A new kind of war is brewing between the existing GSM players and Anil Ambani-led Reliance Communications Ltd (RComm), which is predominantly a CDMA player but entering the GSM arena in a big way. The GSM operators like Bharti Airtel, Vodafone Essar and Idea Cellular are not willing to open the new number series of ?90? for RComm?s upcoming GSM services on the grounds that it should sign new interconnect agreements with them as a GSM operator.
Rcomm, on its part, maintains that its GSM licence is not a new one, so its existing CDMA interconnect pact should be recognised by the operators and provide it interconnectivity. Interconnect pact is signed between mobile operators for completing calls originating from one operator?s network and terminating on another?s. For instance, GSM subscriber of RComm cannot call any Bharti or Vodafone subscriber if an interconnect pact is not in place between the operators.
Currently, Rcomm?s GSM operations are confined to eight circles. However, last year, under the government?s dual technology policy, it was allowed to provide GSM services in the remaining 14 circles of the country. Subsequently, it was also allocated spectrum towards this. The company plans to roll out services by the end of the financial year.
Since the existing GSM series of numbers have reached a saturation point, the department of telecommunications (DoT) and the Telecom Regulatory Authority of India (Trai) recently opened a new series, beginning with ?90? for the GSM operators. This means that the phone numbers of subscribers of all new GSM operators would begin with ?90?.
The GSM operators maintain that by not agreeing to sign new interconnect agreements with them, RComm is trying to save on costs, besides trying to get a headstart over other new licencees like Unitech and Videocon-led Datacom. These new operators, who have got new licences along with spectrum, would have to enter into interconnect pacts with the existing operators. The GSM operators said that even Tata Teleservices (TTSL), which is currently a CDMA operator and under the dual technology policy, is ready to sign new pacts for GSM services.
Interconnection pacts have a cost angle, too. The operator seeking interconnection has to pay the other operator. Though it is difficult to quantify the amount, as it depends the number of ports one requires, the amount is ?quite significant.?
RComm sources said that as per the regulation, a new operator needs to enter into interconnect pacts. But it is not a new operator and, hence, should not be equated with new ones like Datacom or Unitech. With the GSM operators adamant on their stand that RComm is interpreting regulations to suit its interests, the matter is sure to be headed to the Telecom Disputes Settlement and Adjudication Tribunal.
This is not the first spat between the GSM operators and RComm over interconnectivity. Back in 2003, when the company was known as Reliance Infocomm and had started its CDMA services, the GSM players had refused to give it interconnection on the grounds that the fully mobile CDMA services were illegal.