Friday morning ever largest government auction starts, and it is one that will change the lives of millions of people with mobile phones.
The auction is the high-tech 3G systems. All major carriers offer in the auction, and is expected to raise tens of thousands of crore to the Government.With 3G comes in, you can watch TV on your phone and get online as soon as the computer in the office.
3G is the next major revolution in telecommunications in India and all major mobile operators - Airtel, Aircell, Vodafone, Idea, Tata Teleservices and Reliance Communications - are desperate to be a 3G operator, because it's the only way they can differentiate their products from the rest.
"3G licenses will be auctioned from Friday morning and desperately demand will probably see all the damaged items. The Government may end up with a large amount of cash. Maybe even up to RS 50,000 crore," said Martin Pieters, CEO, Vodafone Essar
The government auction will be unique and a first for India.
It's a step by step auction and will be done electronically, online.
The auction will happen simultaneously for all the 22 telecom circles in India.
The government will fix the price of each 3G license at each stage of the auction.
The price will be raised by ten per cent, five per cent and one per cent depending on how many players are left bidding.
It ends once the number of bidders equals the number of available slots.