3G guidelines next month, foreign cos can offer services: Raja

Government today said guidelines for 3G services will be issued next month and foreign players will be allowed to offer this service in the country whether they come through open auction route or via the existing law, which allows 74 per cent FDI ...

NEW DELHI: Government today said guidelines for 3G services will be issued next month and foreign players will be allowed to offer this service in the country whether they come through open auction route or via the existing law, which allows 74 per cent FDI in telecom companies.

"If there is common auction or open auction, there will be no bar. There is up to 74 per cent FDI allowed in Indian telecoms firm, and these partnerships can also start 3G service. Either way foreign players will be allowed," Telecom Minister Andimuthu Raja said on the sidelines of an Assocham event.

Raja, who will discuss the issue of foreign players entry in the 3G services with Prime Minister Manmohan Singh soon, said the modalities of working out the spectrum auction for 3G services has been referred to the Law Ministry.

He also said operators could roll out services by January 2009 or end of this year. Raja said all existing operators are ready for 3G rollout and it does not need new infrastructure.

Department of Telecom has already issued draft 3G guidelines.

The 3G roll out has been stuck on two counts -- release of spectrum by defence forces and differences between TRAI and DoT over the entry of foreign players.
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DoT wants foreign players to come in, while sector regulator TRAI has recommended existing domestic players to offer 3G services that allow faster data download among other video applications.
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