BWA expected to see high biding

BWA expected to see high bidingThe Broadband Wireless Spectrum Auctions (BWA), that are going to take place on Monday, will be seeing some big offers.

It is said that many of the telecom companies, Internet companies and chipmaker, Qualcomm, are going to take part in this.

BWA is important since the airwaves are necessary for providing future technologies. Experts have already predicted that the auctioning of these waves will be a furious as 3G spectrum sale.

In this, 20MHZ of airwaves are under the hammer, is four times that of 3G spectrum. It is also said that BWA can be an asset when it comes to voice-service.

To start with, the reserve price for pan-India licenses is Rs. 1,750 crore. 3G spectrum was able to make more than Rs. 70,000 crore.

Analysts have estimated that the price for pan-India license will be somewhere between Rs. 8,375 crore. This is just 50 per cent of the price paid for 3G. And that is why it is expected that more and more companies from various verticals of the sector will take part in it.

India, has 600 million mobile users and has a tele-density of just 50 per cent. Even lesser is broadband penetration, which stands at 1 per cent.