Friday, November 19, 2010

2G licenses of six service providers cancelled says TRAI

Cancellation of 2G licenses of 6 service providers by the TRAI emerged as the aftermath of the 2G spectrum scandal that has been rocking the congress by its roots. 69 licenses have been cancelled of some of the new service providers since as per the CAG report submitted to the court, these operators have not been able to rollout the service on time, ever since the attainment of license.
Some of the affected service providers are newcomers in the market. These include Etisalat DB, Videocon, Uninor, Loop Telecom, Sistema Shyam and Aircel. These operators were required to rollout their services to almost 90% of the areas in Metropolitian cities within a year of obtaining the license. The service providers had obtained their licenses in the year 2008, but had failed to launch the service even by December of 2009.
The TRAI initially considered imposing a fine amount on the defaulters, but later on decided to cancel the licenses of the defaulting service providers altogether. TRAI plans to extend the vacated 2G spectrum to more established service providers who are sure to roll out the service on the prefixed time.

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