multiple Access (CDMA) players have now stressed the need for the same.

Number portability enables you to switch from one service provider to another without changing your number.

In a letter to communications minister A Raja, CDMA players, represented by the Association of Unified Service Providers of India (AUSPI), said that the Department of Telecom (DoT) must issue necessary guidelines for implementing mobile number portability.

CDMA players have been favouring number portability in both fixed and mobile networks. Now, they seem to have climbed down a bit, saying only the latter needs to be done for the time being.

AUSPI secretary general SC Khanna said in his letter to Raja: “In case fixed-number portability cannot be introduced at this point of time for any reason, technical or otherwise, mobile number portability should not be held up.”

Global system for mobile communications (GSM) service providers, represented by Cellular Operators Association of India (COAI), is opposed to the idea of number portability in mobile telephony, at this point.

According to COAI, it can be introduced only after the telecom market matures further.

While CDMA operators include Reliance Communications and Tata Teleservices, GSM operators comprise Bharti, Vodafone Essar, Idea, Aircel, and Bharat Sanchar Nigam Ltd.

“Number portability is a very important and effective tool for ensuring competition in the telecom market,” AUSPI’s Khanna has written to the minister.

“Any technical or operational apprehensions should not hold up the implementation of number portability because we have before us the experience of other countries and suitable remedies can always be found,” he said.

The Telecom Regulatory Authority of India had, in March 2006, recommended that mobile number portability should be in place by April 2007.

That was one of the last recommendations/orders by former Trai chairman Pradip Baijal. The government has already missed the Trai deadline by around four months.

The move would have stepped up competition in the telecom industry, thereby improving the quality of service as all service providers would have made an effort to prevent customers from shifting to competition.

The Trai recommendation, issued in March 2006, was only for introducing number portability in mobile telephony and not fixed phones. The regulator wanted the rollout to begin on April 1, 2007, across metros, before moving into A, B and C category cities within six months.

So far, most mobile operators have been against the introduction of number portability, as they didn’t want to let go of the customer base they built. Industry estimates suggest that anything between Rs 1,500 crore and Rs 3,000 crore is required as one-time cost for upgrading the networks to enable number portability.

Now, you can call overseas at Re 1

Come Friday, MTNL broadband customers in Delhi and Mumbai will be able to make an ISD call to any part of the world for as low as Re 1 per minute through their fixed line phones.

The state-owned PSU will become the first telco in the country to offer internet telephony or Voice over Internet Protocol (VoIP) where subscribers can enjoy ultra cheap ISD calls without even having a computer at home. For those who choose to access MTNL’s internet telephony through their personal computers (a PC to PC call), the tariffs are likely to be as low as 10 paise per minute.

If you do not have a PC at home, but want to make cheap ISD calls, just subscribe to MTNL’s broadband connection (which comes with monthly rentals starting at Rs 199) and also buy an Analog Telephone Adaptor (ADA) from the PSU for Rs 1,500.

The adaptor converts the fixed line phone into an IP (internet protocol) device so that the user does not have to use a computer and carry it over the broadband internet line.

Globally, this kind of service, which is fixed to one location, is generally offered by broadband Internet providers such as cable companies and telephone companies as a cheaper flat rate equivalent to the traditional landline service. The state-owned telco has tied up with Aksh Optifibre to offer the VoIP service.

MTNL’s move to enter this segment is set to change the market dynamics and force other operators to follow suit. So far, no telco had ventured into internet telephony as they feared this would eat into their revenues from traditional mobile and fixed line calls.

This may also eat into the business models of Internet service providers (ISP) in these metros. ISPs currently offer internet telephony at rates of 50 paise per minute and upwards, but face a severe disadvantage as they can offer this service only from a PC in India to a landline, mobile or a PC abroad. Sources said, BSNL may also launch internet telephony through fixed line instruments in all major cities, though no time frame was given.

Mixed signals emanate on portability

There are mixed signals within the government on introduction of number portability in the telecom sector, it is believed. Communications minister A Raja, while replying to media queries on Wednesday, said that the issue of “number portability” was being considered by the government, and that telecom operators would be consulted for the same.

However, sources in the Department of Telecommunications (DoT) pointed out that “number portability is not a priority issue for the government at this point.”

Raja was speaking to reporters on the sidelines of a conference organised to launch the Telecom Equipment Manufacturers Association’s (TEMA) Export Promotion Forum. According to the minister, the spectrum policy would be in place before the end of this year.

Besides the spectrum policy, DoT would also be busy formulating fresh licensing and merger and acquisition rules once the telecom regulator issues its recommendations, sources pointed out. The Telecom Regulatory Authority of India (Trai) is expected to come out with its recommendations on the new licensing rules next week. So, DoT may not have time to focus on number portability in the near future, sources argued. Also, as many of the telecom operators are opposed to the idea of number portability, it may not be introduced so soon, it is learnt.

Trai had, in March 2006, recommended that the facility of mobile number portability should be in place by April 2007. That was one of the last recommendations/orders issued by former Trai chairman Pradip Baijal. The government has already missed the deadline set by Trai by around four months.

A representative in the GSM industry recently said, “the industry is not fighting number portability, but its timing”.

Number portability is all about shifting to another service provider, while retaining your phone number. The move would have stepped up competition in the telecom industry, thereby improving the quality of service as all service providers would have made an effort to prevent customers from switching to competition.

The Trai recommendation, issued in March 2006, was only for introducing number portability in mobile telephony and not fixed phones.

The regulator wanted the rollout to begin on April 1, 2007, across metros, and then moving to A, B and C category cities within six months.

Most mobile operators have been against the introduction of number portability, as they don’t want to let go of the customer base that they have built. They have been arguing that it’s a case of misplaced priority.

Industry estimates suggest that anything between Rs 1,500 crore and Rs 3,000 crore is required as a one-time cost for upgrading the networks to enable number portability.

Spectrum rules to be in place by year-end

The government today said it would announce the spectrum policy by the end of this year. It would also consult telecom operators on the possibility of introducing a facility to enable customers retain their numbers even after changing the service provider.

“I am very optimistic that the spectrum policy will be ready in a couple of months. It will definitely be before the end of the year,’ said communications minister A. Raja.

The policy has four times missed the deadline given by the ministry because of unavailability of spectrum from armed forces. But the defence ministry is expected to release some spectrum in the next couple of months.

Raja said the department of telecommunications (DoT) was aware of the 2G spectrum crunch but the ministry needed at least 35MHz of radio waves from defence forces.

On number portability, he said, “The recommendations given by the Telecom Regulatory Authority of India (Trai) are being considered.

“It is practiced in many countries and is useful for customers,” he added.

Raja said the telecom ministry was in talks with the defence ministry for more spectrum and the exercise was still on. “Some internal technical assessment is being done by both the ministries to see what are the spectrum bands that have not been used for a long time,” the minister said.

“Once the assessment is over, we will come out with a paper and place it before the group of ministers (GoM) .... It will help the GoM look at the release of spectrum in a broad way. Unless there is a quantum of spectrum available on hand, it is very difficult to say anything,” he added.

He also said the DoT had not decided whether to price 2G spectrum. The DoT has sought 42.5MHz of spectrum from defence forces. An alternative optical fibre network will be provided to the Army and the Navy before they vacate any spectrum.

Tariff hike

On the recent tariff hike by mobile operators, Raja said it would refer the issue to Trai and take a decision only after the regulator’s opinion.

“SMS is a mode of tariff. Tariff is in the control of the ministry. Let Trai decide on it first,” he said.

Trai chairman Nripendra Misra said, “There has been no reference from the DoT to look into the matter so far. I will have to get a communication from them first to be able to say anything on the matter.”

Earlier, the regulator had cited market forces as the cause for the hike in SMS and local call charges by Airtel and Hutch Essar. The GSM operators had hiked local SMS, local and STD call charges by 20 per cent. Most of the private gsm players also hiked std tariffs by over 10 per cent for prepaid users.

Earlier, Misra had said, “Although the recent hike in tariffs is not consumer- friendly, there is no scope for intervention as long as there is forbearance.”

MTNL in deal with AOL

The co-branded portal, mtnl.aol.in will offer a compelling combination of AOL products. This strategic partnership leveraging the inherent strength of MTNL’s network and AOL as a global web services player will bring to subscribes a world class Internet experience


AOL, a division of Time Warner, a leading media and entertainment company, and Mahanagar Telephone Nigam Limited (MTNL), the leading provider of broadband and telecommunication services in Delhi and Mumbai, today announced a strategic partnership which would bring AOL’s products and content to MTNL consumers through a co-branded portal.

The co-branded portal, mtnl.aol.in will offer a compelling combination of AOL products: an easy to use e-mail service, Instant Messenger, content straddling across channel like Cricket, Bollywood, Hollywood, Music, including integrated videos in many channels, in addition to MTNL utilities like Services and Product Offerings, Games, Tariffs Plans and Customer care. MTNL users will have the option of making mtnl.aol.in as their default destination to access content across various channels.

“With adoption of Broadband skyrocketing, this strategic partnership leveraging the inherent strength of MTNL’s network and AOL as a global web services player will bring to our subscribes a world class Internet experience” said J. Gopal, Executive Director MTNL, speaking on the occasion.

Commenting on the deal P G Ponnapa, AOL’s Vice President and General Manager, stated, “We are happy to have partnered with MTNL in launching this portal. AOL’s suite of products and services layered over MTNL’s expertise in total telecommunication services including internet access services and broadband services will catalyze the adoption of the Internet for the Broadband era.

TRAI talks tough with Bharti on network rectification

Telecom regulator TRAI on Tuesday criticised leading cellular service provider Bharti Airtel for proposing to charge extra for rectifying defects and asked the operator to refund such money, if any, taken from consumers.

Examining the tariff reports submitted by Bharti Airtel, which proposed additional charges for rectification of defects, the regulator said, "such tariff packages are anti-consumer and cannot be permitted."

As per terms and conditions of the licence issued to the service providers, the responsibility for maintaining the performance and quality of service rests with operators.

The customer does not choose the quality of material being used in the network by the company and is not responsible for the bad workmanship in the cable, drop-wire among others and has no say in determining the quality of the network elements.

TRAI has given a deadline of one week to Bharti Airtel to report compliance.

The regulator is the process of issuing separate general guidelines to all the service providers on this issue.

In a separate decision, TRAI has amended the guidelines for registration of consumer organisations/NGOs to attract more representation from the states.

TRAI said 28 consumer organisations/NGOs have been registered with TRAI till now. However, over 11 states in the country have no representation in the registered group of consumer organisations on account of certain eligibility conditions in the guidelines for registration.

Consumer organisations/NGOs can now register after one year of experience in assisting the consumers in redressal of complaints against three years earlier.

The amendment also provides for automatic renewal of registration after a period of three years, taking into account the usefulness of the organisation to protect the interest of consumers of telecom sector and their capacity to advocate the cause of consumers among others.

TRAI smells pricing co-operation among GSM players

The telecom regulator will bark but not bite over the recent tariff hike. The Telecom Regulatory Authority of India, or TRAI Chairman Nripendra Misra said that regulatory intervention will set a bad precedent. Reports are that the regulator smells pricing co-operation between GSM players but no cartelisation.

Private GSM players like Bharti Airtel and Vodafone can breathe easy as the telecom regulator is not going to issue a diktat asking them to roll back the recent tariff hike. GSM players hiked local SMS charges, by a flat 20%, on Monday and STD tariffs by 20%, a fortnight ago, much to the dismay of consumers and even the telecom regulator.

A visibly miffed TRAI Chairman Nripendra Misra had earlier indicated that the regulator would explore all options in the interest of the consumer. But private GSM players met Misra on Thursday and explained the rationale behind the tariff hike. The regulator may not have bought the logic but said that intervention is best avoided.

“We have to understand that tariffs are under forbearance. They have been left to market forces and it is a result of that, that we have seen tariffs fall so much. Taking a hasty decision to intervene would set a wrong precedent and I do not want to do that,” said Nripendra Misra, Chairman, TRAI.

But the matter may not die down just yet. A Delhi-based NGO Telecom Watchdog has written to TRAI urging intervention. The NGO has alleged cartelisation by private GSM players and has threatened to take them to court. The regulator says there is no evidence of a cartel but there seems to be pricing cooperation.

"I can smell some kind of a pricing co-operation between the GSM players, but I do not think it is a cartel,” said Misra.

The recent tariff hike is not the only case in point. A couple of months ago all private GSM operators decided against a cut in roaming tariffs, despite all other operators slashing roaming rates. But GSM operators assert that there is only a "meeting of minds" and that no cartel could possibly operate in a market as competitive as this.

Nokia issues battery warning

Nokia, the world’s largest cellphone maker, yesterday joined a growing list of consumer-electronics makers forced to warn customers that batteries shipped with their products could be defective, posing a potential safety risk.

Finland-based Nokia Oyj issued a global alert, warning that up to 46 million of its cellphone lithium-ion batteries used in its cellphones could, in rare cases, overheat due to a short-circuit while being charged. Nokia is offering to replace the batteries.

The batteries, with the designation BL-5C, were made by Japan’s Matsushita Battery Industrial Co. between December 2005 and November 2006.

The alert, issued after 100 instances globally of phones overheating, is the latest in a string of similar problems experienced by consumer and business electronics makers.

Last year, Sony Corp. recalled more than 10 million laptops after it discovered that lithium-ion batteries used in them could overheat and catch fire. The recalls included notebooks made by other major computer makers, including Dell Inc., Lenovo Inc., Apple Inc. and Acer Inc.

Earlier this month, Sony was forced to recall another 1,400 laptop computer batteries in computers made by Toshiba Corp.

Some observers are wondering whether the industry has a more serious problem on its hands than just sloppy manufacturing.

“There’s a very constant trend in the technology industry for devices to get smaller, faster, more powerful and more feature-filled,” said Carmi Levy, a former analyst and senior vice-president of strategic consulting for AR Communications Inc. “That presents a serious challenge to the engineers that have to provide power for all of that stuff because they are given less space.

“This applies to everything — laptops, cellphones, smart phones, MP3 players — they’re all running hotter.” In the absence of new battery technologies, Levy said, battery manufacturers are being forced to stick the same electrochemical components into smaller enclosures, battery cases, which reduces manufacturing tolerances and increases the possibility of defects.

At the same time, device makers are tempted to shoehorn existing battery types into their shrinking product designs, placing the power sources in closer proximity to wires and other components. That leaves less room for the excess heat created by battery malfunctions.

“What’s happening today is that a defect in battery construction, which years ago would not have led to a catastrophic event, is now much more likely to lead to a catastrophic event because the devices are running so much hotter.”

Nokia officials, however, stressed that the vast majority of the company’s cellphones — Nokia sold more than 100 million handsets in the second quarter of this yearalone — have experienced no battery issues.

“There have been a 100 instances out of 300 million batteries so that is a very rare occurrence,” Nowak said, referring specifically to the BL-5C battery type.

Officials also noted that no one has been injured and no property has been damaged.

The warning doesn’t affect any other batteries sold by Nokia or other BL-5C batteries manufactured by other suppliers.

Nokia has so far offered to replace batteries for concerned consumers. Company officials have yet to determine the cost of providing the replacements.

Some are calling on the industry to spend more money on product testing and battery research and development.

Michelle Warren, a senior analyst at Info-Tech Research Group, said the standards for battery performance may need to be elevated to ensure public safety in an industry in which where intense competition can put pressure on companies to cut corners.

“The technology is not perfect,” Warren said. “While the risk is not huge at this point in time, it’s a risk that we all still take every time we use a cellphone or a notebook.”

Cell cos send message, stand pat on SMS hike

Mobile service providers are in no mood to roll back the recent hike in SMS and call tariffs.

In fact, Bharti Airtel and Vodafone Essar, which set the ball in motion earlier this week, are going to get some company.

This move comes even as the regulator had expressed its readiness to intervene in the matter. Bharti and Vodafone had increased local call charges within their own networks in the Delhi circle, under some tariff plans, from Re 1 to Rs 1.20 per minute.

SMS rates, too, were hiked from Re 1 to Rs 1.20 per message. Now more of their global systems for mobile communications (GSM) cousins are planning similar hikes, under select plans, in other circles as well.

India has a total of 23 telecom circles. Service providers were not available for comments. Cellular Operators Association of India (COAI) director-general TV Ramachandran told DNA Money that “only some operators have hiked rates, under some plans. Customers still have the full choice to select from a variety of tariff plans.”

According to Ramachandran, these are “normal market dynamics”. He indicated that such steps are sometimes necessary in a free market, as operators have to run viable businesses and also have to ensure rollout of networks across the country, including rural and remote areas.”

GSM operators, it is learnt, would present their side of the story to the telecom regulator soon.

Falling tariffs, high churn rate and scarcity of spectrum are their main complaints.
Currently, telecom tariffs are under forbearance. This means that market forces are free to fix call charges.

The Telecom Regulatory Authority of India (Trai) has been continuing with the forbearance regime for the past few years as tariffs have been falling.

Train can intervene in tariff matters, if it so feels, by floating a consultation paper on the issue. It also has the option of issuing directions on reducing charges for premium SMSes.

Trai chairman Nripendra Misra, who’s usually opposed to the idea of stiff penalties for telecom operators unless there’s a serious violation, had recently told this newspaper that the “solution lies in persuading telcos, and not in suspending their licences.”

In any case, industry representatives maintained that telecom tariffs in India are the lowest in the world. In the past 12 months, call charges have dropped in the range of 12-15% on an average in the country, they pointed out.

“So, why just highlight the increase in tariff under select plans by some operators,” the sources argued.

In a recent study, Trai had said that the average revenue per user (ARPU) per month for mobile operators had dropped 6.2%, from Rs 337 in the quarter ending September 2006 to Rs 316 in the quarter ending December 2006.

While the ARPU of GSM operators in the post-paid category had declined 1.7%, from Rs 643 per user per month in September 2006 to Rs 632 in December 2006, in the pre-paid segment, it dropped 5.3% from Rs 277 to Rs 262.

In the code division multiple access (CDMA) services, operators recorded a 8.83% decline in blended ARPU, from Rs 215 in September 2006 to Rs 196 in December 2006. CDMA post-paid ARPU is Rs 456, while that in pre-paid segment is Rs 159.

Bharti, Vodafone hike mobile tariffs

Faced with declining average revenue per user (ARPU), mobile operators are now increasing their tariffs.

Bharti Airtel and Vodafone Essar have increased local charges for calls within their own network by 20 per cent. All pre-paid and post-paid subscribers using the low-end tariff pack with rentals less than Rs 150 per month will have to pay Rs 1.20 per minute instead of Re one a minute for Airtel-to-Airtel calls and Hutch-to-Hutch calls.

New SMS rates

The two operators have also increased local SMS rates to Rs 1.20 per message for all users — both pre-paid and post-paid — from Re one earlier. This comes within a few weeks of an increase in STD rates in Delhi. Both Bharti Airtel and Hutch had increased their STD rates to Rs 2.60 per minute from Rs 2.40 per minute and Rs 2 per minute, respectively.

The increase in tariff comes even as the operator’s revenue per user continues to dip over the past year. The national average is hovering around Rs 300 per user per month, which is among the lowest in the world.

Though operators such as Bharti Airtel have stopped using ARPU as a measure for checking the financial health of the company, the increase in tariff targeted especially at low-end users clearly indicates the operator’s concern about declining ARPUs. Other operators are also likely to follow suit given that the two largest cellular operators have taken the lead.

Consumer groups, however, pointed out that the operators have not given any publicity to the increase in tariffs to create awareness among users. They said that the telecom regulator should take a look at the revised rates. The operators, on the other hand, said that advertisements were issued to inform the subscribers. The increase comes even as the Communications Ministry has made lower tariffs as one of its primary goal this year.

New twist to spectrum war

GSM operators believe that CDMA players are getting additional spectrum virtually free.

Their apex body, the Cellular Operators’ Association of India, has written to telecom minister A. Raja to voice its anguish.

COAI director-general T. V. Ramachandran said, “The cost of spectrum for CDMA operators such as Reliance Infocomm and Tata Teleservices remains static at 2 per cent of the adjusted gross revenue (AGR) of their wireless business for up to 5 MHz of spectrum. For GSM players such as Bharti, Hutch and Idea, spectrum cost will be 2 per cent of AGR for 4.4MHz of spectrum; 3 per cent for 6.2MHz; and 4 per cent for 8MHz.”

Earlier, the Association of United Service Providers of India (Auspi), a CDMA operators’ body, had petitioned the telecom minister demanding that all GSM operators be made to pay for additional spectrum allocated to them beyond the 6.25MHz prescribed in their licences.

According to CDMA operators, under the unified access service licence (UASL), every GSM operator is entitled to only 6.25MHz of 2G spectrum and each CDMA operator up to 5MHz free of cost. They feel any allocation over and above this should be priced.

GSM operators have contested this and said that licences awarded by the government did not cap the spectrum allocation at 6.25MHz for GSM players.

“A high-level committee set up by the government in 2003 looked into the spectrum issue in a transparent manner and provided for an allocation of up to 15MHz for every GSM operator,” said Ramachandran.

Moreover, COAI argued that GSM players had already paid an additional 1 per cent charge on each additional tranche of spectrum that had been allotted.

“It is estimated that the GSM industry has already paid over Rs 1,800 crore on account of additional allotments of spectrum over and above the base spectrum usage charge of 2 per cent,” COAI said in its letter to Raja.

Ramachandran welcomed the CDMA lobby’s demand for a high-level probe into the allocation of spectrum to GSM operators. However, he petitioned the government to also probe the entry of CDMA operators into mobility services. He feels the Centre should explore how limited mobility WLL(M) services have morphed into full-blown mobility services.

Ramachandran referred to the 2003 judgment of Justice D.P. Wadhwa, then chairman of TDSAT, which said, “The grant of limited mobile and use of handsets is not legal.” Wadhwa had said that the licences of the fixed service providers “shall be revoked” based on the extent to which they had been modified to allow limited mobility.

DoT to form panel for spectrum pricing

The department of telecom (DoT) has decided to set up a committee for spectrum valuation and pricing. This significant step follows a TOI story on August 2, revealing that the defence ministry in a late July communiqui, has refused to vacate spectrum till a secure alternate communications network for all three wings of the defence forces is built.

The cost of this exercise is estimated at upwards of Rs 6,000-8,000 crore with annual expenses at over Rs 1,000 crore, Pressure, on account of extremely public altercations between GSM and CDMA operators on the value and process of allocation of spectrum, is also a strong trigger, evident from the fact that the committee has been given just six weeks to submit its report.

CDMA firms allege that GSM operators have received spectrum far more than the contracted amount of 4.4 to 6.2 MHz, without any policy to support such allocation. Pressing for an investigation, they have urged government to extract a fair value of spectrum given above the contracted amount.

However, GSM players insist that they have paid Rs 1,800 crore for use of spectrum over and above the entry fee and an additional Rs 6,000 crore is payable over the next few years, even if the current policy continues.
CDMA and GSM operators also disagree on whether or not the current policy of subscriber-linked allocation can continue. It is in this background that the committee will make its evaluation.

The committee is being chaired by deputy director general (WPF), with joint wireless advisor, DDG-access services and deputy wireless advisor as members. It is expected to take into account existing practice and all other relevant aspects for determining appropriate spectrum valuation and pricing.

Th e committee can consult experts and obtain views of various stakeholders as appropriate. This provides an opportunity to contradict rivals positions on spectrum valuation.

The committee may also invite international experts who have global experience of spectrum valuation apart from existing operators, confirms a DoT official. The committee's mandate includes reviewing current spectrum charges to ensure optimum use of scarce resource of RF spectrum, taking into account the need for similar level of charges through different methods.

It will also examine the need for differential pricing for various parts of spectrum (frequency bands) considering the level of demand (high, medium or low), to encourage users to move from highly congested parts to others. Further, it will examine the need for differential pricing for usage in different areas of the country.

Airtel Ties Up With Google For Web-based Services

Bharti Airtel Broadband & Telephone Services (B&TS) and Google entered into a strategic alliance to work together in bringing web-based services to Airtel's broadband internet customers. As part of the agreement, Airtel will offer its broadband customers a world-class portal including Google Search for web-based queries, Google Gmail with 2 GB storage, Google Talk instant messaging/ chatting service, Google Docs and Spreadsheets so users can share and collaborate in real-time, and other services like Desktop & Internet Security Services (consisting of Anti-virus, Anti-spyware, Firewall & Parental Control); Web SMS, On-demand gaming service and music download service, etc.

Besides these offerings, customers will get the option to personalize their Internet start page with content of individual preference - news, blog postings, weather and other interactive content and services through thousands of gadgets as well as content/ information from any site that gives XML feeds.

Airtel Broadband customers will be able to access all these services with a single sign-on completely free of cost. The portal will make it easy for customers to access their email, search the web, share ideas, connect with friends and publish content. More offerings like e-commerce applications will be added to the portal over a period time.

"In India, it is rich and differentiated services and content riding on an innovative internet experience that will drive the adoption of broadband. Airtel is delighted to partner with Google, a company that has led the creation of innovative internet experiences, to bring its innovative products to our broadband consumers," said Atul Bindal, President, Airtel Broadband & Telephone Services.

Shailesh Rao, Managing Director, Google India said, "Google is committed to enriching the online experience of users in India. The alliance will provide an ideal platform for Airtel users to enjoy the best possible online experience with customized access to Google's evolving suite of innovative products."

According to Jai Menon, Director, IT and Innovation Bharti Airtel Limited, three set of services will be made available to the customers of Airtel Broadband with a single sign-on completely free of cost.

"We will allow three sets of services. One there will be Airtel set of services - music, gaming and video messaging. Second is completely Google set of services and third is a local content developers' gadget," said Menon.

It will become very easy for customers to access their email, search the web, connect with friends and publish content. Airtel plans to add more offerings like e-commerce applications to the portal over a period time.

TRAI to take operators to task on threatening calls

Alarmed by the rising number of threatening calls made to defaulters, who do not pay their bills, the Telecom Regulatory Authority of India (TRAI) is planning to take the operators to task.
The regulator has sought information from telecom licencees on their recovery methods, under an attempt to curb the growing problem.

“A large number of subscribers are receiving threatening calls for payment of outstanding dues, which may or may not be correct. This is not specific to any company, but if this practise goes unchecked it would bring a bad name to the entire telecom sector,” Trai said in a letter to the telecom oerators’ associations.

The regulator was of the opinion that calls made by “anti-social bullies” are also being extended to the subscribers’ relatives and friends. Strongly objecting this, Trai was of the opinion that this was not possible without the help of the operators who would be providing the call data recorder (CDR) details to these outsourced agencies.

“The telecom operators are not taking enough care to check the veracity of details, credentials, authorisation and there is an apprehension that even CDRs have been shared,” it said.
Telecom companies and banks have outsourced their recovery operations to direct-selling agents (DSA) and agencies, who in turn, call up the defaulters. These agencies threaten users with non-bailable warrants, while some of them use force by sending “bullies” to customer premises.

Similar incidents have been largely reported in the last two months, which is a serious and an undesirable practice. This is also a blatant violation of licence conditions, the regulator said.
According to an industry analyst, Trai has the power to bring the telecom companies to book, if any of these operators are found to be guilty of such practices. At present, the regulator is looking at curbing this menace.

Idea to start Mumbai operations in 3-4 months

GSM service provider Idea Cellular on Wednesday said it would start operations in the Mumbai circle within 3-4 months once the spectrum allocation imbroglio is sorted out.

The DoT had cleared Idea's application to launch services in Mumbai in August 2006, following the exit of the Tatas from the company. Idea Cellular was also awarded the letter of intent (LoI) for its Mumbai foray during the same month and since then, the company has been awaiting the allocation of spectrum to begin its services in this metro city.

"We are aware of the reality of the current situation. The company is in a position to roll out servives in Mumbai within 3-4 months after spectrum is allocated," company's Chief Corporate Affairs Officer Rajat Mukarji told reporters at a function.

"We had hoped that spectrum will be allotted to us by the end of July and we are in constant touch with the government to sort out the issues as soon as possible," Mukarji said adding that they are hopeful that all things will be worked out.

The company had not received any formal communication from the government regarding spectrum allocation for the Mumbai circle, he said.

It has also applied for spectrum in Bihar circle, and the ministry would look at providing the frequency.

"We have filed applications for the rest of nine circles as well," Mukarji said.

Idea Cellular, had applied for the Mumbai license in late 2005, but the DoT had not processed its application for over an year as the Tata Group was a JV partner in the country.

Idea is the fifth largest operator in the country. The company has licence to operate telecom services in 13 of the 23 circles in the country. On June 30 this year the company had over 16.1 million subscribers.

CDMA,GSM players in tug-of-war over extra spectrum

A war of sorts has broken out between GSM and CDMA operators over whether the department of telecommunications (DoT) is bound by contract to allot extra 2G spectrum without any additional one-time fee.

The Cellular Operators Association of India (COAI), representing GSM players, has been writing to communications and IT minister A Raja, highlighting how the government is bound by contract to provide extra spectrum without any additional charge.

But The Association of Unified Service Providers of India (Auspi), which represents CDMA operators like Reliance Communications and Tata Teleservices, has shot off a letter, charging GSM players with misrepresenting facts and providing veiled threats of litigation.

In a letter to Raja, Auspi secretary- general SC Khanna has said that cellular operators using the GSM technology have been allocated more spectrum than what the licence agreement allows.

He has also said that the GSM players have been allocated extra spectrum until 2002 unauthorisedly.

Auspi has charged that GSM operators have been hoarding spectrum, leading to large buyout valuations, as can be seen from the recent take over of one of the leading operators by an international company.

"In view of this, we trust that the government will not be impacted by the veiled threats of legal actions by any section of the operators, and will go ahead and take necessary actions in the best interest of the country and subscribers," the letter says.

GSM firms given additional frequency: CDMA operators

The Association of Unified Service Providers of India (AUSPI), the apex body of CDMA operators, has shot off a letter to the telecom ministry alleging that the GSM operators were given spectrum “way beyond their licences”.

The move will result in a direct confrontation with its GSM counterpart the Cellular Operators Association of India (COAI) which had earlier refuted its members were provided free spectrum.

“It is no secret that the spectrum allocation to GSM operators has been way beyond the amounts contracted by their licences. However, COAI by quoting different provisions of the license relating to spectrum charges and subscriber base criteria is trying to establish that the licence entitles them to get spectrum beyond the contracted amount.

This too, without paying any additional upfront charges,” AUSPI Secretary General SC Khanna said in the letter.

When contacted Khanna confirmed the development. The letter addressed to Minister of Communications and Information Technology, also alleged that the GSM operators association had not quoted any licence agreement that provides it right to frequencies beyond 6.2 + 6.2 MHz.

There have been different provisions in the licence, but still all the licences refer to spectrum allocation of a maximum of 4.4 + 4.4 MHz, while the fourth cellular licence refers to maximum of 6.2 + 6.2 MHz.

Accusing COAI of presenting “a one-sided, distorted and inaccurate position”, AUSPI has stated that under the Universal Access Service Licence (UASL) the spectrum is capped at 5 + 5 MHz for CDMA and 6.6 + 6.2 MHz for GSM operators.

COAI had also claimed that the government had contractually agreed to provide it upto 15 + 15 MHz spectrum, which is a “complete distortion of truth”. Earlier this month, COAI in a letter to the minister had refuted allegations that its member firms were given free spectrum that resulted in a loss of Rs 1,800 crore to the exchequer.

Dual SIM phones ringing at last

Cell phone users needn’t be torn between CDMA or GSM technologies before taking a mobile connection, anymore. Now, one can have both on the same phone.

Spice Mobile and Samsung have launched handsets that allow the user to load two SIM cards instead of one.

The Spice Dual comes with two variants — D-88, which supports both GSM and CDMA active connections at the same time, and D-80, which supports two active GSM connections — both priced at Rs 9,849. Switching from one connection to the other is as easy as just pressing a button and the phone provides four basic operation modes — GSM and CDMA dual; CDMA and GSM dual; CDMA only and GSM only.

On the other hand, Samsung’s first touchscreen-based dual SIM phone — Samsung Duo - would cost Rs 11,999, Hyunbai Kim, head, CDMA division, Samsung Telecommunications India informed.

Meanwhile, Reliance Communication has already tied up with suppliers and will also launch these dual SIM handsets before the festival season Dual SIM phones are already in use in China and Korea.

Kunal Ahooja, CEO, Spice Mobile Ltd told, “As one handset per person was not enough, increasingly many are toting around two phones — one for work and one for private use. Our dual phones help get rid of the problem.”

What’s more, users get a call waiting tone if another call comes on the other SIM and can either swap or reject the other call. Thus, both the SIMs can remain active at same time.

Industry experts believe these dual SIM handsets would particularly help people who travel extensively and want to minimise their roaming costs. Even international travellers can now use a single instrument and a single charger, retaining the home network number as well as the visiting country SIM. Effectively, this helps avoid the inconvenience of carrying two phones without sacrificing the advantage of choosing the best tariffs while traveling, especially when overseas.

According to an estimate, dual SIM handsets can capture almost 10% of the present mobile market, putting the size of the dual SIM handsets market at 5 million annually.

GSM operators under attack from CDMA lobby

GSM-based mobile players, under attack from CDMA lobby for allegedly getting additional spectrum free of cost, on Friday countered the charge saying they have paid about Rs 1,800 crore on radio waves till date.

"GSM operators are paying an extremely high charge for the additional spectrum that is alloted to them," it said in a letter to Telecom Minister A Raja.

As per the existing regime, the GSM industry over the next three years alone will pay over Rs 10,000 crore as spectrum usage charges to the government, of which almost Rs 6,000 crore would be on account on the high incremental charges being applied by the government over and above the initial two per cent charges.

Spectrum is not being given away free to the GSM operators and in fact a very heavy price is being imposed on the operators as charges for GSM spectrum use, TV Cellular Operators Association of India (COAI) director general Ramachandran said in the letter to Raja.

The lobby claimed that the government is likely to recover 10 times the entry fee over licence period from spectrum usage charges.

As per the current formula, GSM operators with 10 MHz of frequency are paying a charges of four per cent of Adjusted Gross Revenue and this would increase to six per cent for allocation of 15 MHz, Ramachandran said.

Ericsson accepts BSNL's GSM tender

Ericsson has accepted the Rs 5,150-crore tender from Bharat Sanchar Nigam Ltd (BSNL) to supply 13.2 million GSM lines to the state-owned company.

The equipment company submitted a bank guarantee after accepting the offer.

A senior executive of Ericsson confirmed that it had submitted the bank guarantee. BSNL will fork out around Rs 3,901 per line for the order which will be both for 2G as well as 3G lines.
Under the advance purchase order the company will now supply 9.7 million 2G lines and another 3.5 million 3G lines but only after the government finalises the policy on the new service.

Nokia, which is the second highest bidder, is also expected to submit its bank guarantee for a combined 2G and 3G order of around 9.5 million lines.

The new price is much lower than what Ericsson, which was the lowest bidder for the earlier 45.5 million line contract, had bid for at Rs 4,965.

The initial order was halved by the BSNL Board.

Motorola, Tata Unveil the Moto Q

Motorola and Tata Teleservices today launched the Moto Q in the country.

The ultra-thin QWERTY device is based on a Qualcomm Multimedia Platform chipset designed to drive rapid development and adoption of high-speed wireless data applications. And, the phone runs on the Microsoft Windows Mobile 5.0 operating system.

Malcolm Dawe, vice president and general manager, Motorola India Mobile Devices, said, "The Moto Q is a must-have device that enables true seamless mobility by liberating all of us from the constraints of our offices and living rooms. It brings together all converged solutions users need to work, stay in touch, and have fun. With best voice, data, and design technology in one ultra-thin, intelligent, hard-working device, the Moto Q enables increased productivity and entertainment on-the-go."

Vinayak Deshpande, president of Enterprise and HNI Business at Tata Teleservices, said, "It gives us great pleasure to further widen our association with Motorola. At Tata Teleservices, it is our constant endeavor to enhance the quality and convenience of everyday life, through the use of superior technology available at a reasonable cost."

With the Windows Mobile 5.0 OS, Motorola believes it is putting an 'intelligent' device into users' pockets. The phone offers built-in rich multimedia functionality, and Bluetooth stereo music streaming. It comes pre-loaded with the full-length Bollywood movie 'Dus', 5 MP3 songs, and customized wallpapers.

Salient features of the phone include: integrated Bluetooth 1.2 wireless technology with stereo profile support for communicating with Bluetooth-enabled headsets, car kits, and other devices; integrated 1.3 megapixel camera with video playback and capture; fast downloads of data, email, and large attachments; familiar thumbwheel to enhance navigation; synchronization with email, calendar, contacts, and tasks entries; and integration with Windows Mobile 5.0 OS for user convenience and access to Yahoo!, Hotmail, and other POP3 services.

The Moto Q can also be availed on the Tata Teleservices' exclusive Business Platinum 649 plan, wherein subscribers can enjoy free monthly usage of up to 512MB. They can also get Rs 150 worth of free local calling.

This exclusive package carries a price tag of Rs 19,999, and comes along with a 512MB miniSD card with preloaded content as well as an additonal high capacity (1640mAH) battery.