Don't see much impact on customer, auction preferred: Trai

Telecom regulator Trai today said there will not be much impact on customers due to cancellation of 122 2G licenses of eight companies, as around 95% of total subscribers belong to operators which got licences before January 2008.

"The Supreme Court judgement will be implemented. Customers will not be impacted from the cancellation of licences as around 95% market share is of those who got licences before January 2008," Telecom Regulatory Authority of India, chairman, J S Sarma told reporters here.

He added that subscribers have the option to port out using mobile number portability. "Subscribers have option to port out through MNP. We will instruct operators to inform their subscribers and come out with advertisement," Sarma said.

On chances of tariff hike due to expected high price of spectrum, Sarma said that Trai is alert and will keep a watch on the situation. The companies that are set to lose on account of the cancellation of the licences are: Uninor (joint venture between Unitech and Telenor of Norway), Loop Telecom, Sistema Shyam (joint venture between Shyam and Sistema of Russia), Etisalat DB (joint venture between Swan and Etisalat of UAE), S Tel, Videocon, Tatas and Idea.

With cancellation of these licences, over 500 Mhz spectrum will be available for auction.