The GSM auction raised in total INR 94 billion (USD 1.7 billion), according to the preliminary results from the Department of Telecom. Idea Cellular acquired four blocks of 2x1.25MHz each in Assam, Kolkata, Tamil Nadu, the North East, Orissa, Jammu & Kashmir, five in West Bengal and one block in Bihar.
Telenor, bidding through its new venture Telewings, acquired four blocks each in Uttra Pradesh West and East, as well as four blocks in the regions Maharashtra, Gujarat, Bihar and Andhra Pradesh. The total price is INR 40.18 billion, of which 33 percent is to be paid upfront, the operator said.
Bharti Airtel took just one block in Assam, and Videocon obtained four blocks each in Uttar Pradesh West and East, Madhya Pradesh, Haryana, Gujarat and Bihar.
Vodafone India obtained the broadest coverage with two blocks in Assam, Bihar, Haryana, Jammu & Kashmir, Madhya Pradesh, North East, Orissa, Uttar Pradesh West and West Bengal and one block in Himachal Pradesh, Kerala, Maharashtra, Punjab and Uttar Pradesh East. As an existing operator, Vodafone was limited to one or two blocks in each area. The total cost of the spectrum was INR 11.28 billion.
Vodafone said in a statement that the government could have raised more from the auction if it also put up for sale additional unused frequencies in the 800 and 900MHz bands and set lower reserve prices. It also called for an end to progressive annual spectrum fees, saying all operators should pay the same flat amount to cover the administrative costs.
With up to 11 blocks available in each region, a large amount of spectrum was not bid on, including the lucrative areas of Mumbai and Delhi, which carried the highest reserve prices. Due to uncertainty over the government's policy on refarming 900MHz licences and the pricing of additional spectrum bands, many operators did not participate in the auction or limited their bidding to areas where they already have a strong presence. The Department of Telecom noted the results are preliminary until approved by the government.
