2. What is spectrum ?
Spectrum relates to the radio frequencies allocated to the
mobile industry and other sectors for communication over the
airwaves.
3. What is auction?
• An auction is a process of buying and selling
goods or services by offering them up for bid,
taking bids, and then selling the item to the
highest bidder.
4. What is spectrum auction?
• A spectrum auction is a process whereby a
government uses an auction system to sell the
rights (licences) to transmit signals over
specific bands of the electromagnetic
spectrum and to assign scarce spectrum
resources. Depending on the specific auction
format used, a spectrum auction can last from
a single day to several months from the
opening bid to the final winning bid.
5. Why is it required?
1. Bands
2. Circles
3. 2G, 3G, 4G
6. Bands
• Commonly used bands for cellular
communication are 800MHz, 900MHz,
1800MHz, 2100MHz, and 2300MHz. According
to the GSM Alliance, the most suitable
spectrum for telecommunication is in the
400MHz to 4GHz range.
7. 2G, 3G, 4G
• All these numbers refer to the
generation of the technology
being used for communication.
The oldest of these is obviously
2G, while 4G is still evolving.
9. Advantages and disadvantages
• A well-designed auction is the method most likely to
allocate resources to those who can use them most
valuably. Rather than rely on government to assess the
merits of competing firms' business plans, an auction forces
businessmen to put their "money where their mouths are"
when they make their bids.[6]
• An auction is more transparent, and gives rise to less
political controversy when compared to other allocation
mechanisms, since there is no room for subjectivity in
assessing whether an undertaking accomplishes criteria for
allocation (unlike a beauty contest or the direct allocation
of a license).
• Auctions usually raise important sums of money provided
there is competition among many bidders.
