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October 7, 1997

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DoT set to float WLL tender

The Department of Telecommunications has decided to float a Rs 2 billion tender for 'wireless in local loop', or WLL, equipment in the 800-900 MHz range for their networks in 15 cities.

The DoT decision has come in the wake of the Defence Ministry turning down DoT's request for freeing the 1800 MHz frequency band for commercial telecommunications purposes.

The DoT tender, which is slated to open next week, is likely to be of the
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order of 55,000 to 60,000 lines for 15 cities at the rate of $700 to $900 per line. There has been tremendous interest in this tender as this is the first time that DoT is placing a commercial order for such equipment.

The DoT had earlier opted for CDMA technology for its pilot WLL project in Delhi.

The CDMA-based wireless technology for basic telephone services is an option which is being explored by the Mahanagar Telephone Nigam Limited in Delhi. According to senior DoT officials, the MTNL is also expected to opt for this technology for Bombay. They said that the MTNL is likely to place orders separately for around 20,000 lines capacity for its Bombay and Delhi metros shortly.

Earlier, before the CDMA/DECT controversy had dogged the DoT order, the department had planned to order 75,000 lines for 17 cities. But now with MTNL having been granted autonomy in its purchases, it is likely to order these systems on its own.

The issue of DoT's selection of the technology for WLL has been hanging fire for nearly a year. With the decision to allow technologies in the 800-900 MHz range, the balance has clearly been tilted in favour of CDMA and Time Division Multiple Access systems. This would also bring a temporary reprieve to the two competing lobbies manufacturing these equipment which have been vying for DoT's patronage.

One lobby consisting of Digital Enhanced Cordless Telecommunications equipment manufacturing companies whose equipment is compatible in the 1800 MHz range has been trying to get a foothold in India, the other lobby comprising Code Division Multiple Access equipment manufacturers has been eager to retain base in the country.

The companies, which belong to the group of CDMA-based technology WLL providers include Qualcomm, Motorola, Lucent Technologies and Nortle.

- Compiled from the Indian media

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