Towards a new policy framework for spectrum management in India

With more than 500 million subscribers, India is the second largest mobile phone market in the world after China. With an average of 15 operators having been given licenses and 8 operators already providing the second generation (2G) mobile services in each service area, the Indian mobile market is also the most competitive in the world. Spectrum which is a constrained essential input for mobile services is also highly fragmented leading to possible industry inefficiencies. The future of the market lies in the roll-out of services in rural areas and the adoption of mobile value added and data services. This paper critically examines the current policy framework of spectrum management in India and provides policy prescriptions for the future.