In sharp contrast to popular expectations, consider first what the DoT won't be doing: there are no plans to award 5 MHz each to operators on a first-come first-serve basis, which was being touted as the strategy till now. ``First-come, first-serve does not mean that we will give spectrum to the first companies to submit applications. They will have to fulfil all entry criteria, and furnish bank guarantees first," says a senior DoT official.

The magic formula which is now being brewed to fairly distribute spectrum between the genuine players: to offer small slices of spectrum to the players and link more spectrum to their roll-out plans. "We will divide all the spectrum between the number of eligible candidates. This means we will give around 2 MHz to each of the players for starters, and ask them to start their services, with the promise to release more spectrum as and when they need it," he adds.

The key in this formula is the rider attached: roll-out obligations. Says a senior DoT official: "Only those companies who fulfil their roll-out obligations and hence prove themselves to be serious players will be given the additional spectrum. We will take the spectrum away from the companies who do not fulfil their obligations." This, feel DoT sources, will also help in deterring the non-serious players, as it will cost an estimated Rs 20,000 crore to roll out a basic services network in each circle.

However, it remains to be seen if the formula will work. In many lucrative circles-like Delhi, Maharashtra, Tamil Nadu-the number of `serious' applicants is already over the double-digit mark, and will thus put pressure on the DoT's spectrum-sharing plan.

Two, with the Cellular Operators Association of India (COAI) also staking a claim on the scarce spectrum-the argument: that in a technology neutral regime cellular operators also have a right to operate CDMA mobile services-the government has a daunting task at hand.

It has reserved only two bands - 20 MHz in the 800 Mhz and 10 MHz in the 1800 MHz for CDMA - which will have to include both the WLL CDMA operators as well as CDMA mobile operators. Of this, 5 MHz has already been given to the incumbent operator - BSNL, in each circle. Another 5 MHz has been given to the existing six operators in the circles where they operate. This leaves 10 MHz in the circles, where there are existing private operators and 15 MHz, where only BSNL operates.