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Govt To Allocate Spectrum At Reasonable Cost: Raja

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NEW DELHI: Amid growing controversy over the pricing and allocation of spectrum, the government has said it will ensure that the licenses are awarded at a reasonable cost so that the operators can create a long-term profitable business model.

Telecom Minister A Raja said in Kuala Lumpur: "We also need to ensure that the licenses are awarded at a reasonable cost, so that the operators can create a long-term profitable business model for the whole eco-system."

Besides, he added that the government believes in simplifying the spectrum licensing terms and making them success-based.

The time has now come for India to move to the next generation in mobile services. World over, 3G mobile/broadband services are taking off exponentially, he added.

Talking about the broadband penetration, he said by 2012, India would see about 500 million of its population connected to the Internet, with more than l00 million broadband connections, and 100 million broadband enabled devices to drive this "Connected Indian" milieu leading to the development and growth of a vibrant economy.

He further added that the government is in the process of establishing 1,12,000 broadband and Internet enabled Common Services Centres (CSCs) across the country.

"The CSCs are being set-up on public private partnership mode. The scheme would entail an investment of about 1.8 billion dollars over four years," he said.

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