India

End of inter-circle roaming: Good or Bad move?

Today I read in news about Govt’s decision to finally end inter-circle roaming agreements between Airtel, Vodafone & IDEA. Well, the case is not new. It has been up with doT from over months and got highlights when CEO’s of all 3 firms wrote letter to Prime Minister of India for his intervention.  


Little background

In 3G auction held in 2010, none of the operators got pan India spectrum across 22 telecom circles. Most of them have license in around 10 circles (few in 9, few in 11 and so on) and thus no one can provide full Nationwide 3G coverage.

What to expect from 3G?

So, finally 3G is set to launch in India from Private operators. One of my friend came to me and asked:

“So what should we really expect from 3G? End of wired broadband?”

Very nice one!


Short answer - NO, NO yet!

It’s quite strange to see, how users are taking 3G. Actually it has been largely “overestimated” technology, specially from Indian media. Let’s first try to understand - What exactly is 3G? Without going into geeky definitions - 3G is simply upgrade from 2G. It uses higher frequency, and thus has more spectrum available for more bandwidth. That’s all. One important thing we need to understand is - 3G is more or less just a last mile technology i.e it connects telecom network’s exchange to consumer’s device. Mostly 3G, 2G, landline network, and broadband network - all share same core network backhaul. Western countries who did deployed 3G many years back are going into hybrid path of taking 3G to 4G apart form offloading peak data to (wired) broadband networks. They are promoting use of wifi, bringing new gadget FemtoCell. At this time, it doesn’t makes sense to say - 3G is everything! Latest capping on uncapped 3G plans by AT&T is a good example of that.