Reliance Jio has opposed the idea of inter-band spectrum sharing amongst the telecom operators in India. The largest telecom operator in India believes that it would hurt the revenues of the government as well as reduce competition in the market. At the same time, Vodafone Idea (Vi) and Bharti Airtel have supported the sharing of the inter-band spectrum between telcos. The Indian telecom operators were replying to the Telecom Regulatory Authority of India's (TRAI) consultation paper on telecommunication infrastructure sharing, spectrum leasing, and spectrum sharing.
Reliance Jio pointed out that the government has removed spectrum usage charges (SUC) from the spectrum that will be sold in future auctions. Thus, if the government also allows inter band spectrum sharing, then it would hurt the revenues of the government only. This is because the telcos wouldn't need to buy additional spectrum in future auctions anymore. They can simply lease it or rent it from other telcos.
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Airtel and Vi have argued that the move would promote spectral efficiency and help with improving the quality of services provided to consumers. It would definitely reduce the burden on the shoulders of the telcos and allow for a faster and better rollout of network service for consumers in different parts of the country.
There have been instances when the telcos have had spectrum in their bag that wasn't of any use to them. Now while they can even surrender it after a certain point of time, they can also utilise it better by renting it out to other telcos. Vi also suggested measures to prevent the abuse of spectrum sharing. The telco said that there should be a rule that would restrict a player from sharing the spectrum for at least two to three years from the time of acquisition.
Along with the spectrum, TRAI also sought views on the sharing of infrastructure between the telcos. More specifically, the spectrum that is funded by the universal service obligation fund (USOF) is being considered to be shared amongst the telcos.
