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COAI Annual Report 2009-10
Our Vision
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COAI Annual Report 2009-10
CONTENT
I. CHAIRPERSON’S MESSAGE 1
V. COAI STRUCTURE 18
D. COAI Secretariat 38
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COAI Annual Report 2009-10
C. Wireless Penetration 69
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COAI Annual Report 2009-10
I. CHAIRPERSON’S MESSAGE
At the outset I would like to begin with thanking all of you for the
honour and faith reposed in me and the support provided during my
tenure as the Chairperson of COAI for 2009-2010. It is indeed been
an honour and privilege to be part of the vibrant Industry and to be
associated with COAI and its many successes.
As I look back, I see a sea change and an absolute transformation in the manner that the
industry is viewed today. Indian Mobile Telecommunications is now considered the poster boy
of Reforms and the Liberalization process. It’s use has filtered down almost to the lowest strata
of society and is providing significant / tangible economic and social benefits to the common
man. The benefits of mobile telephony to the Indian populace are also universally
acknowledged and they find place of pride in many case studies to demonstrate how
connectivity can transform an entire economy.
Studies have established that an increase of mobile tele-density by 10% can boost GDP growth
rate by as much as 1.2%. This is a significant contribution which is of great relevance and
important for the Indian citizens. It is also important to note that such benefit is estimated on the
basis of 2G mobile telephony, once India moves towards 3G i.e. mobile broadband, experts
estimate that the benefit in GDP growth rate would be much higher. As such, the national
telecom policy should be drafted recoganising Telecom Industry as a powerful engine for the
socio-economic development of the country. It should also incorporate the notion that the
Telecommunications Industry is not there to raise revenues and close the government budget
gap, but is an industry that needs to be nurtured to ensure the National Development goals are
met through dynamic market forces unleashed by the industry.
The coming years will see more and more emphasis on the penetration in the rural market and
deployment of 3G. With rural tele-density at about 21% as compared to urban tele-density of
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COAI Annual Report 2009-10
110%, the rural consumer is lagging far behind his urban counterpart in respect of availability
and access to world class mobile telephony services. Rural telephony must be a priority
agenda item for the industry. Efforts should be made to leverage and utilize the huge corpus in
the USO fund to achieve rural connectivity objectives in an expeditious and timely manner.
While much has been achieved there is more to be accomplished for and by this dynamic
sector. However, the sector is heavily burdened with Levies and duties, which leaves operators
with inadequate funds for expansion of services. We must renew our efforts and seek a
rationalization of the current tax and levy structure on the sector to bring it in line with
comparable regimes so that affordability of services can be improved further which in turn will
not only encourage increased take up of service but will also improve usage. Further, we should
continue our efforts for seeking a uniform Licence regime as it will go a long way in simplifying
the system and ensuring level playing field.
A proper regulatory & policy environment is a key driver for continued investments, growth and
sustainability of this sector. Today, there is a clear need for a long-term sustainable policy and
regulatory environment which ensures that the industry can continue to invest and grow with
confidence. “Light touch” regulation which fosters growth using the dynamic forces of the
private market places, is the need of the hour and I hope that the regulatory and policy
framework will move in the desired direction in the coming years.
At present spectrum usage charges are applied at an escalating rate where under higher
tranches / allocations of spectrum attract a higher charge and operators become eligible for
additional spectrum only after achieving pre-defined subscriber criteria. The association needs
to continue its efforts to advocate for the introduction of a spectrum policy that is rational and
ensures transparency in spectrum allocation, pricing and usage. It is also important that India
should be in alignment with globally harmonized bands and interference free co-existence
should be the key principles in spectrum management.
The availability and deployment of the telecom equipment and infrastructure is a matter of great
concern at this juncture especially when we are rolling in the rural areas and the capacity
demands are bigger than ever. While the concerns of national security are shared by all, it is
important to determine the proper role of communications companies in ensuring national
security. Similarly, Uniform policies should be laid out by the Central Ministry for the optimal
growth of telecom infrastructure in the country, and emphasis should be laid on the coordination
of policies between the Centre, State and local governments so that National Policies are not
frustrated by inappropriate state & local policies and mandates.
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COAI Annual Report 2009-10
There is no doubt that currently the Indian market is hyper-competitive, with as many as 12-14
operators in each service area as compared to 3-4 operators in other parts of the world. Studies
have shown that the presences of 5 to 6 companies are more than adequate to provide effective
competition. We should work to ensure that appropriate M&A policies are adopted to facilitate
consolidation that promotes efficiency.
Last but not least, I believe that COAI brings with it commonality of purpose and achievement of
common objectives for the growth and protection of this sector. I would once again reiterate that
for the larger benefit of this sector, members should not compromise on the long term interests
of the industry to accommodate a short term interest and the Association should continue to
operate and function in the same spirit of unity as it has in the past.
I would also like to place on record my appreciation and gratitude for Mr. Sanjay Kapoor Vice
Chairperson, members of the association, Mr. T.V.Ramachandran, Mr. T. R.Dua and the
secretariat for providing unstinted support and assistance to me during my tenure and I wish
them good luck for the future, and assure you of my continued support in achieving our common
objectives.
Suneeta Reddy
July 5, 2010
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COAI Annual Report 2009-10
In the words of our Hon’ble Prime Minister, Sri Manmohan Singh, the
telecom sector has a key role to play in country’s economic
development - “The importance of the flow of information for a fast
modernizing economy cannot be over-emphasized. A strong
telecommunications sector promotes social well-being and facilitates
rapid economic development”,
This growth needs to be sustained. The industry is operating in an environment that is stretched
between a very high tax and levy structure and the lowest mobile tariffs in the world. There is
also hyper competition - as compared with an international average of 3-4 mobile operators,
India has as many as 12 to 14 mobile operators/licensees in every service area. This high-
growth and intensely competitive scenario has clearly placed an added pressure on the market.
The time has come that the licensor and regulator take note and create a regulatory
environment which is conducive and adopt policies which aid future growth and sustainability.
The past year has witnessed various initiatives by the industry that will have long term positive
impact on the growth of the Indian telecom sector. Some of these developments have already
translated into benefits – both for the sector and the consumers. Others, once completed, will
further transform the face of this industry.
The Association has done some commendable work under the aegis of ACT. These include
overseeing and ensuring the implementation of the customer verification processes for the
industry and conducting various regional workshops. This has provided a common platform to
Government, Security Agencies and the industry to work together to meet the common end
objective of National Security. Such initiatives on the part of the industry have been much
appreciated and have resulted in progressive policy initiatives from the Government.
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COAI is also working extensively towards educating the public and clearing misconceptions/
myths on the Electro Magnetic Field and health-related issues. The Association was
instrumental in the adoption of International safety standards of International Commission on
Non-Ionizing Radiation Protection (ICNIRP) for the telecom sector in India and the development
of test procedures for testing compliance with the ICNIRP limits/ guidelines.
Another milestone that we achieved this year was the implementation of a minimal charging for
Agent-assisted general queries received at the Customer Care Centres. Telecom operators had
invested heavily in setting up dedicated customer care centres/ IVR systems and were not able
to recover their costs recover due to the TRAI mandate for Toll Free Services for customer care.
Customer calls for complaints and service requests remain Toll Free.
The Association is also playing a key role in key issues like - the implementation of Mobile
Number Portability, infrastructure related issues, standardization of guidelines for Mobile
Banking, development of vernacular language SMS and use of 700 MHz for availability of
affordable mobile broadband, especially in rural areas.
The year also witnessed the much awaited 3G and BWA auctions, laying the groundwork for
faster internet connectivity and data transfer on mobile phones, boosting usage of data services
in the cellular market. Commencement of 3G would give a major impetus to the growth and
penetration of mobile broadband services in the country and the mobile industry is keen to
deliver on its promise to make affordable broadband services available to the consumers in the
shortest possible time frame.
Going forward, the key challenge before the industry will be the aggressive rollout into rural and
remote areas and successful deployment of 2G and 3G networks. There is an immediate need
to focus on issues related to security clearances, uniform guidelines for the installation of
infrastructure across the country, availability of content for 3G and development of Value Added
Services to enhance the revenue generating stream for the industry.
Another area of focus is the recognition of Telecom as a vital public utility service. It has been
well established and documented that an increase in Tele-density has a direct correlation with
the growth in GDP. Therefore, it is imperative that Telecom should to be recognized and treated
as an important public utility that delivers clear and substantive benefits to the economic growth
of the country and the welfare and wellbeing of its citizens. Going forward, 3G technology would
act as a major catalyst for social and economic empowerment by enhancing social initiatives
such as delivering Tele-Education, Tele-Medicine, etc, increasing productivity and overall quality
of life.
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COAI Annual Report 2009-10
On behalf of COAI and its members, I would also like to put on record our deep appreciation
and gratitude for the invaluable contributions of Mr. T.V.Ramachandran, who served, nurtured
and built an institution of credibility. I would also like to thank Mr. T.R.Dua, who very ably
handled all responsibilities and activities of the association. I would finally like to extend a warm
welcome to Mr. Rajan S. Mathews - the new Director General of COAI.
I would like to thank Ms. Suneeta Reddy for her leadership and guidance to the Industry; to all
members of the association for their invaluable support and the Secretariat for the hard work put
in by one and all. I am confident that their continued work as a team will contribute to the
furtherance of growth of this sector for the benefit of the customers and stakeholders of this
vibrant industry.
Sanjay Kapoor
July 5, 2010
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COAI Annual Report 2009-10
I can clearly see that the time ahead is going to be full of exciting opportunities. My
endeavour would be to work towards the common goals of the industry and make sure that
COAI as an institution continues to grow and flourish. For me personally, the journey with
COAI will be one of tremendous growth and learning. I have already started focusing on a wide
gamut of industry issues that we had to deal with at COAI. My responsibility will be to integrate
the new entrants with the more mature players and also to balance the interests of different
operators and to try and do what is right for the industry as a whole. I am also looking forward
to interacting with a cross section of professionals across the entire range of the business
spectrum, both from within India as also globally.
However, at the same time there will also be several challenging issues for which we need
to take steps in the right direction for their effective resolution. The arrival of 3G & BWA,
rollout of broadband in a truly comprehensive way and promoting the expansion of services in
rural India amidst the lack of basic infrastructure in these areas will be a significant challenge.
Another challenging area is that of sustaining business with such low ARPUs and
simultaneously meeting the security requirements of the nation. It is amazing that the industry is
able to maintain such a fine balance in this area and I would want to take it forward as national
security is of paramount importance for all of us. I am sure with the cooperation of all the
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members of COAI we can move forward together and meet these challenges effectively
and build on the good work already done by my colleagues in the earlier years. All we need to
have is the courage of our conviction and the resolve to work together and that I believe will be
enough to carry us forward towards success.
Mobile Broadband Penetration: The 3G and BWA auctions have been concluded recently and
the operators would soon be rolling out services. Operators have paid exorbitant amounts to
gain the spectrum for 3G and BWA and now utilizing this spectrum to spread additional services
to the masses at equally affordable prices as mobile telephony, will be a challenge for them.
However, to make India an information society, all of us will have to work towards providing
such services as e-governance, e-education, e-health, mobile banking, etc. to the relevant
sections of the society.
Lowering of Levies and Duties: It is sad to see that the industry which is contributing so much
towards the socio economic development of the country is burdened with such high levies and
duties. It is very important that telecom is seen as an essential service and the levels of levies
and duties on the industry are significantly brought down. No longer should the mobile industry
be viewed as an endless source of revenue to fix Government budget deficits but an essential
national service that is to be nurtured so it can continue to contribute to economic development.
Enhanced Industry Profitability: The recent price wars in the voice segment of our business,
the commoditization of voice services, increasing levies and taxes, mindless competition, some
uneven regulatory policies have all contributed to the deteriorating profitability of our industry. A
“sick industry”, wasted of its financial health, cannot be an engine for national development! I
hope we can move towards a competitive environment which caters to the needs of our
customers, contributes to national development and provides a fair return on investments. I trust
we have the talent and resources to ensure these are not mutually exclusive goals.
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COAI Annual Report 2009-10
regulatory policy – e.g., we have seen the IT, Broadcasting, telecommunications, Finance and
Home ministries involved at some time, either individually or together, in mobility issues. This
clearly calls for a new paradigm for Regulation. No longer is it appropriate to have piece meal
regulatory policy but a comprehensive regulatory structure that allows and fosters the dynamic
forces of technology and the market place to drive innovation, value customer choice, economic
development, investor confidence and national priorities.
The journey so far (3 months) at COAI has been very exhilarating. COAI, along with its
members has extended a warm welcome to me and I assure them of my fullest co-
operation and support in all the matters of the Association.
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INTRODUCTION
The importance of mobile in everyone’s life has undergone a paradigm shift. Telecom has
evolved as a basic infrastructure like electricity, roads, water etc. and has also emerged as one
of the critical components of economic growth required for overall socio economic development
of the country.
The year 2009-10 has been the year of Broadband with the much awaited 3G & BWA
auctions taking place. We now expect that a similar growth as of mobile will be replicated for
mobile broadband too in the years to come. With a clear path of 3G, HSPA, LTE and LTE-
Advanced, we expect the GSM family to be the prime driver of mobile broadband
penetration in India.
PERFORMANCE INDICATORS
The GSM industry continued to be on the track for growth and the GSM base as of March 2010
was nearly 422 million with the addition of nearly 10-12 million subscribers per month.
The GSM industry in India today offers low tariffs, high Minutes of Usage (411) and low
Average Revenue Per User (Rs.144).
The GSM service providers are also focusing on rural areas and are extensively rolling out
services in rural and remote areas. By March 2010, private GSM operators were providing
services to over 130 million subscribers in rural areas and this number is increasing by 3-4
million additions every month.
With the vision to expand GSM services to more and more people of the country, the operators
who obtained licenses in 2008 are also starting to provide GSM services.
The Industry continued to invest aggressively in the sector and the overall investments by
private GSM operators have resulted in 1,185 MSCs, 4,566 BSCs, 370,685 BTSs, and a
backbone network of more than 590,078 kms spread across the country.
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INDUSTRY INITIATIVES
As in the previous years, COAI and its members continued to work on innovative projects and
applications for the benefit of the GSM subscribers. In fact, depending on the demands of
the industry many new projects were also taken up by COAI this year and the entire industry is
working on these to make them successful and benefit all.
Under the aegis of the Apex Advisory Council for Telecom in India (ACT), COAI organized
regional workshops for all four regions of the country which witnessed healthy interaction
amongst all the Workshop participants, from DoT Headquarters, TERM Cells, Security as well
as Law Enforcement Agencies. As an outcome of the various workshops, DoT issued some
favourable guidelines for the industry clarifying many pending issues including outstation
customers, foreign nationals, etc. Through its continuous efforts with the Government, ACT was
able to get an additional list of documents to be accepted as Proof of Identity and Proof of
Address, which have been really helpful for the industry in terms of expanding growth to rural
and remote areas. We believe that these initiatives have saved our members several lakhs in
fines. We expect to continue with these initiatives to further reduce penalties and costs.
Last year a crucial issue of suspension of prepaid services in Jammu & Kashmir came up.
ACT expended significant efforts with DoT and MHA and held various meetings with them to
highlight the inconvenience caused to the citizens of the state. After deliberations with the MHA,
the services were finally resumed with a new set of guidelines to be followed by the operators.
In its endeavour to continuously improve its systems and procedures, under the aegis of ACT,
the entire industry formulated a Common Manual on Prepaid Subscriber Verification, which
is uniformly being followed by the entire industry.
COAI has also been closely working with the DoT/TEC, GSMA for adoption of safety
standards for EMF exposure from Mobile Base stations. COAI worked closely with TEC on
Test Procedures for measurement of Electromagnetic Fields from Base station Antenna and
engaged experts from a renowned engineering college (Thiagarajan Engineering College
Madurai) to share their expertise on the test procedures. TEC issued the Test Procedure for
measurement of Electromagnetic field from Base Station Antenna in September 2009.
COAI has also been continuously interacting with media, various Government departments and
agencies with a purpose to erase the misconception about the EMF, and its alleged health
effects, and has also been disseminating factual information on RF radiations from Mobile
stations and mobile phones based on scientific evidence and the large studies & research
carried out by the International bodies of highest repute, e.g WHO, ICNIRP , ITU , & FDA
etc.
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COAI Annual Report 2009-10
The year 2009-10 also observed many tower related issues in various states of the country.
There have been increasing incidences of State governments, local civic or municipal bodies
laying down impossible stringent criteria for the installation of towers. Such
restrictions/prohibitions result in the creation of ‘dark spots’, resulting in poor quality of service to
the subscribers of cellular mobile service. Under the Infrastructure Committee, COAI along with
AUSPI took up the job of working toward resolution of these issues with the various state
Governments, especially the tower matters in, NOIDA, Delhi, West Bengal, etc. Issues in West
Bengal have been smoothly resolved whereas the other matters are still being dealt with.
COAI members at various occasions expressed a need for a continuous advocacy programme
by the association to negate the apprehensions associated with the cellular towers from the
minds of general public/ government agencies / civic bodies and media. Accordingly an advocacy
group was setup to discuss and strategize the road map for the advocacy programme on EMF
and Infrastructure related issues. It is a joint Industry initiative in which AUSPI and the associate
members of COAI are also actively involved. The advocacy group is working towards effectively
engaging with the target audience to create awareness and build positive opinion on concerns
related to EMF exposure from the base stations.
COAI has always held the view that the use of the mobile phone as a tool for mobile banking /
mobile commerce has immense potential and implementation of this initiative can single
handedly ensure financial inclusion for a large segment of India’s un-banked population. Last
year an inter-ministerial committee was constituted to examine various issues related to
Mobile Banking in India. The major focus of the committee is to examine the role of the Mobile
service providers in contributing to the spread of mobile banking in India. COAI prepared a
White Paper on “Role of Mobile Service Providers in enabling Financial Inclusion”, which
was submitted to DoT.
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With the aim of providing the facility of vernacular language SMS to the citizens of India, COAI
joined hands with CEWiT (Centre of Excellence in Wireless technology) in the
development of vernacular language SMS. The proposal has been cleared by 3GPP and now
its implementation at national level is being analyzed. Last year along with CEWiT, COAI also
organized a workshop for the concerned stakeholders to understand the working of this
proposal and discuss the details of its implementation.
The TCOEs (Telecom Centres of Excellence) initiative, where COAI is playing a key role, is
taking Indian telecom to the next level of success. TCOE India has been accepted as one of
the 12 evaluating groups by ITU-R for the Radio Interface Technology Candidates for IMT-A
standards (4G technologies). The TCOE is also working towards development of Telecom
Entrepreneurship Development Centre (TEDC) with special focus on rural telecom and is also
developing Telecom Standards Development Organization of India, which envisages
formulating Telecom standards best suited to India’s operating conditions and needs as well as
to promote Indian service providers’ requirements and Indian IPRs into International standards.
A big challenge that has come up for the industry due to a policy decision of DoT is the import
of telecom equipments and softwares. Last year in December, DoT amended the licenses by
stating that service providers require security clearance of equipments/. Software before
procurement. Since then the industry has been trying very hard to get the matter resolved as no
imports have taken place since December due to very stringent conditions being imposed on
the service providers. Recently, COAI is working to finalize an agreement between the licensees
and vendors along with AUSPI and DoT which would over-ride all other Orders/ Circulars of
DoT and would facilitate the procurements of telecom equipments/ softwares.
As I have already stated, that the much awaited 3G & BWA auctions have been completed
recently. This will bring in the much needed broadband connectivity to the citizens of the
country. These will also serve as valuable tools to provide cost-effective mobile
broadband coverage in rural areas, while simultaneously alleviating future capacity
constraints in densely populated urban areas and provide benefits of broadband to the rural
areas. We hope that the citizens of the country would be able to avail the benefits of mobile
broadband towards the end of the latter part of the year.
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COAI Annual Report 2009-10
One of the major policy initiative on which COAI is working closely with TRAI, DoT and TEC is
the smooth implementation of Mobile Number Portability (MNP) in India. COAI has been
taking up the concerns of all the service providers with various agencies. DoT has been
convening review meetings every week with the MNP stakeholders (i.e. TSP’s and MNPOs) to
review the progress on MNP testing and assess the status of readiness of all the operators i.e.
both mobile operators and the MNPOs.
The telecom sector is also burdened by High Cost Structure. Levies and duties are the
highest as compared to global benchmarks. There is a need to rationalize the cost structure
of the sector so that affordability of services can be improved further which will not only serve to
increase take up but also improve usage. COAI has been providing its inputs on Goods and
Service Tax (GST) an d the Direct Tax Code (DTC)
At this stage, there is also a dire need for Spectrum Reforms in the country. The Spectrum
Committee last had come out with its recommendations and the Regulator after examining had
made recommendations to the Government. However, the recommendations of TRAI are at a
major deviation from the earlier DoT Spectrum Committee report. The DoT spectrum committee
had a panel of experts which had held detailed deliberations on the issue of spectrum
management and this expert body had come out with a more balanced view on the subject,
keeping in mind not only the past legacy but also the future growth of the sector.
With lowest tariffs and one of the lowest ARPUs, the profitability of the business models of
operators were already being challenged and these recommendations will have a severe
negative impact on all future investments which were to be made for expansion of service to
rural areas. These recommendations will make it extremely difficult for the operators to provide
affordable mobile communication to the citizens of India and hence will be against the interest of
the consumers.
Hence, the need for positive spectrum reforms still remains. A holistic and comprehensive
view needs to be taken, keeping in mind the interest of all the stakeholders and suitable policy
framework for spectrum should be developed. Looking at the exponential growth of mobile
service, there is also a need to allot more bands like 700 MHz band for mobile/ mobile
broadband services in the near future.
I am sure that the resolution of the above issues will lead to multi-fold growth of the telecom
industry and will make it a sustainable business for all the operators.
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COAI Annual Report 2009-10
This year on the request of some members a sub committee was set up to review the COAI
Rules & Regulations. The primary purpose of setting up the subcommittee was to examine
the voting rights, and consider inputs from the members on the desired changes / modifications
in the COAI Rules & Regulations. The Committee will broadly make recommendations on
considering creating a founder member category, sharing of costs by all members, review of
COAI subscription formula and review of COAI voting rights.
This year COAI was actively involved in expanding its horizon by joining hands with many
national and international organizations. COAI became the Market Representative Partner in
3GPP, so far there were no representatives of 3GPP in India. COAI also believed that India
being the 2nd largest wireless market in the world should play a major role in the formation of
telecom standards. With this view it joined the national forum GISFI (Global ICT
Standardization Forum for India) and at an international level joined WWRF (Wireless
World Research Forum). COAI also signed an MoU with Israel Mobile & Communications
Association (IMA) to confirm the common goal of COAI and IMA to maintain and promote
cooperation and understanding in the development of trade and business relations in the field of
Cellular Telephony.
The COAI Executive Council headed by Chairperson, Ms. Suneeta Reddy, Vice Chairman, Mr.
Sanjay Kapoor and comprising senior representatives from all member operators, met quite a
few times over the last year to deliberate on a variety of issues impacting the GSM industry.
They were adeptly assisted by expert advice from the various Working Committees that had
been set up in COAI.
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COAI Annual Report 2009-10
Many special committees and working groups formed in COAI also discussed various issues
related to certain specific projects like Subscriber Verification and Security related Issues,
National Do Not Call Registry, Infrastructure Sharing Committee, etc. and continued to work
diligently on the related issues.
Last year COAI also bid farewell to their beloved Director General, MR. T. V. Ramachandran
who had been a pioneer in setting up the Association and taking it forward to a level of
international recognition.
Believing in the philosophy of Oliver Wendell Holmes Sr., a physician and a Professor at
Harvard, who said, “the great thing in the world is not so much where we stand, as in what
direction we are moving”, COAI, even in the absence of Mr. T.V. Ramachandran and other
senior colleagues moved forward in its endeavour of making available affordable
communication to the people of the country and working towards taking the GSM industry to
new levels of success. Thus, instead of resting on our past laurels, we are constantly moving
ahead towards providing affordable mobile services to the entire country. At this juncture I would
like to appreciate Mr. T.R. Dua, Deputy Director General’s efforts in bearing the flag of the
Association in the interim period and taking it forward with the same momentum as earlier.
COAI has very warmly welcomed me into the family and they believe that the Association would
greatly benefit from my experiences and my contribution towards the industry will help us in
achieving newer heights.
In the end, I would like to thank all the Committees and Working Groups and their Chairmen
and Vice Chairmen for their proficient leadership and sincere contribution towards various
industry issues, even during the transition phase of COAI.
I would like to personally thank the Chairperson, Ms. Suneeta Reddy, for her fine headship of
the Association and her vigor in binding the Association for a smooth transition and would
request for her continued participation and support in all the future efforts of the industry. I also
thank the Vice Chairman, Mr. Sanjay Kapoor for all the support and guidance that he has
provided during his tenure.
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COAI Annual Report 2009-10
Last, but not the least, I would like to express my deep gratitude to the COAI Secretariat team
which has extended exceptional support and assistance in all our endeavours during all times in
the previous year. It was due to their belief in the values of the Association that we were able to
swiftly pass through the transition phase.
RAJAN S. MATHEWS
July 5, 2010
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COAI Annual Report 2009-10
V. COAI STRUCTURE
Secretarial Support
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COAI Annual Report 2009-10
Number of Meetings
5
Held
Key issues discussed Subscriber Identification & Verification process
• Common Manual for pre-paid verification
• Implementation of Common Manual for pre-paid verification
• ACT Workshops in Chennai
• Issues related to pre-paid in Jammu & Kashmir
• DoT’s Directive on implementation of Genuine IMEI list &
2nd Phase of GII Programme
• Proposed Unique Dealer ID
• Industries possible collaboration with UID Authority
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Chairman
Mr. Rajat Mukarji, Idea Cellular Ltd.
Committee Members
Secretarial Support
Number of Meetings
Held 4
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Committee Members
Secretarial Support
Number of Meetings
2
Held
Key issues discussed Budget Related Issues
• Post-Budget Memorandum
• Pre-Budget Memorandum.
Goods & Service Tax (GST)
Direct Tax Code (DTC)
SFIS for service providers (DGFT)
Rationalization of Levies and Duties
Tax Benefit Under Section 80-IA Undergoing Amalgamation or
Demerger After 31.3.2007
Tax Holiday Under Section 80-IA
Deduction In Respect of Section 80-IA
Availability Of Mat Credit In Case Of Amalgamation
Excise Duty on BTS Cell Sites
Customs Duty on Optical Fibre Cables
CENVAT credit on tower / shelter
TDS on infrastructure revenue & TDS U/s 194H
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3. INFRASTRUCTURE COMMITTEE
Committee Members
Aircel Ltd. represented by Mr. Rishi Kumar Sharma / Mr. Manmeet Jamwal
Bharti Airtel Ltd. represented by Mr. Navin Sanghi / Mr. Hitesh Kumar
Etisalat DB. represented by Mr. Vinod Budhiraja
Idea Cellular Ltd. Represented by Mr. Rahul Vatts / Mr. Rajesh J Khanna
Loop Mobile Ltd. represented by Mr. Harish Kapoor
TATA Teleservices Ltd. Mr. Vikram Tiwathia
Vodafone Essar Ltd. Represented by Ms. Shaina Subramanium / Mr. Aseem Mohan
ATC Tower Co. of India Ltd. represented by Mr . Amit Sharma
GTL Ltd. represented by Mr. Rupinder S. Ahluwalia
Indus Towers Ltd. represented by Mr. Aeem Tiwari / Mr. Rajinder Kumar
Quipo Telecom Infrastructure Ltd. represented by Mr. Umang Das/ Mr. Naresh Ajwani
Tower Vision India Pvt. Ltd. represented by Mr. Sudhir Prasad
India Telecom Infra Ltd. represented by Mr. T.K. Basu
Secretarial Support
There have been increasing incidences of State governments, local civic or municipal bodies
laying down impossible stringent criteria for the installation of towers. Such
restrictions/prohibitions result in creation of ‘dark spot’, resulting in poor quality of service to the
subscribers of cellular mobile service.
The Infrastructure Committee was mandated with handling various issues in many parts of the
country, especially the tower matters in, NOIDA, Delhi, West Bengal, etc.
West Bengal :
• The Department of Environment West Bengal had directed all operators to install
cellsites without DG sets and to remove DG sets from existing cellsites.
• COAI organized a meeting in Kolkata and a formal representation was made in the
matter, presenting concerns of the operators and impact of such directive on the cellular
mobile services.
• Meeting with the concerned state department were held the matter was resolved
successfully.
NOIDA :
• NOIDA Authority initiated an unannounced sealing on 30th & 31st January 2010. The
same led to sealing of more than 150 towers and severely disrupted the cellular mobile
communications in the satellite township.
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COAI Annual Report 2009-10
• Several representations were made to DoT, TRAI, NOIDA Authority & PMO. A meeting
was called by Chairman TRAI, inviting the senior officials from NOIDA Authority and
COAI and AUSPI to discuss and find a solution to the issues concerning disruption of
cellular mobile services in NOIDA due to sealing of towers by the NOIDA Authority.
• Subsequently individual petitions were filed by the respective operators for de-sealing of
the sites in NOIDA and relief was granted by the High Court in the matter.
• COAI made various representations to Chief Secretary Delhi, Lt. Governor, Chief
Minister and MCD Commissioner and zonal deputy Commissioners.
• The Telecom Industry under the aegis of COAI and AUSPI subsequently met Chief
Minister Smt. Sheila Dikhit and expressed their concerns on the issue.
• A new policy was formed on the recommendations of the Hon’ble Chief Minister. The
new guidelines are more stringent and MCD has increased the fee by 2000%.
• Subsequently, the Industry has filed petitions against the guidelines in the Delhi High
Court. The matter is under consideration.
All support and coordination in the above matters is being provided by the Infrastructure
Committee.
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COAI Annual Report 2009-10
Chairman
Mr. Satyapal, Vodafone Essar Mobile Services Ltd.
Vice Chairman
Mr. Narender Gupta, Bharti Airtel Ltd.
Committee Members
Secretarial Support
Number of Meetings
14
Held
Key issues discussed Mobile Number Portability
Unsolicited Commercial Communications (UCC) & National Do
not Call Registry(NDNC)
Inter operator UCC Complaint Resolution Portal
Roll Out Obligations
Establishment of direct Connectivity for cellular & applicability of
transit charges.
Carriage of Intra Circle traffic by NLD operators
Rural Telephony and Rural Broadband
Issues related to Redressal of Consumer Grievances &
Consumer Protection in Telecommunications.
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COAI Annual Report 2009-10
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COAI Annual Report 2009-10
5. TECHNOLOGY COMMITTEE
Committee Members
Secretarial Support
Number of Meetings
5
Held
Key issues discussed India specific BWA requirements
CEWIT/ BWCI proposals for LTE-A
Indian Language SMS- way forward
EMF Radiations
• TEC testing procedures
• ICNIRP guidelines
3G RAN sharing
Femto Cells
Migration from IPv4 to IPv6
LTE in 2.3 GHz band in TDD mode
Multiport Antenna- trials
Wi-Max
2.5G GPRS based Mobile Video calling systems
Automated Networking Element Management Systems
Automatic Networking QoS Monitoring systems
www.coai.in 28
COAI Annual Report 2009-10
Committee Members
Secretarial Support
This year was quite eventful for ACT as a many workshops related to security related issues
regarding mobile services were held in different zones of the country. Healthy interaction
amongst all the Workshop participants, from DoT Headquarters, TERM Cells, Security as well
as Law Enforcement Agencies, as well as the industry led to new levels of understanding
between the parties and has paved the way for a renewed spirit of partnership and cooperation.
As an outcome of the various workshops, DoT issued some favourable guidelines for the
industry, clarifying many pending issues including outstation customers, foreign nationals, etc.
Through its continuous efforts with the Government, ACT was able to get an additional list of
documents to be accepted as Proof of Identity and Proof of Address, which has been really
helpful for the industry in terms of expanding growth to rural and remote areas.
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COAI Annual Report 2009-10
Last year a crucial issue of suspension of prepaid services in Jammu & Kashmir came up. ACT
had put in lot of efforts with DoT and MHA and held various meetings with them to highlight the
inconvenience caused to the citizens of the state. After deliberations with the MHA, the services
were finally resumed with a new set of guidelines to be followed by the operators.
In its endeavour to continuously improve its systems and procedures, under the aegis of ACT,
the entire industry formulated a Common Manual on Prepaid Subscriber Verification, which is
uniformly being followed by the entire industry.
Chairman
Mr. Sundeep Kathuria, Vodafone Essar Ltd.
Committee Members
Secretarial Support
On June 2008 TRAI had suggested that Service Providers should put in place an automated
system for handling inter-operator UCC Complaints through industry associations, namely
COAI/AUSPI. The NDNC Co-ordination Committee, which has representatives from all service
providers, has been overseeing development and running of the inter-operator complaint
resolution portal.
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COAI Annual Report 2009-10
In this regard, an inter-operator UCC complaints resolution portal was developed under the
aegis of COAI & AUSPI. The objective of the portal was to ensure speedy resolution and
settlement of inter-operators UCC complaints.
The portal includes the option of uploading both inter operator and intra operator complaints.
The portal also includes the automated process of generating various MIS reports which
includes the monthly report to be submitted to TRAI by each operator; this saves the efforts of
the operators in compiling the data and preparing the report.
The portal has been operational since April 2009 and is fully compliant with the UCC
Directives/Regulations issued by the Authority from time to time. This portal is being used by all
service providers including BSNL, MTNL.
Portal is working on the MSC codes logic i.e. the portal automatically identifies the network of the
complainant and the concerned telemarketer from the preset MSC codes database. However, it
was observed that post MNP implementation the MSC code will no more remain the valid
service provider identifier.
In order to resolve this issue COAI requested TRAI to allow the MNPO to share the porting
database with the NIC and COAI/AUSPI Portal, so that the system easily identifies the
concerned service provider by querying the database provided by the MNPO.
In this regard, TRAI held a meeting with COAI and suggested that since LRN has to be prefixed
on every call the same could be used as an identifier in the inter operator complaint
management portal.
Currently, Operators are checking the feasibility and impact of the suggested solution of TRAI.
Further, TRAI released a Consultation Paper on “UCC Regulation 2007” wherein an “Opt-int
“approach i.e. Do Call Registry was proposed by TRAI in place of “Opt-out” approach i.e. Do not
call registry in order to improve the effectiveness of the UCC Regulation.
COAI in its response to TRAI on the said consultation Paper submitted that the problem lies
NOT with the Regulation but with the enforcement and implementation of the Regulation,
hence the “National Do Not Call Registry” should be continued and the focus of the review
should be on enforcement and implementation.
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COAI Annual Report 2009-10
Committee Members
Secretarial Support
On the request of some members to review the COAI Rules & Regulations a sub committee
was set up. The primary purpose of setting up the subcommittee was to examine the voting
rights, and consider inputs from the members on the desired changes / modifications in the
COAI Rules & Regulations
While objective of the committee is to review the COAI Rules & Regulations it is maintained that
all amendments proposed should be based on the principle that the members should not
compromise on the long term interests of the industry to accommodate a short term interest and
the Association should continue to operate and function in the same spirit as it had in the past.
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COAI Annual Report 2009-10
I. WORKING GROUP
Committee Members
Secretarial Support
Ms. Priya Sawhney Mohindru
Mr. Kshem Kapoor
Ms. Sugandha Berry
EMF ISSUES
COAI has been closely working with the DoT/TEC, GSMA for adoption of safety standards for
EMF exposure from Mobile Base stations .
DoT amended UAS Licenses on 4th November 2008, and directed all the licensees to provide
self certificates annually as per the procedure prescribed by TEC for compliance with the
ICNIRP guidelines.
COAI worked closely with TEC on Test Procedures for measurement of Electromagnetic Fields
from Base station Antenna and engaged experts from a renowned engineering college
(Thiagarajar Engineering College Madurai) to share their expertise on the test procedures. TEC
issued the Test Procedure for measurement of Electromagnetic field from Base Station Antenna
in September 2009.
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COAI Annual Report 2009-10
DoT vide letter dated 8th April 2010 issued instructions for implementing test procedure,
directing operators to submit self certification on all existing BTS's by 8th May 2010.
COAI in its representation to DoT highlighted concerns with regards to the DoT order of April 8,
2010. A detailed presentation was also made in this regard to DDG (TERM-Security) on May
10, 2010 concerns and sought six months extension for the compliance by the operators.
After much persuasion DoT has agreed and accordingly issued a letter extending the timeline
for self certification of BTS’s to 15 Nov’2010.
Meetings of the EMF group are being held to clarify the issues amongst members and with DoT
to actively accomplish the self-certification before the stipulated period.
COAI also writes to media, various Government departments and agencies with a purpose to
erase the misconception about the EMF, and its alleged heath affects, and also disseminates
correct information on RF radiations from Mobile stations and mobile phones based on
scientific evidence and the large studies & research carried out by the International
bodies of highest repute, e.g WHO, ICNIRP , ITU , & FDA etc.
All these activities are being effectively and ably coordinated by the committee and its members.
Committee Members
Secretarial Support
Ms. Priya Sawhney Mohindru
Mr. Kshem Kapoor
Ms. Sugandha Berry
www.coai.in 34
COAI Annual Report 2009-10
Members at various occasions have expressed a need for a continuous advocacy programme
by the association to negate the apprehensions associated with the cellular towers from the
minds of general public/ government agencies / civic bodies and media. Accordingly an
advocacy group was setup to discuss and strategize the road map for the advocacy programme
on EMF and Infrastructure related issues. It is a joint Industry initiative in which AUSPI and the
associate members of COAI are also actively involved.
The mandate of the advocacy group is to effectively engage with the target audience to create
awareness and build positive opinion on concerns related to EMF exposure from the base
stations. The group has met thrice since its formation on 30th April 2010. It was highlighted in
the meetings that the problem of dealing with the radiations and tower issues involve more of
civic, society and neighbour challenges. Following action items have been progressed by the
group :-
Preparation of Frequently Asked Questions( FAQ’s) which should deal with such questions
and provide information in easy language which is easier to cater to the doubts of both the
general public and media.
The FAQ’s will further be converted into vernacular languages for a more regional approach.
Brief /Scope of Work for the PR agency was prepared and sent to selected PR Agencies
and proposal were sought.
Two PR Agencies have been short listed to execute the PR exercise in metro cities.
www.coai.in 35
COAI Annual Report 2009-10
Committee Members
Secretarial Support
Introduction of MNP in India will further enhance competition and improve quality of services as
service providers will have to ensure provision of best services and minimize complaints. MNP
would lead to innovation of new services by service providers in order to attract and retain
customers.
DoT has divided the country into two zones and has licensed Ms Syniverse and Ms MITS
(Telcordia), to set up MNP infrastructure in Zone 1 and Zone 2 respectively.
COAI is working closely with TRAI, DoT and TEC to ensure smooth implementation of MNP.
COAI has been taking up the concerns of all the service providers with various agencies.
DoT has been convening review meetings every week with the MNP stakeholders (i.e. TSP’s
and MNPOs) to review the progress on MNP testing and assess the status of readiness of all
the operators i.e. both mobile operators and the MNPOs.
In the weekly review meeting held in DoT on June 18, 2010, DoT mandated COAI to conduct
regular weekly meetings with all the service providers including AUSPI and ILD providers so as
to provide a platform for resolution of inter operator issues and report the weekly status with
regard to testing and implementation to DoT.
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COAI Annual Report 2009-10
Committee Members
Secretarial Support
Number of Meetings
3
Held
Key issues discussed Digital Dividend- 700 MHz
3G Auctions
BWA Auctions
www.coai.in 37
COAI Annual Report 2009-10
D. COAI SECRETARIAT
www.coai.in 38
COAI Annual Report 2009-10
1. Aircel Ltd.
2. Bharti Airtel Ltd.
3. Etisalat DB Telecom India Pvt. Ltd.
4. Idea Cellular Limited
5. Loop Mobile (India) Ltd.
6. S-Tel Ltd.
7. Tata Teleservices Ltd.
8. Unitech Wireless
9. Videocon Mobile Services
10. Vodafone Essar Limited
www.coai.in 39
COAI Annual Report 2009-10
Aircel Ltd.
5th Floor, Spencer Plaza
769, Anna Salai
Chennai – 600 002, Tamil Nadu.
CEO: Mr. Sandip Das
Email: sandip@aircel.co.in
Website: www.aircel.co.in
Operational Service Areas: MP & Chhattisgarh, Mumbai, Pune, Uttar Pradesh East, Uttar
Pradesh West, Delhi, Andhra Pradesh, Karnataka, Kerala, Kolkata, Assam, Bihar, Chennai,
Himachal Pradesh, Jammu and Kashmir, North-East , Orissa, Tamil Nadu and West Bengal
About Aircel
Aircel, a joint venture between Maxis Communications Berhad, Malaysia & Apollo Hospitals
Group is India’s 5th largest GSM mobile service provider with a subscriber base of > 40 mn and
is the fastest growing mobile operator in the country. It is the market leader in TN, Assam, NE &
Chennai. Aircel is now present in 19 Circles with spectrum secured for all the remaining circles.
The company is on track to become a leading Pan-India Operator. Aircel, a National Brand with
a strong local connect offers a refreshing experience to customers in this otherwise cluttered
market. It offers innovative customized products, specially designed keeping the need of various
segments in mind such as youth, migrants, SME’s, professionals, dependants etc. in each
circle.
Aircel represents Modern face of Telecom championing the future of mobility in India around
Multi-functionality of mobile phone & the world of possibilities it can unleash for Young India
across multiple segments. With a broad range of new propositions for customers and key
initiatives on branding, network coverage, innovative product & service offerings, Aircel is on its
way up as it offers fresh networks, simplified tariff plans, refreshing value added and customer
services.
Aircel is a proud recipient of some of the leading awards, CMAI National Infocom Award 2009,
Brand Leadership Award by World Brand Congress 2009, Best Employer Brand & Innovation in
HR & Best Strategy in line with Business by World HRD Congress 2009. Aircel also bagged
awards in professional categories, for the best professional in Marketing, HR & Corporate
Communications.
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COAI Annual Report 2009-10
Operational Service Areas: Delhi (Metro), Mumbai (Metro), Kolkata (Metro), Chennai (Metro),
Andhra Pradesh, Assam, Bihar, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir,
Kerala, Karnataka, Madhya Pradesh, Maharashtra, North East, Orissa, Punjab, Rajasthan,
Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W), West Bengal.
About Bharti
Bharti Airtel Ltd., one of Asia’s leading integrated telecom services providers with operations in
18 countries across Asia (India, Srilanka & Bangladesh) & Africa. Bharti since its inception has
been at the forefront of technology & has pioneered several innovations in the telecom sector.
The company is structured into four strategic business units in India - Mobile, Telemedia
provides broadband, IPTV & telephone services in 89 Indian cities, Digital TV provides DTHTV
services across India & Enterprise provides end-to-end telecom solutions to corporate
customers & national & international long distance services to telcos.
The company has > 180 mn customers across its operations serving an aggregate of
130,686,172 customers in India as of March 31, 2010; of whom 127,619,314 subscribed to its
GSM services & 3,066,858 used its Telemedia Services either for voice and/or broadband
access delivered through DSL. The company is the largest wireless service provider in the
country, based on subscribers. The company also deploys, owns and manages passive
infrastructure pertaining to telecom operations under its subsidiary Bharti Infratel Limited owning
42% of Indus Towers Limited.
Some achievements of Bharti are ‘Strongest Brand’ in the Economic Times, 7th Most Valuable
Brand in India with a brand value of $2.5 billion, featured in Forbes Asia’s "Fabulous 50"
companies of Asia Pac, ‘Most Preferred Cellular Service Provider Award’ at CNBC Awaaz
Consumer Awards 2009, ‘NDTV Profit Business Leadership Award 2009’ in Telecom Sector, %
Voice & Data Telecom Awards 2009 including ‘Top Telecom Services Provider of the Year
2009’, ‘Top Cellular Services Provider 2009’ & ‘Service Provider of the Year’ and ‘Wireless
Service Provider of the Year’ by Frost & Sullivan Asia Pacific ICT Awards.
www.coai.in 41
COAI Annual Report 2009-10
Operational Service Areas: Delhi (Metro), Mumbai (Metro), Andhra Pradesh, Bihar, Gujarat,
Haryana, Kerala, Karnataka, Madhya Pradesh, Maharashtra, Punjab, Rajasthan, Tamil Nadu,
Uttar Pradesh (E), & Uttar Pradesh (W).
About Etisalat DB
Etisalat DB Telecom India Pvt. Ltd., one of the latest entrants in the burgeoning Indian mobile
service industry is a joint venture between Etisalat and DB Group. Headquartered in Mumbai,
the company offers a full spectrum of telecom services in 15 circles covering a population of
over 900 million under the brand name, “Cheers”.
Etisalat is also the major hub in the Middle East, for internet, voice, mobile broadband,
broadcast, roaming and corporate data services, with an extensive regional and intercontinental
network. It is the largest carrier of international voice traffic in the Middle East and Africa and the
12th largest voice carrier in the world. Etisalat is the largest comprehensive provider of carrier
and wholesale services in the region with Points of Presence (PoP) in New York, London,
Amsterdam, Frankfurt, Paris and Singapore providing a truly global reach. Etisalat has 520
roaming agreements connecting 185 countries enabling BlackBerry, 3G and voice roaming.
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COAI Annual Report 2009-10
Operational Service Areas: Delhi (Metro), Mumbai (Metro), Kolkata (Metro), Chennai (Metro),
Andhra Pradesh, Assam, Bihar, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir,
Kerala, Karnataka, Madhya Pradesh, Maharashtra, North East, Orissa, Punjab, Rajasthan,
Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W), West Bengal.
About Idea
IDEA Cellular is a publicly listed company, having listed on BSE & NSE in March 2007. It is the
3rd largest mobile services operator in India, in revenue terms, & reported 64 mn subscribers as
on end March‘10. It became a pan-India integrated GSM operator covering the entire telephony
landscape of the country, and expanded its NLD and ILD operations in FY 2010. During the
year, Idea increased its revenue market share by over 1%, despite stiff tariff war in the market.
Idea’s strong growth in the Indian telephony market comes from its deep penetration in non-
urban & rural markets. Idea has the highest share of rural subscribers as a % of total
subscribers, amongst other GSM players. Idea’s innovative and revolutionary VAS offering has
been a major growth driver. Be it Mobile TV, which was launched for the first time in India on the
Idea network; exhaustive Music library in multiple languages; DTs/ RBTs; and other content
download from the world of Cinema, Music, Cricket etc. – Idea has consistently grown its VAS
revenue. Its revenue share of VAS is now higher than the industry average.
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COAI Annual Report 2009-10
Since inception, it has been at the forefront of launching pioneering services. Loop Mobile has
had several firsts to its credit in the VAS space which are technologically state-of-art and yet
customer friendly. It revolutionized the market further by launching epaid – a new line of service
and combining the benefits of prepaid and post paid services. Recently Loop Mobile re-
launched the ‘1 paise per second’ billing plan, as well as transformed the per-second plan with
’Mumbai ka Gang’ wherein subscribers could make a call at 10paise per minute.
Loop Mobile has one of the largest roaming footprints with 450 International tie-ups, 150 GPRS
international tie-ups & 40 prepaid (Camel) tie-ups. It has an enviable post-paid consisting of the
cream of high value individual and corporate customers serviced through a dedicated
relationship team. Loop Mobile offers an innovative CUG product on prepaid branded as
DusKaGang which is targeted at the youth and promoted thru a unique direct contact program
across 200 colleges. Loop Mobile has recently launched a new all-in-one product that delivers
higher value to prepaid customers under the name SmartPaid.
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COAI Annual Report 2009-10
About S Tel
S-Tel has obtained UASL to provide telecom services across 6 Category 'C' circles (namely
Assam, Bihar, Himachal Pradesh, Jammu & Kashmir, North East and Orissa) and Category “A”
All India ISP license for roll-out of Internet services pan India. It has launched commercial
operations in 3 circles in December last year & is expected to make other circles operational by
July 2010. S Tel has a subscriber base of 1.2 Million as of May 2010.
S-Tel has also obtained 3G Service licenses for HP, Bihar and Orissa circles which has placed
S-Tel as one among India’s leading Seven 3G Operators group. Besides, it is the only new
operator having 3G spectrum to offer high speed 3G Services. S-Tel is part of Chennai based
Siva Group, whose Chief Mentor is Shri C Sivasankaran. Siva Group is a USD 3 billion
Group,with diversified business interests in sectors like telecommunication, renewable energy,
shipping & logistic, hospitality & realty, media, EPC, agro business etc. Siva Group currently
owns a majority stake in the equity capital of S Tel and has management control in the
company.
BMIC Limited (erstwhile known as Batelco Millennium India Company Limited) which is a 100%
subsidiary of Batelco Group of Government of Bahrain is the JV partner and presently holds
42.7% equity capital of S Tel. Batelco Group is an established telecom company, operating out
of Bahrain with a significant presence in other Middle-East markets and Africa. It has vast
experience in telecom sector, especially in the developing markets. Batelco is a listed public
company incorporated in 1981 in the Kingdom of Bahrain. Batelco is one of the first mobile
telecom operators in the Middle East having launched GSM services in 1995 and has more than
15 years’ experience in the field. It provides range of communication services including mobile,
national & international telephony, business network services, and internet & satellite services.
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COAI Annual Report 2009-10
Operational Service Areas: Mumbai (Metro), Kolkata (Metro), Andhra Pradesh, Bihar, Gujarat,
Haryana, Himachal Pradesh, Kerala, Karnataka, Madhya Pradesh, Maharashtra, Orissa,
Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W), West Bengal.
TATA DOCOMO marks a significant milestone in the Indian telecom landscape, and has
already redefined the very face of telecoms in India, being the first to pioneer the per-second
tariff option—part of its ‘Pay for What You Use’ pricing paradigm. Tokyo-based NTT DOCOMO
is one of the world’s leading mobile operators—in the Japanese market, the company is the
clear market leader, used by over 50 per cent of the country’s mobile phone users.
In December 2008, Tata Teleservices announced a unique reverse equity swap strategic
agreement between its telecom tower subsidiary, Wireless TT Info-Services Limited, and
Quippo Telecom Infrastructure Limited—with the combined entity kicking off operations with
18,000 towers, thereby becoming the largest independent entity in this space—and with the
highest tenancy ratios in the industry. Today, the combined entity has a portfolio of nearly
35,000 towers.
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COAI Annual Report 2009-10
Unitech Wireless
Sector 54, Golf Course Road,
DLF Phase V, Opposite IBIS Hotel
Gurgaon - 122002
Operational Service Areas: Mumbai (Metro), Kolkata (Metro), Andhra Pradesh, Bihar, Gujarat,
Kerala, Karnataka, Maharashtra, Orissa, Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W),
West Bengal.
About Uninor
Uninor is the brand name for Unitech Wireless, a company owned by the Norway based world’s
6th largest mobile services provider Telenor Group and India’s second largest diversified real
estate major Unitech Ltd. The Telenor Group has invested INR 6135.63 crores through new
shares to hold 67.25% majority stake in the company.
The company holds a pan-India UAS license to offer mobile telephony services in each of
India’s 22 circles. It has also received spectrum to roll out these services in 21 of the 22 circles.
At present, Uninor services are available in the thirteen circles of UP (West), UP (East), Bihar
(including Jharkhand), Kolkata, West Bengal, Orissa, Tamil Nadu, Karnataka, Kerala, Andhra
Pradesh, Mumbai, Maharashtra (including Goa) and Gujarat.
The Telenor Group has over 150 years of telecom experience. The Group’s 45,000 employees
are present in 14 countries worldwide with 179 million mobile subscriptions as of Q1 2010. A
dominant position in markets similar to India, allows the Telenor Group to deploy existing
competencies in distribution, targeted offerings, customer lifecycle management and
organization culture in the Indian context.
As India’s second largest diversified real estate major with over 30 years of presence across
locations nationwide, the Unitech Group comes in as a partner with decades of consumer facing
experience in the Indian market, bringing with it deep insights into business as well as consumer
marketing in the diverse Indian market. The company also features in the National Stock
Exchange’s bell weather S&P CNX Nifty Index.
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COAI Annual Report 2009-10
Operational Service Areas: Mumbai (Metro), Kolkata (Metro), Andhra Pradesh, Bihar, Gujarat,
Kerala, Karnataka, Maharashtra, Orissa, Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W),
West Bengal.
About Videocon
Videocon Mobile Services is a next-generation GSM mobile service network launched by the
Rs.25,000 crore Videocon Group. The brand will soon be present across India. The company
has partnered with global technology leaders to create a robust infrastructure featuring future
ready mobile technologies. Powered by a 2.75G EDGE GSM network, Videocon Mobile
Services aims to redefine the Indian mobile telecommunications industry leveraging a
combination of the parent company’s strong brand recall and retail reach with a spirit of
innovation and customer centricity.
The Videocon Group is a global business conglomerate with a strong presence in Household
Consumer Goods, Telecom, DTH, Retail, Oil & Gas and the Power sector. The Group is rated
among India’s Top 15 Business Houses and is listed among the 100 Emerging Giants of the
World according to a Boston Consulting Group study in addition to being rated amongst the Top
15 of India’s ‘buzziest brands’ by agencyfaqs in 2010.
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COAI Annual Report 2009-10
Operational Service Areas: Delhi (Metro), Mumbai (Metro), Kolkata (Metro), Chennai (Metro),
Andhra Pradesh, Assam, Bihar, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir,
Kerala, Karnataka, Madhya Pradesh, Maharashtra, North East, Orissa, Punjab, Rajasthan,
Tamil Nadu, Uttar Pradesh (E), Uttar Pradesh (W), West Bengal.
Vodafone is the world's leading international mobile communications group with approximately
341 million proportionate customers as on 31 March 2010. Vodafone currently has equity
interests in 31 countries across five continents and around 40 partner networks worldwide.
Vodafone entered India in 2007. The Essar Group, a diversified business corporation with a
balanced portfolio of assets in the manufacturing and services sectors across the world, is
Vodafone’s principal partner in India.
Vodafone Essar in India consists of 8 Legal Entities and also owns 42% of Indus Towers
Limited a key provider of passive infrastructure services in India. Some achievements of
Vodafone are Most Admired Marketing Company in India [Economic Times +IMRB], OpCo of
the Year, Grand Prix and 5 singles at the Vodafone Creative Awards, Pug was awarded
Campaign of the Decade [ET Now], Most awarded brand at the ABBY’s – 13 medals, Gold at
Spikes Asia for Integrated Campaign, Client of the Year at Effie’s, Amongst Top 3 Marketers in
India [Pitch], and many more.
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COAI Annual Report 2009-10
About Aster
Aster Infrastructure Pvt. Ltd. (AIPL), incorporated in the year 2002, is a leading independent
owner and provider of passive telecom infrastructure for the mobile services and wireless sector
in India. AIPL is a Category I Infrastructure Provider (IP-I) registered with the Department of
Telecommunications, Government of India. AIPL is now fully owned by a Private Equity Fund
Management Company, NSR (New Silk Route).
AIPL currently operates in 14 telecom circles including Karnataka, Punjab, Andhra Pradesh, UP
(East), Madhya Pradesh, Gujarat, Haryana, Tamilnadu, Orissa, Jharkhand, Rajasthan, Assam
and Maharashtra with a total of approximately 1000 operational sites. AIPL plans to add another
1000+ sites in the current financial year.
With operational efficiencies and maximum uptime to operators, AIPL has been able to achieve
significant sharing in its existing portfolio with a tenancy ratio of 1.57 and will continue to focus
on providing maximum value add to its customers.
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COAI Annual Report 2009-10
Founded in 1995, American tower Corporation (NYSE: AMT) is a leading wireless and
broadcast infrastructure company with a portfolio of over 29,000 communication sites, including
wireless communications towers, broadcast communications towers and distributed antenna
systems (DAS). Our portfolio includes over 22,000 sites in the United States and a growing
asset base in Mexico, Brazil and India. In addition to wireless and broadcast towers, American
Tower is also a leader in developing and deploying neutral host DAS solutions that serve some
of the most popular malls and casino/resorts across the United States. We also manage rooftop
and tower sites for third parties in the United States, Mexico and Brazil and offer complete
network deployment services to support our customers’ deployment goals.
ATC India started operations in 2007 and has grown both organically and inorganically. By year
end ATC India will have a portfolio of 10,000 with industry leading tenancy.
We would also highlight here that we have been in the tower leasing business for more than 15
years, and we have the longest experience globally in running this business. The key value-add
that we are able to deliver to our customers in India, is our strong processes and systems. We
not only identify, but also deliver the maximum co-locations opportunities on our sites which
help our customers save tremendously on their OPEX.
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COAI Annual Report 2009-10
Contact: Mr. P Balaji, Vice President- Comm, Corporate Affairs & Business Development
Email: p.balaji@ericsson.com
Website: www.ericsson.com
About Ericsson
Ericsson, the world's leading provider of technology and services to telecom operators is the
market leader in 2G and 3G mobile technologies. Supplying communications services and
managing networks that serve more than 350 million subscribers, Ericsson’s portfolio comprises
mobile and fixed network infrastructure, and broadband and multimedia solutions for operators,
enterprises and developers.
Ericsson’s strong value-based culture of working hand-in-hand with its customers has made it a
preferred partner for virtually every Indian telecom operator. In fact, Ericsson is the undisputed
market leader in the GSM space with nearly 40% market share.
2009 was a hugely successful year for Ericsson which saw it accomplishing several milestones
and securing the trust and business of operators – for which it was felicitated with the Voice and
Data and CMAI awards for being the largest Telecom Vendor. Ericsson extended its
relationships with customers and picked up key deals in several areas such as GSM and 3g
networks, charging, IN, broadband and managed services. During the year, Ericsson also
expanded its footprint by winning successful deals in countries such as Bhutan and launched
several innovative pilots with key partners as testimony to its vision of ‘communications for all’.
As a true and undisputed industry leader, Ericsson led the industry in focussing on power and
spectrum efficient solutions to add value to its customers. Investment in factory
operations(Ericsson was the first company to manufacture GSM equipment in India), R&D and
building global services centre have been significant.
Headquartered in the prestigious industrial hub of Gurgaon, Haryana, Ericsson India Pvt. Ltd.
employs over 5000 people across 25 locations, reflecting the rich cultural tapestry of India.
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COAI Annual Report 2009-10
About ETIPL
Essar Telecom Infrastructure Pvt. Ltd (ETIPL) is a part of the Essar Group which is a diversified
business corporation with a presence in the manufacturing and services sectors through Steel,
Energy, Power, Communications, Shipping Ports and Logistics, Construction and Mining and
Minerals. Essar employs more than 50,000 people across offices in Asia, Africa, Europe and the
Americas.
ETIPL has a tower portfolio of ~4000 towers, located mostly in Metros and Class ‘A’ cities.
ETIPL tenancy ratio stands at 1.58x (as of Mar’09), among the highest in the industry and is a
key driver of profitability in the tower business. ETIPL is looking to grow aggressively and
towards this, apart from organic growth, is also keen on inorganic growth through acquisition of
tower portfolios of other companies. ETIPL has also been exploring opportunities in international
markets like Kenya and other countries in the African and Asian sub-continents.
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COAI Annual Report 2009-10
GTL Infra is a publicly listed company (BSE: 532775 & NSE: GTL Infra), and has emerged as
the world’s largest independent tower company in India. It is registered with the Department of
Telecommunications as an Infrastructure Provider in Category I (IP-I).
GTL Infra has a portfolio of towers serving all the major cellular operators and is associated with
prestigious projects being promoted by DoT and COAI such as USO (Universal Services
Obligation Fund) for rural telecom infrastructure and MOST (Mobile Operator Shared Tower). In
phase 1 of the USO tendering process, GTL Infra has emerged as the leading independent
tower infrastructure player.
Our business model of infrastructure sharing is based on building, owning, operating and
maintaining the passive telecom infrastructure sites capable of hosting multiple service
providers. The model enables the operator to convert their capital expenditure to a fixed and
predictable operational expenditure allowing them to divert precious capital towards core
activities.
GTL Infra has won several awards and recognitions like the “Best Independent Infrastructure
Provider” from Tele.Net, “Innovative Infrastructure Company of the year” by CNBC TV18 and
“Top Independent Infrastructure Provider of India” by V&D.
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COAI Annual Report 2009-10
About ITIL
India Telecom Infra Ltd (ITIL) is 50-50 joint venture between TVS Interconnect System Limited
(“TVS-ICS”), part of the 99 year old TVS Group, and Infrastructure Leasing & Financial Services
Limited (“IL&FS “).
ITIL is a leading pan India independent Telecom Infrastructure Service provider having
developed over the years the requisite Capabilities & Competencies in the field with huge
capital investments committed by the Promoters. ITIL has long term passive infrastructure hiring
contracts with all the active licensed telecom operators, with proven ability to work with its
customers across the country covering 22 Telecom Circles. It has a large foot print of
strategically located ready-to-use telecom tower sites where multiple operators can plug in their
active equipments & start operations immediately, thereby enjoying the benefits like reduced
roll-out time, optimized CAPEX and shared OPEX.
The major strengths of ITIL are customer centric proven management team - Subject matter
Expertise, Strong business relationships, Robust internal business processes, ERP & NOC
Enabled operations, Group Synergy, Efficient & Effective Sourcing through long term vendor
relationships and proven RF & Market Planning Expertise.
ITIL’s scope of Activities includes end to end Site acquisition, program management and
Construction, Commissioning and Maintenance of Telecom infrastructure. This includes
compliance to all relevant statutory and regulatory approvals. The O&M is aided by state of the
art centralized NOC based remote site management application supporting green energy
management initiatives.
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COAI Annual Report 2009-10
About Indus
Indus Towers is engaged in the business of providing passive infrastructure & related
operations & maintenance to various telecommunications operators in India on a shared basis
across 16 telecom circles & covers >75% of teledensity of India It is headquartered at Gurgaon
& offers services to all telecom operators in the wireless space and other wireless service
providers such as broadcasters & broadband service providers. It has a portfolio of >100,000
towers & is the largest tower company of the world, ensuring significant scale benefits for its
customers by way of ‘Speed to Market’ & ‘Wider Coverage’.
The key deliverables of Indus towards its customers are timely deployment- Enabling rollout of
telecom services by operators & Uptime of Sites – Assuring a high uptime of sites to ensure
high network availability on 24 x 7 basis. Recently Indus was awarded “Infrastructure Excellence
Award 2010 in Telecom” in the Essar Steel Infrastructure Excellence awards held at Delhi in
March’10. Indus was also awarded “Growth Excellence Award in the Passive Telecom
Infrastructure Market” by Frost & Sullivan on 10th December 2009 under the “Best Practices
Award” category.
Indus Towers Limited was incorporated in November 2007 and commenced its business on 1st
May 2008. In less than 2 years of its existence, Indus has not only grown in size but also
established itself as a market leader in its true sense. Indus Towers Limited has been promoted
under a joint venture between entities of Bharti Group (rendering telecom services in India
under the brand name Airtel), Vodafone Group (rendering telecom services under the brand
name Vodafone) and Aditya Birla Telecom (rendering telecom services under the brand name
Idea), to render passive infrastructure services to telecom service providers. Three competitors
coming together to form an alliance, is another uniqueness of Indus .This has fostered a
collaborative culture which treats its customers with empathy and non discrimination.
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COAI Annual Report 2009-10
NSNs’ operations in India include Sales & Marketing in Gurgaon & Mumbai, R&D in Bengaluru,
Manufacturing in Chennai & Kolkata, Global Services hub in Noida, 2 GNSC in Noida &
Chennai, remotely run network operations for almost 1/3rd of the 350m subscribers managed by
NSNs Managed Services business. Global product management & centralized global centers
for bid management in Gurgaon & Bengaluru. It employs >13,000 persons in India of which
close to 10,000 people focus on India customers only, with a very large field force based out of
50 principal offices & 177 locations.
Nokia Siemens Network’s R&D set up in Bengaluru, India staffing 2300 people is one of the
largest global R&D units for the company and hosts one of 3 shared reference labs. An
innovation hub, the R&D centre focuses on Radio, Core, Charging, Network Management and
Application software solutions. A 84,000 sq mt manufacturing facility in Oragdam, Chennai is
one of NSNs large scale, state-of-the-art production unit focusing on 2G and 3G radio, core and
transmission equipment for India & other regions. A 2nd factory in Kolkata manufactures fixed
line equipment.
NSN was rated 4th best telecom employer in India by a leading business publication as it
continues to witness a high engagement index with its people. The company launched many
competence development, talent management, personal growth, leadership and engineer
trainee programs focused at developing and empowering people.
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COAI Annual Report 2009-10
Having pioneered the concept of telecom infrastructure sharing with less than 100 towers in
2005, Quippo-WTTIL today has become world’s largest independent telecom infrastructure
company with a portfolio of > 39000 towers across all circles in country, & with plans of rolling
out nearly 25-30,000 additional towers in next 2 years. It has by far the highest tenancy of > 2
tenants per tower. It is also the strongest player in neutral host shared IBS. In 2009, QTIL
announced its partnership with TTSL with the merger of their passive infrastructure
businesses, resulting in formation of Quippo-WTTIL. It further strengthened its leadership
position with acquisition of the tower arm of TTML in early 2010.
The shared solutions help telecom operators in saving costs through reduced capex and opex,
at the same time result in faster roll-out of their services. Innovative solutions such as IBS and
BTS Hotels are going to further strengthen the product portfolio of Quippo-WTTIL in the future.
As a responsible corporate, Quippo-WTTIL has also undertaken various initiatives to conserve
energy and the environment. The company has already made sizeable investments in R&D
activities to tap alternate energy sources such as solar energy, fuel cells, fuel saver catalysts
and CNG to save energy, that have resulted in offering energy related cost benefits to the
operator partners.
With a vision to be the “Most Valuable Independent Shared Infrastructure Company Globally”,
the company has received strong support from reputed investors such as GIC Singapore
(owned by the Singapore Government), IDFC Private Equity, Oman investment Fund (OIF) - an
investment arm of the Government of the Sultanate of Oman, Roaring Investments Pte. Ltd.,
Geraldton Finance Ltd. & AMP Capital.
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COAI Annual Report 2009-10
Tower Vision’s core offering consists of acquisition, development, maintenance and asset
management of telecommunication towers on the basis of BOO and sharing of telecom
infrastructure. In accordance with this model, Tower Vision has the distinction of executing,
among others, India's first and largest BOO contract awarded to an independent tower
management company by a single operator, and has also formed business partnerships with
practically all active cellular operators in the country.
Covering the Northern and Southern states, Tower Vision is already well rooted to provide
passive infrastructure across the country. Combining both international and local expertise,
Tower Vision brings strong technical and capital raising capabilities, providing its clients with the
necessary comfort in its ability to build, own and operate large numbers of telecom sites.
Currently Tower Vision owns over 5000 towers spread across India with approximately 8000
active tenants.
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COAI Annual Report 2009-10
380 411
144
113
44
Growth Rate
Subscriber
Subscribers
ARPU (Rs
per month)
Additions
(Milions)
Minutes of
(Millions)
Base
Yearly
Usage
(%)
258.00
171.80
105.42
58.50
37.37
Source: COAI
Industry added record highest number of 122 Million GSM subscribers during 2009.
India recorded the highest monthly GSM subscriber addition of over 13 Million.
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COAI Annual Report 2009-10
145.63
160
129.36
140
120
95.92
92.17
100
Millions
62.47
62.47
80
55.85
49.60
37.62
60
37.44
37.12
32.51
28.12
20.07
20.47
19.25
18.80
40
13.50
13.96
11.58
10.77
10.25
4.81
20
2.03
0
Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09
Source: COAI
60.00
49.71
50.00
37.19
33.45
40.00
29.70
Millions
25.35
25.03
23.34
30.00
17.87
16.96
13.71
11.98
20.00
8.03
9.50
8.05
7.67
5.96
6.71
6.10
5.46
5.53
10.00
3.71
2.78
3.26
1.14
0.00
Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09
Source: COAI
www.coai.in 61
COAI Annual Report 2009-10
50
45 10.47
40
35 8.41
7.05
30
Millions
25 4.48 6.88
14.88
20 2.94 5.20
11.27
15 1.80 3.25
1.35 8.30
10 2.09 6.45
1.46 15.84
5 5.00 12.41
3.59 10.10
5.06 7.40
0 3.83
Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09
Source: COAI
35%
31%
30%
25%
25%
20%
Millions
20%
15%
10%
5%
0%
2007 2008 2009
Source : COAI
Proportion of Rural Subscribers to the total GSM subscriber at the end of the corresponding years is
increasing.
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COAI Annual Report 2009-10
Aircel 8.15%
BSNL 15.04%
Source: COAI
120
Urban Total Rural 110.96
102.79
100 95.05
89.44
82.15
77.35
80
72.01
60
47.88
43.5
39.86
36.98
40 30.64 33.23
28.33
21.16
14.93 16.61 18.46
20 12.72
11.13
10.12
0
Jun'08 Sep'08 Dec'08 Mar'09 Jun'09 Sep'09 Dec'09
www.coai.in 63
COAI Annual Report 2009-10
4500
4000
3500 3122
3000
2500
1828
2000
1293 1185
1500
807
1000 681
456 440
304
500 120 169
0
2004 2005 2006 2007 2008 Mar-10
Source: COAI
700000
478707
600000
384906
370685
347744
500000
400000
219954
160964
300000
115561
71315
200000
48498
35165
18643
100000
0
2004 2005 2006 2007 2008 Mar-10
Source: COAI
BTS data is reflective of the active infrastructure and not passive infrastructure
www.coai.in 64
COAI Annual Report 2009-10
396
400 370
350 316
300
261
250
220
Rs.
200
144
150
100
50
0
Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09
496
500 464
450 411
400 368
341
350
302
300
Minutes
250
200
150
100
50
0
2004 2005 2006 2007 2008 2009
www.coai.in 65
COAI Annual Report 2009-10
INR billion
1600 1390 12.0%
1400 11.0%
1249 10.0%
1200 1106 9.5%
8.0%
1000 8.2%
817 7.5%
800 6.0%
600
4.0%
400
119 153 2.0%
200 61 91
0 0.0%
2008 2009 2010E 2011E
36%
SMS VAS
Non-SMS VAS
64%
www.coai.in 66
COAI Annual Report 2009-10
1400
1243
1200 1136
1019
1000
893
Subs in millions
761
800
626
600 525
400 347
233
150
200
76
48
28
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
A A A A A A A P P P P P P
A- Actual
P-Projected
Source: COAI
www.coai.in 67
COAI Annual Report 2009-10
800 747
700
600 525
500
400
300
162
200 72 65
100 30 25
7
0
Thailand
Philippines
Indonesia
China
India
Malaysia
Australia
Singapore
60 53
50
40
28
30
20 12
10 3 1 1 1 0
0
Thailand
Philippines
Indonesia
India
China
Malaysia
Australia
Singapore
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COAI Annual Report 2009-10
C. Wireless Penetration
144%
150%
115% 109%
98%
100%
78%
70%
56%
44%
50%
0%
Malaysia
Indonesia
India
Philippines
Singapore
Australia
Thailand
China
Source : Merrill Lynch Global Research estimates 2009
47
50
33
40
ARPU (In USD)
30
16
20
10
6 5 4 4
10
0
Malaysia
India
Australia
Singapore
China
Indonesia
Philippines
Thailand
www.coai.in 69
COAI Annual Report 2009-10
500
445
300 278
222
203
200 164
100
27
Malaysia
China
Singapore
India
Australia
Indonesia
Philippines
Thailand
0.30
Call Charges per Mins (in USD)
0.20
0.14 0.14
0.10 0.08
0.06
0.03
0.02 0.02
0.01
0.00
Malaysia
Thailand
Australia
Singapore
Indonesia
China
India
Phillipines
www.coai.in 70
COAI Annual Report 2009-10
The much awaited 3G & BWA auctions were held in April-May 2010. 71 blocks of 3G and 44
blocks of BWA were put up for auctions. Commercial services for 3G would start only from 1st
September onwards, whereas BWA service may be started before September. Public sector
operators (BSNL & MTNL) have already been given one slot of 3G spectrum in 2.1 GHz band in
all 22 circles and have started services and one slot in 2.5 GHz band for BWA services in all 22
circles and have started launching services.
3G WINNERS
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COAI Annual Report 2009-10
BWA WINNERS
Infotel Tikona
Augere Bharti Broadband Digital
Aircel (Mauritius) Airtel Services Qualcomm Networks
Ltd. Ltd. Ltd. Pvt. Ltd. Incorporated Pvt. Ltd.
Delhi
Mumbai
TN
Kolkata
Maharashtra
Gujarat
A.P.
Karnataka
Kerala
Punjab
Haryana
U.P.(W)
U.P.(E)
Rajasthan
M.P.
W.B. & A & N
H.P.
Bihar
Orissa
Assam
N.E.
J&K
Total No. of
8 1 4 22 4 5
Circles
Pan India
Price Rs. 12, 848 crores
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COAI Annual Report 2009-10
The two major Telecom Associations of India and Israel, i.e. COAI (Cellular Operators
Association of India), and IMA (Israel Mobile & Communications Association) came forth to
confirm the common goal of COAI and IMA to maintain and promote cooperation and
understanding in the development of trade and business relations in the field of Cellular
Telephony.
Eyal Reshef, Founder & CEO, Israel Mobile & Communications Association, and Sanjay
Kapoor, Vice Chairman, Cellular Operators Association of India, joined hands to sign a
Memorandum of Understanding on 15th February, 2010 at Barcelona in the GSMA World
Congress Meet.
The Associations believe that the common understanding in the MoU will go a long way towards
facilitating trade opportunities, joint ventures, and strategic alliances in the telecom sector
between Indian and Israeli companies and will promote the continued aggressive growth of
affordable telecom service in their respective countries. The Associations have agreed to
communicate on a regular basis to exchange views and reports on accomplishments and
developments in Cellular Telephony. COAI, believes that this alliance is definitely a step ahead
towards identification and promotion of potential opportunities for promotion of services from
both sides.
COAI in expanding its horizon to work in sync with international bodies, became Market
Representative Partner in 3GPP, during the 3GPP partners meeting on the April 22, 2010. Mr.
T.R. Dua, Deputy Director General, COAI accepted to be the Market representative Partner of
3GPP.
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COAI Annual Report 2009-10
The purpose of 3GPP is to prepare, approve and maintain the necessary set of Technical
Specifications and Technical Reports for an evolved 3rd Generation and beyond Mobile
Systems. Further the results of the 3GPP work shall form the basis of member contributions to
the ITU in accordance with existing procedures. 3GPP shall take account of emerging ITU
recommendations on interworking between IMT-2000 family members. In the framework of
agreed relationships, the 3GPP Technical Specifications and Technical Reports will form the
basis of standards, or parts of standards, of the Organizational Partners.
(Further this agreement between 3GPP and COAI shall remain valid until the Organizational
Partners decide otherwise)
COAI also became the member of the Wireless World Research Forum as it believes that India
being the second largest wireless network in the world should have a significant say in the
forthcoming standards. Mr. T.R. Dua, Deputy Director General, COAI accepted the
membership. The Forum is a global organization, which was founded in August 2001. The
forum now has over 140 members from five continents, representing all sectors of the mobile
communications industry and the research community.
The objective of the forum is to formulate visions on strategic future research directions in the
wireless field, among industry and academia, and to generate, identify, and promote research
areas and technical trends for mobile and wireless system technologies. WWRF is now
developing a common global vision for the future of wireless to drive research and
standardization. In addition to influencing regional and national research programmes (such as
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COAI Annual Report 2009-10
the European Union’s FP7 programme) WWRF members contribute to the work done within the
ITU, UMTS Forum, ETSI, 3GPP, 3GPP2, IETF, and other relevant bodies regarding commercial
and standardization issues derived from the research work.
The Forum is unique in bringing together industry and academia from across the globe in an
active discussion of new concepts, algorithms and techniques. Members discuss how new
insights will impact on provision in typical application areas and on value chains in the future.
The current research topics for WWRF are System concepts and high-level architectures,
Requirements on future mobile and wireless systems, the role of scenarios for applications and
services, Applications and services, Service categorization and service evolution, Cooperative
and ambient networks, New approaches to self-organization in networking, Meshing and multi-
hop protocols for relay-based deployment, Wideband channel measurement and modeling,
Duplexing, resource allocation and inter-cell coordination, Broadband frequency domain-based
air interfaces, Management and control architecture, scalability and stability of reconfigurable
systems, Cognitive radio and management of spectrum and radio resources in reconfigurable
networks, Business models and sustainability of re configurability, Requirements for future
service platform architectures, Determining spectrum efficiency and flexible spectrum use.
COAI joined the membership of the Global ICT Standardization Forum for India (GISFI) is an
Indian standardization body active in the area of Information and Communication Technologies
(ICT) and related application areas, such as energy, tele-medicine, wireless robotics,
biotechnology. Mr. T.R. Dua, Deputy Director General, COAI accepted the membership of
GISFI on behalf of COAI.
GISFI is an effort to create a new coherence and strengthen the role of India in the world
standardization process by mapping the achievements in ICT in India to the global
standardization trends. Further, GISFI is focused on strengthening the ties among leading and
emerging scholars and institutions in India and the world; to develop and cultivate a research
and development agenda for the field. GISFI addresses the research and product development
of ICT in India and provides a bridge towards the globalization of the Indian achievements; the
issues of technology, governance, and development; and a platform for raising an awareness of
the importance and the internationalization of the higher education in the field are supported by
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COAI Annual Report 2009-10
the joint partnership with the Government of India. The working groups organized in GISFI will
draw knowledge from academia, business, civil society, and Government/policy-making circles.
• Drawing up provisions and requirements for the ICT standardization process to support
the establishment of agreements that:
o Give one or more solutions for a given problem and ensure a repeated use;
o Provision for a basis for future research and product developments that can
reach the global market;
o Weigh equally the interests of all involved parties.
• Not reinventing the wheel, but using existing solutions (set down in standards), which
have already been well thought out.
• Bringing India’s own procedure into line with what is normal elsewhere, so that
cooperation is simpler and purchasing cheaper.
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COAI Annual Report 2009-10
In its efforts to continuously strengthen and improve the systems and processes related to
security and law & order, the industry felt that it was essential for the Government, Security
Agencies and the industry to come to a common platform and have deliberate discussions to
streamline the processes in order to meet the
end objectives of all the stakeholders. The
workshops were very well attended by
representatives from all the seven Security
Agencies of the country, senior Officials
related to Security and Law and Order from
the States, Officials from DoT, TERM Cells
and the mobile industry.
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COAI Annual Report 2009-10
The main thrust of the conference was towards the digital dividend and India featured
prominently as the one of the biggest market for rural penetration and Mobile Broadband.
Another milestone witnessed during the world congress 2009 was announcement of a cross-
industry standard for a universal charger for new mobile phones. GSMA and 17 leading mobile
operators and manufacturers committed that the mobile industry adopts a common format for
mobile phone charger connections and energy-efficient chargers resulting in an estimated 50
per cent reduction in standby energy consumption.
Mr. Asim Ghosh was felicitated for his invaluable contributions to the industry. He said that, it
had been a privilege to be the Chairman of COAI, and deeply appreciates the support and
cooperation provided by all members towards attaining milestones the industry. On the
occasion of the COAI AGM, Ms. Suneeta Reddy, Chairperson Aircel Group and Mr. Sanjay
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COAI Annual Report 2009-10
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COAI Annual Report 2009-10
The main discussion during the seminar revolved around the band plan arrangement for the 700
MHz band and it was decided that a fair and well balanced reallocation of the spectrum between
the mobile broadband, broadcasting and other services will ensure that society reaps the full
social and economic benefits of the digital dividend besides the advantages of wider coverage
that accrue from this band.
The workshop was formally inaugurated by Dr. J. S Sarma, Chairman TRAI. This was followed
by a series of technical presentations highlighting various aspects related to Indian language
SMS. The objective of the workshop was to disseminate information of a new 7-bit encoding
scheme for Indian language SMS that is now part of the 3GPP specifications and discuss the
way forward to make sure that standards-based, affordable and inter-operable Indian language
SMS is made available.
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COAI Annual Report 2009-10
The two day conference provided a platform to the delegates to learn about best practices,
global experience, exchange of innovative idea, areas of collaboration. The event also
witnessed a special session by Dr. A.P.J Abdul Kalam, Former President of India, addressing
the delegates on the inclusive growth for telecom in India. The CEO’s roundtable was chaired
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With the 3G and BWA auctions around the corner, India was discussed extensively at various
forums and the strong Indian delegation consisting of senior officials from DoT, Regulatory
Body, TDSAT, and CEO’s and senior officials of the private GSM operators & vendors were
much in demand by the international GSM Community to understand the market dynamic and
the opportunities available in India for investment.
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MoC, Thiru A. Raja. Other guests at the workshop included officials from DoT, Indian telecom
industry and international experts.
The Workshop included details about the progress made till date on the development of LTE
and an insight into the future developments in the coming year. The Workshop also delivered a
much wider overview about standards issues, operators’ requirements and deployment
aspirations.
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February 2009
News Flash – Radiation Emitted by Telco Towers are Safely Below Exposure
Limits Set up by ICNIRP
The COAI News Flash cited that Malaysian Communications and Multimedia Commission
(MCMC) demonstrated that the non-ionising radiation emitted by a Telco tower (Base Station) is
safely below exposure limits set by the International Council on Non-Ionising Radiation
Protection (ICNIRP). Thus, it also strengthens the Telecom Commission decision for the
adoption of ICNIRP guidelines, for limiting the Human exposure to EMF, for the Telecom Sector
in India.
March 2009
News Flash – WiMAX Status Update
This COAI News Flash highlighted the worldwide status of WiMAX deployment. The main focus
was on operators/ countries opting out of WiMAX.
March 2009
News Flash – LTE – Network Commitments and Deployments
This COAI News Flash highlighted the status of LTE commitments and deployments by
operators all over the world and also the eco-system developed by device manufacturers.
March 2009
News Flash – German Regulator Proposes Part of Digital Dividend Spectrum to
Mobile
The COAI News Flash drew attention to the German Regulator’s decision to speed up the roll-
out of mobile broadband, particularly in rural areas, by auctioning Digital Dividend spectrum at
790-862 MHz together with the 1.8 GHz, 2 GHz and 2.6 GHz bands. The Regulator realized that
the potential of Digital Dividend should be used quickly in order to supply the population with
broadband internet connections, particularly in rural areas.”
May 2009
Indian GSM Cellular Benchmarking Study 2008
COAI released the Price Waterhouse Coopers Benchmarking Report for 2008. The
benchmarking study is an annual feature of COAI in association with Price Waterhouse
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Coopers. It throws up many useful and interesting insights into the Indian GSM Industry’s
annual development and growth and also its comparison with the Asia Pac region.
May 2009
COAI Annual Report 2008
The COAI released its Annual Report for the year 2008 highlighting the status of the Indian
GSM Industry. The report also covered the major activities and achievements of the Association
in the previous year.
May 2009
News Flash – Mobile Subscriber Projections: 2009 – 2012
This COAI News Flash presented the mobile subscriber projections till 2012 based on the S-
curve derived from Gompertz model. The mobile subscriber base is expected to reach close to
900 mn by 2012.
June 2009
News Flash – LTE – The Preferred Technology by Public Safety Organizations for
Mobile Broadband
This COAI News Flash stated that 15 public safety organizations of the National Public Safety
Telecommunications Council (NPSTC) in US, unanimously voted to endorse LTE as the
favoured technology standard most suited to the development of a nationwide interoperable
broadband network in the 700 MHz public safety band.
June 2009
Report for Measurement of Electromagnetic Fields from Base Station Antennas
COAI engaged experts from Thiagarajar advanced Research Center, Thiagarajar College of
Engineering, Madurai, to prepare a report for Measurement of Electromagnetic Fields from Base
Station Antennas. The report was shared with the members and TEC (Telecom Engineering
Centre) and was discussed extensively for finalization of the Generic Requirement (GR) on
“Test Procedure and measurement of Electromagnetic Fields from base station antenna.”
A field test was conducted by the said experts and COAI for the estimation of Base Station
Antenna Field Parameters i.e. Electric Field (E), Magnetic Field (H) & Power Density (S) and to
check the compliance with the ICNIRP limit. The measured values for E field, H field and
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power density were found to be Hundreds of times lower than the prescribed reference level by
ICNIRP.
July 2009
News Flash – ICNIRP Reports No Evidence of Health Hazards from Mobile Phones
This COAI News Flash highlighted on the two review papers published by ICNIRP, one
addressing epidemiological evidence related to mobile phones and the other reviewing evidence
for the full radio-frequency (RF) spectrum concluding that radiations from Mobile Phones and
Cellular Towers have no adverse effect on human body.
August 2009
News Flash – LTE – Industry’s First Choice for Next Generation Mobile Networks
The News Flash brought out the European Commission’s decision to start the process of
funding research on Long Term Evolution (LTE) Advanced technology as they saw strong
potential in the deployment of LTE and LTE Advanced technology.
August 2009
News Flash – ICNIRP Confirms Safety Recommendations Valid
The News Flash highlighted that the International Commission on Non – Ionizing Radiation
Protection (ICNIRP) has issued a Statement in respect of the validity of the present
radiofrequency safety recommendations for limiting exposure to electromagnetic fields up to 300
GHz.
September 2009
COAI Submissions on Goods & Service Tax (GST)
COAI submitted its issues and concerns on the Goods and Service Tax (GST) issues relating to
telecom sector.
October 2009
COAI Position Paper on Key Policy, Licensing, Regulatory and Taxation Issues
COAI issued a Position Paper in October on key policy, licensing, regulatory and taxation issues
including direct and indirect taxes, health and environment, mobile banking, mobile number
portability, spectrum issues, etc.
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October 2009
COAI Submissions on Direct Tax Code
COAI submitted it submissions on direct taxation issues related to the Indian telecom sector.
November 2009
COAI Pre-Budget Submissions for Union Budget 2010-2011
COAI submitted its pre-budget submissions for the year 2010-2011 to the Finance Ministry and
the DoT covering the direct and indirect tax issues related to the Indian mobile industry.
February 2010
News Flash – More Studies Reveal – No Evidence of Health Hazards
The News Flash highlighted about the two reports, which suggested that the amount of energy
produced by cell phones is too low to cause any biological effects.
February 2010
White Paper on Role of Mobile Service Providers in Enabling Financial Inclusion
COAI submitted this White Paper to DoT for the inter-ministerial committee to examine various
issues related to Mobile Banking in India. The paper highlighted the role of mobile service
providers in mobile banking, inter-operability to have common standards for m-banking
operations.
March 2010
COAI Post-Budget Submissions for Union Budget 2010-2011
COAI submitted its post-budget submissions for the year 2010-2011 to the Finance Ministry and
the DoT covering the direct and indirect tax issues related to the Indian mobile industry,
emerging out of the budget announcements for the current year or not considered by the
Finance Ministry.
March 2010
White Paper on Migration from IPv4 to IPv6
The paper highlighted the need for migration from IPv4 to IPv6, reasons fro slow uptake of IPv6
in the country. It also stated international examples on deployment of IPv6 and discussed the
drivers for growth of IPv6 and the benefits to the stakeholders.
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June 2010
News Flash – No Childhood Cancer Risks from Mobile Base Stations
The News Flash drew attention towards the investigations by health authorities in Australia,
Europe and the USA, which have concluded that there was no evidence of illness linked with
living near radio transmitters and there is no pattern to suggest that children of mothers living
near a base station during pregnancy had a greater risk of developing cancer than those who
lived elsewhere.
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• The wrongful charge of interest has thus been held to be wrong / illegal i.e. being
without authority of law only upto the date of signing of the License Amendment II.
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• The above Order was challenged by way of a Writ Petition namely Cellular Operators
Association of India and Others Versus Nivedita Sharma and Others in Civil Writ
Petition No. 583 of 2007 before the Delhi High Court.
• At the first hearing of the matter on 23.01.2007, the State Commission Order was
stayed by the High Court subject to the Petitioners depositing 50 lakhs (without
prejudice) with the Registrar and the Petitioners paying Rs. 25,000 (without
prejudice) to the Complainant.
• On January 15, 2010, the Hon’ble Delhi High Court held in favour of COAI in respect
of jurisdiction and took the State Commission to task for overstepping its limits while
stating inter alia:
i. The State Commission does not have power to levy penalty of Rs. 50 lakhs on
Cellular Operators.
ii. The State Commission does not have the power to fix any minimum
compensation of Rs. 25,000/- in each case of telemarketing calls.
iii. Any consumer forum has to adjudicate within the ambit of Consumer Protection
Act 1986 and decide the quantum of punitive damage to be awarded on a case
to case basis.
iv. The Court also remarked that the Cellular Operators must ensure that the
menace of UCC is reduced and put an end to.
• The Hon’ble Court has ordered that out of the said Rs. 50 lakhs deposited by COAI/
Bharti Airtel, Rs. 15 lakhs will be donated to some funds and the remaining Rs. 35
lakhs will be refunded to the Petitioners.
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9. Microwave : TDSAT
• TDSAT released its judgment in this matter on April 22, 2010 wherein the Hon’ble
Tribunal has set aside all impugned orders of DoT pertaining to hike in Microwave
Charges and the petition filed by COAI has been allowed.
• The Hon’ble Tribunal inter alia remarked that a contract cannot be challenged
unilaterally in the absence of an express provision to do so. The Tribunal has further
observed that amendment to a contract cannot be given retrospective effect.
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RESEARCH: The seven TCOEs and the Coordination Centre have been in existence for close
to 2 years now. Approximately 250 faculty members and students are working on 61 projects in
diverse areas of telecom in the seven TCOEs. The projects are of short, medium and long term
durations. The M. Tech. and research scholar intake has already been increased to meet the
requirement of additional researchers. Many projects have reached the prototyping stage and
projects like the Digital Mandi for the farmers and power supply backup solutions for rural
networks are ready for commercialization. A project ‘Heart Sound Monitor’ developed at
VEICET, IIT Kharagpur has been awarded Gold Medal by Lockheed Martin India Innovation
Programme. The programme is also helping the inventor with commercialisation of the
technology developed.
CAPACITY BUILDING: The TCOEs have carried out 9 workshops and 15 short term courses
on telecom to aid capacity building in India. All workshops and courses have received a
phenomenal response from the industry as well as academia with almost all the events being
oversubscribed.
STANDARDIZATION: Work done at TICET, IITB in Segment Protection (with Tejas Networks)
is poised to lead to the starting of a new IEEE standard namely IEEE 802.1Qbf. Also, the
team’s MAC proposal on "Differentiated bandwidth request based on service class and retry
attempts" has been accepted for inclusion in the 802.16m AWD specification. CeWIT at IIT
Madras helped in piloting the proposal.
TCOE INDIA AS 4G TECHNOLOGY EVALUATOR: TCOE India has been accepted as one of
the 12 evaluating groups by ITU-R for the Radio Interface Technology Candidates for IMT-A
standards (4G technologies). As a part of this evaluation, TCOE India has developed an Open
Area Rural Model which reflects the requirements of the Indian telecom landscape. The model
has been accepted for inclusion in the international 4G standards.
POLICY ADVOCACY: Three proposals from the TCOEs have been incorporated into the 4G
pre-consultation paper of TRAI. In April 2010, a one day national workshop on developing an
agenda for a national broadband initiative was organized. The objective of the workshop was to
engage with all stakeholders including policymakers and researchers to develop the outline of a
medium term action plan and a policy research agenda. An international conference on “Driving
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The returns from the initial first two years from the Fund shall be reinvested into furtherance of
the TEDC objectives along with the funds raised through private stakeholders.
The TSDO is expected to formulate domestic standards, liaise with international bodies and
work towards influencing International standards to incorporate Indian requirements/IPRs into
telecom standards. Financial support to TSDO is planned in such a way that Government will
primarily bear the expenses towards making TSDO a national representative member in the
international bodies, while industry will bear the running expenses.
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TM