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Getting revenue of $2 billion from the auction of 3G Spectrum Technology is unrealistic

ISLAMABAD: The government's expectation of getting $2 billion from the auction of 3G Spectrum Technology is unrealistic, ARY News reported.

Experts opinioned that an exorbitantly license fee is believed to cause further delays for the arrival of key modern day internet service in the country.

Talking to media some experts from telecom sector said that unimpressed by the state of existing nation-wide infrastructure, the market players are reluctant to acquire the high-priced 3G licensing, as the telecom experts nearly rule out the participation of new investors in the auction for relatively new cellular technology licences.

"A minimum fee benchmark should be set to attract a wider participation from existing operators and new investors to help the country attain a greater economic growth through deployment of internet services," they added. However, all the opinion from the telecom sector were unanimous to suggest that the government should not delay the bidding process as the late deployment of 3G internet facility would hurt national economy. "It is clear that the existing operators are keen to transform from 2G to 3G but at a relatively low cost," they said. 

They warned the government that its high license fee may dissuade new investors from participation in the bidding. "External players without having the infrastructure are unlikely to enter 3G auction at the present rate of license fee while the existing players are reluctant," they argued. 

Experts said the existing operators may invest in the 3G technology but will not be able to spread out their networks fully across the big cities, which they have set as revenue acquisition centres. "The high-priced licensing is feared to restrict the spread of 3G internet facility to a mere few big urban centres despite its availability in the country," they said. 



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